Save from as low as €40 per month Change modify pause
US stocks started the week lower on Monday as upbeat economic data and a fresh round of quarterly results failed to inspire buying appetite. The Dow industrials broke the trend of an otherwise downbeat session, rising 44.95 points to close at 25,064.36, whilst the S&P 500 index, dropped 2.88 points to 2,798.43. Financials led the gains, rising 1.8%, but that increase was counterweighed by losses in energy shares, which slid 1.2%, and materials and health-care sectors, which declined 0.8% and 0.7% respectively.
European markets also finished lower, with mining shares pulling back as Chinese economic data highlighted concerns surrounding a global trade war. Bank stocks advanced however, as Deutsche Bank AG offered a brighter prospect for the upcoming earnings report. The Stoxx Europe 600 index fell 0.3% to close at 384.06, on the other hand Germany’s DAX 30 index added on 0.2% to 12,561.02, supported by Deutsche Bank shares which rose. The U.K.’s FTSE 100 index ended 0.8% lower to close at 7,600.45.
Netflix dives after disappointing earnings
Netflix Inc. posted weaker-than-expected second-quarter revenue and subscriber numbers Monday afternoon, which resulted in its stock taking a sharp nosedive during after-hours trading. Netflix shares fell about 14% in the extended session after the Los Gatos, Calif-based company announced it added 5.2 million streaming users in the second quarter, an astronomical drop from the 6.2 million estimate the company provided in April. The company added 4.47 million international subscribers and 670,000 domestic subscribers, failing its April estimates of 5.9 million and 1.2 million.
In a letter to shareholders, Netflix maintained that the company had a strong quarter nevertheless, acknowledging the company had “over-forecasted” both domestic and global net subscriber additions and admitted that acquisition growth was lower than expected.
Bid-war nears end for Fox
Twenty-First Century Fox shares dropped more than 2 percent on Monday, after investors viewed the lack of a new bid by Comcast Corp for most of Fox’s assets as an indication that its bidding war with Walt Disney Co for them is likely over.
Disney fended off Comcast’s $66 billion all-cash challenge to its deal for the Fox assets last month by amending its offer to $71 billion in cash-and-stock. Time is limited for Comcast to come back with a new offer, with Fox shareholders scheduled to vote on the Disney deal on July 27. Comcast was “highly unlikely” to make a new offer for the Fox assets. However, sources familiar with the matter stated that Comcast CEO Brian Roberts has kept his arrangements with banks in place to initiate a new offer, but he has not communicated his intentions or made a final decision.
You are signing up to receive news, updates, general market announcement, articles and product or service marketing. By signing up you are consenting to our privacy policy and can unsubscribe at any time.