World stocks traded largely flat on Wednesday as investors eyed a widely anticipated Federal Reserve interest rate cut.
Dublin
Euronext Dublin was flat on what traders described as a muted day for the index as investors kept their powder dry ahead of the Federal Reserve announcement.
After an initial spike in its share price, Glanbia finished up 1.5 per cent at close of business after the nutrition company announced the sale of the US arm of SlimFast to US packaged goods group Heartland Food Products.
The financial terms of the deal, which also covers the product’s business in certain other jurisdictions, were not disclosed. However, Glanbia valued the US business at €44.1 million at the end of last year.
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Elsewhere, agricultural group Origin Enterprises gave up 1.8 per cent, but a trader pointed out the stock has been on “an amazing run” of late.
Among the financial names, AIB was up 0.5 per cent, while Bank of Ireland was flat. Finally, Ryanair was flat.
London
Stock prices in London closed in the green following the Bank of Canada’s rate cut and ahead of the US Federal Reserve’s own announcement.
The FTSE 100 index closed 0.1 per cent, while the FTSE 250 ended up 0.6 per cent, and the AIM All-Share closed up 0.5 per cent.
On the FTSE 100, Barratt Redrow gained 1.9 per cent even as the housebuilder’s pretax profit in the year to June decreased to £273.7 million from £363.2 million.
Games Workshop rose 1.2 per cent as the fantasy game figurine maker and retailer said trading was in line with its expectations for the current financial year. It also declared a dividend of 85 pence, more than doubling the total dividends declared so far this year.
On the FTSE 250, PRS REIT gained 6.2 per cent as the real estate investment trust has entered into non-binding heads of terms to sell its operating subsidiary, PRS REIT Holding Co Ltd, and potentially liquidate its assets.
Automobiles and parts stocks rose 2.7 per cent, with luxury carmaker Aston Martin advancing the most out of the FTSE 250 stocks, with a 7.8 per cent gain.
Centrica was among the top gainers on the FTSE 100, up 3.6 per cent, after Morgan Stanley called the energy firm a top pick.
Ice cream unit Ben & Jerry’s co-founder Jerry Greenfield quit the company after a rift with parent Unilever. Its shares ended nearly flat.
Europe
On the continent, the Stoxx Europe 600 was little changed, while the Cac 40 in Paris closed down 0.5 per cent, and the Dax 40 in Frankfurt ended up 0.1 per cent.
Meanwhile, euro zone government bond yields eased ahead of a widely-expected US Federal Reserve rate cut later in the day, with the focus on any cues over the extent of easing the central bank may deliver this year.
Germany’s 10-year bond yield, the benchmark for euro zone debt, was down 2 basis points at 2.67 per cent.
New York
Wall Street’s main indexes were mixed ahead of the rate announcement, with the benchmark S&P 500 largely muted.
Chipmaker Nvidia fell 3.1 per cent, dragging the Nasdaq, after a report said China’s internet regulator had instructed the country’s biggest tech companies to stop buying all of the AI leader’s chips.
Defensive sectors such as consumer staples and healthcare stocks climbed 1.2 per cent and 0.6 per cent, respectively, and broader gains limited tech-driven declines on the S&P 500.
The financials sector bounced back from Tuesday’s losses and rose 1 per cent. American Express advanced 2.7 per cent to hit a record high and was among the biggest gainers on the Dow.
At 11.50am eastern time, the Dow Jones Industrial Average rose 0.65 per cent; the S&P 500 lost or 0.13 per cent; and the Nasdaq Composite fell 0.51 per cent. – Additional reporting: Agencies
