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Stocks To Watch For January 5, 2022

Some of the stocks that may grab investor focus today are:

  • Wall Street expects RPM International Inc. (NYSE:RPM) to report quarterly earnings at $0.83 per share on revenue of $1.55 billion before the opening bell. RPM shares gained 0.1% to $97.21 in after-hours trading.
  • SMART Global Holdings, Inc. (NASDAQ:SGH) reported upbeat results for its first quarter on Tuesday. The company said it sees Q2 adjusted earnings of $1.30 to $1.60 per share on sales of $415 million to $455 million. SMART Global shares dropped 6.5% to $68.01 in the after-hours trading session.
  • Analysts are expecting UniFirst Corporation (NYSE:UNF) to have earned $1.95 per share on revenue of $474.63 million for the latest quarter. The company will release earnings before the markets open. UniFirst shares rose 0.1% to $211.47 in after-hours trading.
  • Inspire Medical Systems, Inc. (NYSE:INSP) reported strong preliminary sales results. The company said it sees Q4 revenue of $78 million to $78.4 million and FY21 revenue of $233 million to $233.4 million. Inspire Medical shares gained 4.1% to $242.10 in the after-hours trading session.
  • Analysts expect Resources Connection, Inc. (NYSE:RGP) to post quarterly earnings at $0.33 per share on revenue of $189.40 million after the closing bell. Resources Connection shares gained 1.1% to close at $18.26 on Tuesday.
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CAC 40 Little Changed Ahead Of Fed Meeting Minutes

French stocks were little changed on Wednesday amid concerns over rising U.S. Treasury yields and interest rate hike bets.

Investors will be poring over the minutes of the Federal Open Market Committee’s Dec. 14-15 meeting, out later in the day for clues on when the U.S. central bank may start to reduce the size of its ~$8.8T balance sheet.

The committee adopted a more hawkish stance at the meeting, with most policymakers expecting at least one interest rate hike this year.

Current pricing in the fed funds futures market points to about a 60 percent likelihood of a hike in March.

The benchmark CAC 40 was marginally higher at 7,321 after climbing 1.4 percent the previous day.

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Asian Markets Follow U.S Tech Selloff

Asian stocks ended mostly lower on Wednesday after a continued rise in the U.S. 10-year Treasury yields pulled down U.S. tech shares sharply lower overnight.

News reports on North Korea firing a ballistic missile off its east coast also kept underlying sentiment cautious.

China’s Shanghai Composite index fell 37.15 points, or 1.02 percent, to 3,595.18 after an index of Chinese companies traded in New York fell the most in more than two weeks.

Hong Kong’s Hang Seng index slumped 382.59 points, or 1.64 percent, to 22,907.25, with tech stocks retreating on concerns that Tencent Holdings will keep cutting its stakes in a host of companies following several recent billion-dollar divestment plans.

Japanese shares ended flat with a positive bias as gains in Toyota Motor and Sony Group offset losses in the tech sector.

The Nikkei average edged up 30.37 points, or 0.10 percent, to 29,332.16 ahead of the release of the U.S. Federal Reserve’s December meeting minutes later in the day. The broader Topix index rose 9.05 points, or 0.45 percent, to 2,039.27.

Toyota Motor rallied 2.6 percent after it surpassed General Motors to grab the best-seller crown in the U.S. for 2021.

Sony Group jumped 3.7 percent after the game maker announced it is exploring the commercial launch of its own electric vehicle.

Australian shares gave up early gains to end slightly lower for the day, with technology and healthcare stocks pacing the declines. Energy and mining stocks advanced, helping lift the downside in the broader market.

The benchmark S&P/ASX 200 index dipped 24 points, or 0.32 percent, to 7,565.80 while the broader All Ordinaries index ended down 27.20 points, or 0.34 percent, at 7,899.60.

Xero, Afterpay and Wisetech Global lost 3-4 percent amid concerns over rising bond yields. Hearing device maker Cochlear declined 2.8 percent and biotech major CSL gave up 1.8 percent.

Seoul stocks tumbled amid Covid-19 worries and on expectations for a Fed rate hike this year. The Kospi average fell 35.27 points, or 1.18 percent, to close at 2,953.97.

Market heavyweight Samsung Electronics declined 1.7 percent, chipmaker SK Hynix lost 2.3 percent and internet portal operator Naver shed 2.9 percent.

