In the US, shock for retailer Macy’s: shares fell 17% as the retailer revealed an earnings slump with profits coming in at 24 cents a share compared to an estimated 35 cents. Other retailers, including J.C. Penney and Target report soon.
Shares values from a range of companies, including Macy's owner Bloomingdales and Sears, fell. Consumer spending remains key for US economic growth.
Over in Japan, some profit-taking today with the Nikkei 225 down 0.44% at 19,874.61. The yen was also up against a stronger yen vs dollar.
On home ground while Bank of England governor Mark Carney yesterday cut his economic growth prediction to 1.9% some think it could be lower. James Bevan of the CCLA thinks growth could come in at just 1%, he told the BBC.
- UK FTSE 100 7,386.63 +0.02%
- Dow 20,919.42 -0.11%
- S&P 500 2,394.44 -0.22%
- Nasdaq 6,115.96 -0.22%
- DAX 30 12,711.06 -0.36%
- CAC 40 5,383.42 -0.32%
- Gold 1,226.70 +0.20%
- Oil WTI 47.92 +0.17%
Sterling fell yesterday below the $1.29 level despite the Bank of England hinting that an interest rate rise could arrive sooner than thought.
Oil consensus increases
There is some optimism on oil as some expect OPEC to continue sticking to existing production quotes. Oil ended up almost 50 cents yesterday, the highest closing price in a week.
But while OPEC has managed to pull back on production quotas, output from Saudi Arabia increased in April. Some think Saudi production climbed by as much as 50,000 barrels a day.
Virtual reality operator Improbable has raised $500m from Japan’s Softbank (which last year bought ARM). The new cash injection still means that Improbable stays independent – a key objective for founders Herman Narula and Rob Whitehead.