Global markets fell on Tuesday as investors scrutinised a spate of corporate earnings and eyed growing tensions in the Middle East.
Dublin
Euronext Dublin finished the day up 0.5 per cent mainly due to an outperformance in the airline sector as the price of oil dropped sharply.
Budget airline Ryanair was up 1.5 per cent, while Aer Lingus parent International Airlines Group climbed 4 per cent. Elsewhere, EasyJet and Air France were up 3 per cent and 4 per cent respectively.
It was also a good day for Dalata – the largest hotel group in the State – which closed up 3.5 per cent. The group hosted an investors’ day in London and also announced a share buyback.
Higher inheritance tax threshold will not apply just because you have yet to get inheritance
Taking voluntary redundancy or getting laid off? You need to know about your tax, welfare and pension options
Can knowing tomorrow’s news make you rich? That’s not a foregone conclusion
Pensions: Uncertain times ahead of retiring workers
Among the builders, Cairn Homes finished up 2.7 per cent, while Glenveagh Properties was up 1.3 per cent at close of business. A number of UK housebuilders were also up on the day, which one trader suggested was behind the moves in Dublin.
Meanwhile, the banks were the laggards on the index, with AIB and Bank of Ireland down 1 per cent and 15 basis points respectively.
Among the food names, sandwich-maker Greencore was up 3.8 per cent by close of business, while Kerry Group and Glanbia were each down marginally.
London
A 4.5 per cent drop in oil prices saw miners and energy firms drag the FTSE 100 down 0.52 per cent, after an influential outlook for global oil demand was lowered.
Miners Antofagasta, Glencore and Anglo American, and energy firms BP and Shell were among the biggest fallers of the day.
In company news, shares in De La Rue jumped after the bank note printer announced plans to sell its authentication arm. De La Rue put its divisions up for sale after a strategic review launched at the end of last year. Shares in the firm closed 14.4 per cent higher.
Elsewhere, shares in Bellway were also given a boost despite the housebuilder revealing that its profits tumbled by more than half over the past year as it grappled with slower demand in the housing market.
Nevertheless, the company said it expects to complete the sale of more homes this year as easing mortgage rates have started to support more demand. This more optimistic outlook appeared to have pleased investors and its share price was 8.3 per cent higher at close.
Europe
European stocks fell but remained in striking distance of their peak record levels as ASML posted third-quarter bookings that missed estimates and falling oil prices dragged energy stocks down.
The Stoxx Europe 600 Index was down 0.7 per cent. ASML tumbled 15 per cent, pulling technology stocks lower, after releasing earnings early. In Frankfurt, the Dax stock index was up 0.2 per cent, while the Cac in Paris was down 1 per cent.
Energy stocks were also among leading decliners after concerns eased about Israel attacking Iranian energy facilities. The sector’s index fell as much as 3.5 per cent.
Among individual stocks, Ericsson AB rose 11 per cent after its earnings beat analysts’ estimates in the third quarter, as the Swedish telecom equipment maker’s deal with US carrier AT&T began to pay off.
New York
US stocks turned lower as investors scrutinised a spate of corporate earnings while crude extended its slide due to easing supply worries and weakening demand.
After markets had closed in Europe, the S&P 500 was down about 0.5 per cent, while the Dow Jones was about 0.4 per cent lower.
Financial firms Goldman Sachs, Citigroup and Bank of America all posted better-than-expected profit, while healthcare companies UnitedHealth and Johnson & Johnson results underwhelmed investors.
Bank of America jumped 2.2 per cent following a third-quarter profit beat, while Charles Schwab soared 7.8 per cent after beating estimates. The broader Banks index was trading at its highest level in more than two years.
However, Citigroup slipped 1.5 per cent after its results, while Goldman Sachs dipped 0.4 per cent, both reversing premarket gains. – Additional reporting: Agencies
- Sign up for the Business Today newsletter and get the latest business news and commentary in your inbox every weekday morning
- Opt in to Business push alerts and have the best news, analysis and comment delivered directly to your phone
- Join The Irish Times on WhatsApp and stay up to date
- Our Inside Business podcast is published weekly – Find the latest episode here