New Zealand shares ended sharply higher in the first trading day of the year, with the benchmark NZX-50 index climbing 116.61 points, or 0.89 percent, to 13,150.38 – its highest since late October 2021.

Infrastructure investment firm Infratil jumped 3.8 percent after one of its key assets had its valuation boosted 15 percent.

U.S. stocks ended mixed overnight, a day after the country reported more than 1 million new Covid cases. The Dow rose 0.6 percent to reach a new record closing high as banks benefited from rising Treasury yields.

The S&P 500 finished marginally lower while the Nasdaq Composite tumbled 1.3 percent, reflecting substantial weakness among software and biotechnology stocks.

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European Shares Advance On Strong Economic Data

European stocks advanced on Tuesday after a string of new studies suggested that the Omicron virus variant might be less severe than initially feared.

Strong economic data from Germany and the U.K. also boosted investor hopes for a quick economic recovery from the pandemic.

Germany’s retail sales rose for a second straight month in November, defying expectations for a decline, preliminary data from Destatis showed.

Retail sales increased a calendar and seasonally adjusted 0.6 percent from the previous month. Economists had forecast a 0.5 percent fall. In October, sales grew a revised 0.5 percent.

Separate data from the British Retail Consortium showed that U.K. shop prices grew at a faster pace in December.

Shop prices climbed 0.8 percent on a yearly basis in December, following a 0.3 percent gain in November, which was the first rise in two-and-a-half years.

The pan European Stoxx 600 climbed 0.6 percent to 492.88 after rising half a percent on Monday.

The German DAX rose 0.3 percent, France’s CAC 40 index added 0.9 percent and the U.K.’s FTSE 100 rallied 1.2 percent.

Julius Baer gained 0.8 percent. The Swiss private bank is parting ways with an independent wealth manager it bought five years ago.

Novartis rose about half a percent. The pharmaceutical firm said the U.S. Court of Appeals for the Federal Circuit has issued its decision upholding the validity of the US patent covering a dosing regimen for Gilenya.

Swedish telecommunications company Telia Company AB dropped 0.6 percent after it agreed to sell Telia Latvija SIA to Tet SIA.

Capita Plc shares advanced 1.2 percent. The British BPO company said that it completed on 3rd January, the sale of its Secure Solutions and Services (SSS) business to NEC Software Solutions U.K. for a consideration of 62 million pounds.

Wizz Air Holdings soared nearly 19 percent. The low-cost airline reported that it carried 2.64 million passengers in the month of December 2021, up 296.3 percent from 665,722 passengers a year ago. British Airways-owner IAG jumped 10 percent.

Nordex Group, a German wind turbine maker, rose about 2.8 percent. The company said that it has received an order for 380 MW wind turbines from Finnish utility company Fortum for Pjelax-Böle-Kristinestad Norr wind farm cluster in Finland.

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European Shares Climb On Growth Optimism

European stocks hovered near record highs on Monday despite soaring cases of the Omicron coronavirus variant across Europe and elsewhere.

Sentiment was underpinned after HS Markit’s final manufacturing Purchasing Managers’ Index (PMI) came in at 58.0 in December, matching an initial flash estimate and raising hopes that growth rates could better in 2022.

The pan European Stoxx 600 rose 0.6 percent to 490.46, a tad lower than its November record high of 490.58, after having ended flat with a negative bias on Friday.

The German DAX climbed 0.8 percent and France’s CAC 40 index added 1 percent, while the U.K. markets were closed for a public holiday.

Zurich Insurance Group AG shares rose about 1 percent. The Swiss insurer announced that its Italian unit Zurich Investments Life S.p.A. has agreed to sell its life and pension back book to the Portuguese insurance company GamaLife – Companhia de Seguros de Vida, S.A.

Ahold Delhaize edged up slightly. The Dutch operator of supermarkets, convenience stores, hypermarkets, and others, said that it has started 1 billion-euros share repurchase program, which is expected to be completed by the end of 2022.

Deutsche Wohnen shares rallied 2.5 percent. The German property company said it has appointed Konstantina Kanellopoulos and Lars Urbansky as co-chief executive officers. Philip Grosse will remain Chief Financial Officer until 31 March 2022.

