Markets were broadly calmer on Monday after last week’s rush into haven assets, as investors await further developments in the conflict between Israel and Hamas.
Aside from geopolitics, traders are focused on interpreting central bank policies around inflation rates, as well as upcoming third-quarter corporate results this week. The outlook for earnings is weakening and could remain subdued, according to strategists.
Dublin
In Dublin, the Iseq All Share rose by 0.77 per cent on Monday, to 8,270.78.
There were no losses among Irish banks on the day, as AIB rose by 2.06 per cent to €4.37, and Bank of Ireland was up 0.23 per cent, to close at €9.55. Meanwhile, Permanent TSB remained static at €2.00.
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Biggest gains included for homebuilder Glenveagh Properties, which rose by 2.21 per cent to €0.971. Fellow homebuilder Cairn Homes was also in the green, rising by 1.77 per cent to €1.15.
Food company Kerry Group was among the largest increases on the day, up 2.1 per cent, to €75.50.
Paddy Power parent company Flutter Entertainment rose by 1.54 per cent to €154.85, while budget airline Ryanair gained 0.70 per cent to €15.165.
On the downside, Donegal Investment Group fell by 2.86 per cent to €17.00, while life sciences company Malin Corporation lost 3.14 per cent, closing at €4.32.
Building materials company Kingspan lost 1.38 per cent, closing at €67.00, while packaging company Smurfit Kappa was also down on the day, falling by 0.53 per cent to €31.73.
London
The UK’s export-heavy FTSE 100 Index rose by 0.41 per cent on Monday, closing at 7,630.63. Meanwhile, the more domestically focused FTSE Mid-Cap 250 also gained, rising 0.37 per cent to 17,519.
Investors will keenly watch the September data on the UK’s unemployment rate on Tuesday, followed by key inflation numbers on Wednesday.
Abrdn climbed 4.16 per cent after the fund manager said it had agreed to sell its European-headquartered private equity business to Brazilian firm Patria Investments.
Ocado fell 5.8 per cent after Barclays downgraded the online supermarket’s rating to “underweight” from “equal-weight”, while water supplier Severn Trent rose 2.82 per cent after Jefferies upgraded the stock to “buy” from “underperform”.
Shares of Hipgnosis Songs Fund tumbled 9.74 per cent after the music catalogues investor withdrew its proposed interim dividend.
Europe
European stocks were muted by geopolitical concerns but were given a lift after elections in Poland suggested the ruling nationalist party could fall short of a majority.
The pan-European Stoxx 600 Index rose by 0.23 per cent on Monday, as Polish equities jumped the most since May 2022. Bank Polska Kasa Opieki jumped by 13.28 per cent, while PKO Bank Polski saw a rise of 11.25 per cent.
The German Dax Index rose by 0.34 per cent, while the French CAC 40 increased by 0.27 per cent.
On the downside, uncertainty over the prospects for a multibillion-euro approach filed by US fund KKR for Telecom Italia’s prized landline grid sent shares in the former phone monopoly down by 6.23 per cent on Monday.
New York
Wall Street’s main indexes jumped more than 1 per cent on Monday, to kick-start a week packed with corporate earnings and economic data, while investors also monitored the Israel-Hamas conflict.
A spate of big bank earnings reports on Friday marked the unofficial beginning of the third-quarter earnings season, as results from large banks Goldman Sachs, Bank of United States, Morgan Stanley, pharmaceutical giant Johnson & Johnson, EV maker Tesla and video-streaming pioneer Netflix are due this week.
Among stocks, Apple shares dipped as separate studies showed that the new iPhone 15 is selling far worse in China than its predecessor. Lululemon Athletica rose as the sports apparel maker is set to join the S&P 500 index this week, replacing Activision Blizzard.
Moderna reaffirmed its forecast of $6 billion (€5.6 billion) to $8 billion in Covid vaccine sales for the year, as the company’s shares fell on Monday.
Manchester United Plc slumped on news the Qatari group was stepping back from a potential takeover.
