In London, stocks have gotten off to a shaky start after a patient being treated for Ebola died in Germany. The fear surrounding the Ebloa crisis is spreading like wildfire, and traders won’t feel confident in equity markets until this issue is put to bed. Mario Draghi and Jens Weidmann are at loggerheads over how to tackle the stagnating eurozone economy. Mr Draghi wants to introduce quantitative easing but the Germans are having nein of it.
Mulberry has become synonymous with high-end handbags and profit warnings; the stock has been hammered this morning after the company stated that full-year profits will be ‘significantly’ below estimates.
Homebuilder Bellway is 3% higher after posting a healthy jump in profits, with the dividend also increasing. The company's figures are proof that the British property market is buoyant.
Sterling has been struck a savage blow after the UK CPI report showed the cost of living declined, the deflation in the eurozone creeping across the English Channel. The German ZEW report swung to a negative reading of 3.6. It's fair to say ‘unconventional tools’ are required to enhance investor confidence in the region.
In the US, we are expecting the Dow Jones to open up 21 points at 16,342 after the last minute selloff in New York last night. JPMorgan kicked off reporting for US banks with an earlier-than-expected release in which earnings per share narrowly missed estimates but stock went higher in pre-market trading.