Evotec AG, a drug discovery and development company, fell 2.4 percent. The German Federal Ministry of Education and Research has selected the company for a grant of 7.5 million euros, for the development of EVT075, a potential first-in-class immunomodulatory therapy to fight Covid-19.

Automakers rose broadly after monthly sales reports from several global automakers. Volkswagen, BMW and Renault jumped 2-3 percent.

Airline Lufthansa soared 6.3 percent after Citi upgraded the stock rating.

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Mixed Trading in Asian Markets

Asian stock markets are trading mixed on Thursday, following the mixed cues overnight from Wall Street, as investors delve over the potential impact of the fast spreading Omicron Coronavirus variant. They also seem reluctant to continue making significant moves as the virus spreads rapidly across more countries, with some implementing lockdowns and strict restrictions. Asian markets closed mixed on Wednesday.

While Omicron has contributed to a surge in new coronavirus cases around the world, traders seem optimistic that the milder symptoms associated with the new strain will not lead to a significant economic slowdown.

The Australian stock market is slightly lower in choppy trading on Thursday, after five straight sessions of gains, with the benchmark S&P/ASX 200 staying just above the 7,500 level, following the mixed cues overnight from Wall Street, as traders fret over the surge in the country’s Covid-19 infections due to the rapid spread of the Omicron variant. Weakness in technology stocks were partially offset by strength in materials and mining stocks.

Domestically, New South Wales reported a new daily record of 12,226 new cases and one death on Wednesday. Victoria reported a new daily record of 5,137 new cases and 13 deaths. Queensland recorded 2,222 new cases.

The benchmark S&P/ASX 200 Index is losing 6.00 points or 0.08 percent to 7,503.80, after hitting a low of 7,499.90 and a high of 7,520.60 earlier. The broader All Ordinaries Index is down 8.20 points or 0.11 percent to 7,832.10. Australian markets ended sharply higher on Wednesday.

Among major miners, BHP Group and Mineral Resources are gaining almost 2 percent each, while OZ Minerals is adding almost 1 percent, Rio Tinto is up more than 1 percent and Fortescue Metals is flat.

Oil stocks are mostly lower. Woodside Petroleum and Origin Energy are edging down 0.3 percent each, while Santos is edging up 0.5 percent. Beach Energy is declining more than 1 percent.

Among the big four banks, Commonwealth Bank and Westpac are edging up 0.4 percent each, while ANZ Banking is edging down 0.2 percent. National Australia Bank is edging up 0.2 percent.

In the tech space, Afterpay is losing almost 3 percent, Zip is declining more than 2 percent and Appen is down 1.5 percent, while Xero is edging up 0.1 percent. WiseTech Global is flat. Gold miners are mostly lower. Newcrest Mining is edging down 0.5 percent and Evolution Mining is declining more than 1 percent, while Gold Road Resources and Northern Star Resources are losing almost 1 percent each. Resolute Mining is gaining more than 1 percent.

In the currency market, the Aussie dollar is trading at $0.726 on Thursday.

The Japanese stock market is slightly lower on Thursday, extending the losses in the previous session, with the benchmark Nikkei 225 just below the 28,900 level, following the mixed cues overnight from Wall Street, as traders braced for a feared rebound in coronavirus cases at the start of New Year’s holidays due to the rapid spread of the Omicron variant.

The benchmark Nikkei 225 Index closed the morning session at 28,886.09, down 20.79 points or 0.07 percent, after hitting a low of 28,579.49 earlier. Japanese shares ended notably lower on Wednesday.

Market heavyweight SoftBank Group is edging down 0.3 percent and Uniqlo operator Fast Retailing is edging down 0.4 percent. Among automakers, Toyota is flat and Honda is edging down 0.4 percent. In the tech space, Advantest is edging up 0.3 percent, while Tokyo Electron and Screen Holdings are adding almost 1 percent each. In the banking sector, Mitsubishi UFJ Financial is edging up 0.1 percent and Sumitomo Mitsui Financial is flat, while Mizuho Financial is edging up 0.2 percent.

The major exporters are lower. Panasonic is edging down 0.4 percent and Sony is edging down 0.2 percent, while Mitsubishi Electric and Canon are losing almost 1 percent each.

Among the other major losers, Nintendo and Sumitomo Osaka Cement are losing almost 2 percent each.

