European stocks are expected to open positive territory Wednesday, with global markets focused on upcoming U.S. inflation data.
The U.K.’s FTSE 100 index is expected to open 36 points higher at 8,056, Germany’s DAX up 38 points at 19,081, France’s CAC up 11 points at 7,356 and Italy’s FTSE MIB up 68 points at 33,335, according to data from IG.
Earnings are set to come from ABN Amro, RWE, SSE, Alstom, Siemens Energy, Allianz and Telecom Italia.
Investors’ main focus on Wednesday will be October’s inflation data out of the U.S., a key factor when it comes to the Federal Reserve’s decision to cut or maintain interest rates.
Economists surveyed by Dow Jones are expecting the consumer price index to increase 0.2% for the month, which would put the 12-month rate at 2.6%.
Asia-Pacific stock markets were trading lower overnight, tracking losses on Wall Street Tuesday, with both the tech-heavy Nasdaq and the S&P 500 snapping five-day winning streaks. U.S. stock futures ticked lower Tuesday night.
– CNBC’s Hakyung Kim contributed to this markets report.
Dogecoin surges 20% after Trump announces a Department of Government Efficiency
The crypto ecosystem has expanded significantly in recent years. While institutions such as the IMF are starting to embrace its innovation, they are also calling for investors to exercise caution.
Jakub Porzycki | NurPhoto via Getty Images
Dogecoin shot higher on Tuesday night, extending its postelection surge after President-elect Donald Trump formally announced the creation of the Department of Government Efficiency, which he referred to as “DOGE” in his statement.
Tesla CEO Elon Musk and Vivek Ramaswamy, former Republican presidential candidate and Strive Asset Management co-founder, will lead the department, Trump said in a statement. Together, they “will pave the way for my Administration to dismantle Government Bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies.”
Dogecoin was last up nearly 20%. It has been one of the biggest winners in the postelection rally, gaining 153% since election day compared to bitcoin’s 30% rise in the same period. It also shot past XRP this week to become the sixth largest cryptocurrency by market cap.
— Tanaya Macheel
Dutch lender ABN Amro’s third quarter profit beats expectations
An ABN Amro Group NV bank branch in Amsterdam, Netherlands, on Tuesday, Feb. 1, 2022.
Peter Boer | Bloomberg | Getty Images
Dutch lender ABN Amro beat third-quarter profit expectations, driven by sustained improvement of net interest income (NII), and strong performance of fees, the bank said on Wednesday.
ABN Amro, one of three dominant banks in the Netherlands, posted a 9% fall in quarterly net profit to 690 million euros ($732.30 million), compared to a year earlier.
That beat analysts’ average forecast of 528 million euros in a poll compiled by the company.
— Reuters
CNBC Pro: This SpaceX-competitor’s stock has bounced back postelection and analysts love it
Shares of a satellite startup have made a strong comeback, regaining their losses following President-elect Donald Trump’s recent victory.
The company’s stock tanked by about 10% in the two days after the U.S. elections as investors feared the company might be disadvantaged due to Musk’s close relationship with the new U.S. administration.
But analysts say the company currently has “superior technology” compared to SpaceX’s Starlink.
CNBC Pro subscribers can read more here.
— Ganesh Rao
CNBC Pro: Morgan Stanley fund manager picks stocks to play Trump’s win
U.S. President-elect Donald Trump’s election win has sent shock waves through the stock market and left investors scrambling to work out which sectors — and stocks — are set to benefit.
Aaron Dunn, portfolio manager at Morgan Stanley’s U.S. Value Fund, noted the “great deal of volatility” in markets following the election result, as markets reprice “what had been a 50/50 election.”
Speaking to CNBC’s “Squawk Box Asia” on Tuesday, Dunn, who’s also co-head of value equity at Morgan Stanley, identified three stocks he is betting on following the election result.
CNBC Pro subscribers can read more here.
— Amala Balakrishner
European markets: Here are the opening calls
European markets are expected to open positive territory Wednesday.
The U.K.’s FTSE 100 index is expected to open 36 points higher at 8,056, Germany’s DAX up 38 points at 19,081, France’s CAC up 11 points at 7,356 and Italy’s FTSE MIB up 68 points at 33,335, according to data from IG.
Earnings will come from ABN Amro, RWE, SSE, Alstom, Siemens Energy, Allianz and Telecom Italia.
— Holly Ellyatt
