A mixed Asian trading session on Tuesday with the Nikkei tumbling more than -1% despite strong trading on Monday and a slight dip from the yen. The Hang Seng managed – just – to stay in the green despite some earlier heavy falls. The South Korean Kospi also suffered, down -1.13% though it follows a week where Samsung shares leapt more than +9%.
The shares weakness was not a total surprise given the European pessimism that crept across valuations on Monday (US markets were closed). Overnight, sterling managed a +0.03% climb to 1.1286 against the euro though the pound dipped -0.17% against the dollar to 1.3967. Expect continued sterling volatility as Brexit arguing ramps up on a looming European customs union vote.
Today, new HSBC numbers see a solid revenues gain and $2.3bn in profits (more below) but the numbers come up somewhat short overall; earlier HSBC shares slipped more than -2% in Hong Kong. Better news over in Greece. Barclays said this morning it sees "virtually no obstacles that could derail the country before the third bailout is concluded this August". However it warns on complacency on the political front.
- UK FTSE 100 7,247.66 -0.64%
- DAX 12,385.60 -0.53%
- CAC 40 5,256.18 -0.48%
- Euro Stoxx 600 378.24 -0.63%
- Dow 25,219.38 +0.08%
- S&P 500 2,732.22 +0.04%
- Nasdaq 7,239.47 -0.23%
- Nikkei 225 21,925.10 -1.01%
- Gold 1,342.20 -1.05%
- Oil WTI 62.36 +1.10%
HSBC profits soar but shares dip
HSBC saw a +140% profits leap to $17.2bn for 2017 (though this profits picture was bested in 2015 with almost $19bn in profits). Most of HSBC’s profits are driven from Asia. HSBC’s pre-tax profits though came in just under $21bn, an +11% lift but still below analyst expectations.
However HSBC recorded a $1.9bn loss in Europe. While the numbers were strong on a number of fronts HSBC shares – listed also in London and New York – took a dive in Hong Kong falling more than -2%.
“HSBC is simpler, stronger, and more secure than it was in 2011,” said outgoing boss Stuart Gulliver in a statement. “It has been my great privilege to lead HSBC for the last seven years, and in handing over to John [John Flint, ex head of retail banking] I am confident the organisation is in great hands."
Laundering failures clobber William Hill
A dark day for William Hill. The high street bookie has been hit by a £6.2m penalty from the The Gambling Commission for failing to stem money laundering and failing to protect customers. William Hill have also been ordered to divest themselves of £1.2m earnt from transactions linked to criminal activity with ten customers.
“Where victims of the ten customers are identified, they will be reimbursed. If further incidents of failures relating to this case emerge, William Hill Group will divest any money made from these transactions," said the Commission.
One Hill customer was allowed to deposit £654,000 over nine months without any source of funds checking made. “The customer lived in rented accommodation and was employed within the accounts department of a business earning around £30,000 per annum.” William Hill shares are up more than +23% in the last year but -3% lower in the last four weeks.
Breaking news: InterContinental Hotels Group says revenue per available room (revpar) was up +2.7% for the full year 2017 despite plenty of global travel instability.