Conversely, Z Holdings is gaining almost 6 percent. In the currency market, the U.S. dollar is trading in the 115 yen-range on Thursday.

Elsewhere in Asia, South Korea, Indonesia, Malaysia, and Singapore are lower by between 0.1 and 0.3 percent each, while China, Hong Kong and New Zealand are higher by between 0.4 and 0.7 percent each. Taiwan is relatively flat. On Wall Street, stocks turned in another mixed performance during trading on Wednesday After ending the previous session on opposite sides of the unchanged line. Despite the choppy trading, the Dow and the S&P 500 reached new record closing highs.

The Dow rose 90.42 points or 0.3 percent to 36,488.63, closing high for the sixth consecutive session. The S&P 500 also inched up 6.71 points or 0.1 percent to 4,793.06, while the Nasdaq climbed well off its worst levels but still closed down 15.51 points or 0.1 percent at 15,766.22.

The major European markets also finished the day mixed. While the U.K.’s FTSE 100 Index advanced by 0.7 percent, the French CAC 40 Index dipped by 0.3 percent and the German DAX Index fell by 0.7 percent.

Crude oil prices moved higher Wednesday, extending recent gains after the Energy Information Administration said U.S. crude oil inventories fell more than expected last week. Crude oil for February delivery climbed $0.58 or 0.8 percent to $76.56 a barrel.

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European Shares Extend Gains In Cautious Trade

European stocks rose for the third straight session on Wednesday, though a cautious undertone prevailed amid renewed concerns about the emergence of new Covid variants and the threat of inflation.

Omicron still poses “very high” risk and could overwhelm healthcare systems, the World Health Organization (WHO) warned, as the highly transmissible coronavirus variant fueled record outbreaks in many countries.

“The overall risk related to the new variant of concern Omicron remains very high,” the UN health agency said in its Covid-19 weekly epidemiological update.

France’s new coronavirus cases in a 24-hour period hit a record high of 179,807 on Tuesday, by far the highest one-day tallies worldwide since the start of the pandemic. The previous record of 104,611 was set on Saturday.

U.K., Italy, Greece and Portugal all hit record daily infections as the Omicron coronavirus variant continues to surge across the continent.

The pan European Stoxx 600 rose 0.3 percent to 489.90, after having hit a five-week high in the previous session.

The German DAX slipped 0.1 percent and the U.K.’s FTSE 100 jumped more than 1 percent, while France’s CAC 40 index was marginally higher.

Italy’s BPER Banca jumped 2.2 percent after signing workforce optimization agreement with trade unions.

BP Plc and Royal Dutch Shell both rose about 1 percent in London on higher oil prices.

AstraZeneca gained 0.8 percent. Ionis Pharmaceuticals, Inc. a company focused on RNA-targeted therapies, has unveiled the closing of the previously announced collaboration deal with AstraZeneca to develop and commercialize eplontersen, following expiration of the waiting period under the HSR Act.

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Asian Shares Mixed After Dip In US Markets

Asian stocks ended on a mixed note Wednesday after U.S. stocks ended mostly lower overnight amid profit taking following recent gains on hopes the global economic recovery can weather risks from the Omicron virus variant and tightening monetary policy.

Chinese shares fell in cautious trade as a lockdown of 13 million people in the Chinese city of Xian entered its seventh day. The Shanghai Composite index fell 33.11 points, or 0.91 percent, to 3,597, dragged down by consumer staple and bank stocks.

Hong Kong’s Hang Seng index ended down 194.02 points, or 0.83 percent, at 23,086.54. Japanese stocks closed lower in thin year-end trade as investors braced for a feared rebound in coronavirus cases at the start of New Year’s holidays.

The Nikkei average dropped 162.28 points, or 0.56 percent, to 28,906.88, with transportation equipment, retail and communication sectors in focus. The broader Topix index closed 0.30 percent lower at 1,998.99.

J. Front Retailing soared 7.4 percent and Tokyo Electric Power rallied 3.5 percent while Bridgestone, AGC and Sapporo Holdings lost 3-4 percent.

Australian markets rose for a fifth straight session to close at a 3-1/2 month high despite the country’s Covid-19 infections surging to a fresh record due to the rapid spread of the Omicron variant.

