Earlier in yesterday’s trading, most European stocks advanced to some extent; however, the dismal trading continued in the Indian stock market as Coal India faced a severe downfall. Nevertheless, European stocks gave confidence as the region’s equity benchmark headed for a second week of gains.
According to market observers with a keen eye on the European market, the investors and traders are waiting for better outputs from the U.S. housing sector and industrial sector which are expected to fare better in the fourth quarter of last year. Amidst the speculated trading yesterday, US index futures and Asian shares were little changed.
Major Gainers and Losers in the European Trade
The major gainer in European trade was Accor SA which saw a growth of 1.6 percent. The company’s stocks went up as the largest hotel operator in Europe said that profit probably reached the upper end of its forecast in 2013. However, there was no respite for Royal Dutch Shell Plc which fell 3.3 percent.
According to the sources from Shell higher exploration costs and lower volumes will hurt fourth-quarter earnings. The information tanked the confidence that investors had in the oil company and its stock saw falling amidst the better trading day. A similar fortune was faced by Essilor International SA which lost 2.1 percent as its projected sales growth for 2013 fell.
Major Indexes and Benchmarks
There was slight upward movement in the Stoxx Europe 600 Index which added 0.1 percent to 334.4 at 8:37 a.m. in London. Thus, so far the gauge has advanced 1.3 percent this week which is sending the right signals among traders. Nevertheless, the equity benchmark on Jan. 15 climbed to its highest level since January 2008.
The record was reached as the World Bank raised its forecast for global growth that generated optimism among investors and traders. Following the trend in Stoxx Europe 600 Index, Standard & Poor’s 500 Index (SPA) futures and the MSCI Asia Pacific Index too received slight growth as they got a minimum of 0.1 percent increase.
In one hand, S&P BSE Sensex fell to 21,077.67 today, on the other hand, in Indian stock market trade today, Coal India fell nearly 10 percent in early trade. Earlier the company had announced an interim dividend of Rs 29 per share for the financial year 2013-14, this happened after the government failed to divest 10 percent of its shares in this year.
To contact the reporter of this story: Jonathan Millet at firstname.lastname@example.org