The benchmark S&P/ASX 200 index climbed 89.50 points, or 1.21 percent, to 7,509.80 while the broader All Ordinaries index jumped 95.60 points, or 1.23 percent, to close at 7,840.30.

Buying was seen across the board, with financials and energy stocks leading the surge. Mining heavyweights BHP and Rio Tinto ended on a flat note despite copper prices hitting a one-month high.

Chalice Mining soared 7.8 percent after the platinum explorer said it was closer to begin drilling at its Julimar project in Western Australia.

Seoul stocks ended notably lower due to ex-dividend trades and profit-taking after recent string of gains. The Kospi average fell 26.95 points, or 0.89 percent, to 2,993.29 amid selling by institutional and foreign investors. Tech and auto stocks were among the prominent decliners.

In economic releases, sentiment among South Korean businesses over the economic situation improved this month due to export growth, central bank data showed.

New Zealand shares eked out modest gains, with the benchmark NZX-50 index rising 52.01 points, or 0.40 percent, to 12,940.42 in post-Christmas trade.

Financial services provider Heartland Group Holdings surged 4.7 percent and pharmaceutical firm EBOS added 3.5 percent.

Overnight, the Dow edged up 0.3 percent to extend gains for the fifth straight day while the Nasdaq Composite fell 0.6 percent and the S&P 500 slid 0.1 percent to snap a four-day winning streak.

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DAX Rises On Growth Optimism

German stocks advanced on Tuesday as investors hailed strong holiday season sales in the United States and grew confident a global recovery would regain steam next year despite the challenges posed by the Covid-19 pandemic.

Worries regarding Omicron continued to ease, with British health minister Sajid Javid saying that England will not get any new Covid-19 restrictions before the end of 2021.

Policy support signals from China also boosted sentiment.

China’s short-term money rates eased from levels around their highest in months on Tuesday after the People’s Bank of China injected 200 billion yuan ($31.39 billion) through seven-day reverse repos into the banking system, the biggest daily injection since late October, to meet higher demand for cash towards the year-end.

The benchmark DAX rose 51 points, or 0.3 percent, to 15,886 after rising half a percent to a one-month high on Monday.

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Asian Shares Follow Wall Street Higher

Asian stocks ended mostly higher on Tuesday after strong retail sales data helped Wall Street’s S&P 500 index end at a record high in its fourth straight day of gains overnight. Traders also evaluated the resilience of the global recovery to a record spike in coronavirus cases.

Chinese shares eked out modest gains as authorities unveiled sweeping regulations governing overseas share sales by the country’s firms and the People’s Bank of China injected 200 billion yuan ($31.39 billion) through seven-day reverse repos into the banking system.

The benchmark Shanghai Composite index edged up 14.14 points, or 0.39 percent, to 3,630.11 while Hong Kong’s Hang Seng index ended up 0.24 percent at 23,280.56.

China Evergrande Group shares jumped more than 8 percent after the embattled property developer said it had made initial progress in resuming construction work.

Japanese shares hit a one-month high, led by gains in technology stocks. Sentiment was also bolstered by data showing a Japan’s factory output in November.

The Nikkei index rallied as much as 392.70 points, or 1.37 percent, to 29,069.16, marking its highest since Nov. 25. The broader Topix index closed 1.37 percent higher at 2,005.02.

Tokyo Electron, Sony Group, Fanuc and Daikin Industries jumped 2-3 percent. Medical equipment and camera maker Olympus soared as much as 4.3 percent.

Kewpie added 2.6 percent after the mayonnaise maker raised its forecast for annual profit and dividend.

Seoul stocks advanced as investors bought shares before the ex-dividend date. The Kospi average gained 20.74 points, or 0.69 percent, to finish at 3,020.24. LG Chem, SK Hynix and Naver all rose about 1 percent.

Investors shrugged off data from the Bank of Korea showing that consumer confidence in the country weakened for the first time in four months in December.

U.S. stocks rose in thin post-Christmas trading overnight as investors hailed strong holiday season sales and grew confident a global recovery would regain steam next year despite the challenges posed by the Covid-19 pandemic.

The S&P 500 climbed 1.4 percent to reach a new record closing high ahead of year-end window dressing and the tech-heavy Nasdaq Composite rallied 1.4 percent while the Dow added 1 percent.