Stocks on the move: BP up 5%, Allfunds down 9%
U.K. wealth tech company Allfunds Group saw its shares fall 9% to the bottom of the Stoxx 600 in early trade.
At the top of the index, BP shares added 5% to lead a broad advance for the oil and gas sector.
– Elliot Smith
CNBC Pro: Morgan Stanley’s Wilson says inflation is set to slide, but warns of a ‘new era’ ahead
Morgan Stanley’s Chief U.S. Equity Strategist Mike Wilson said he expects a “pretty steep decline in inflation,” and predicts when this could happen.
But he said there are two areas that are exceptions, where inflation could be “stickier.”
CNBC Pro subscribers can read more here.
— Weizhen Tan
Oil prices drop as China faces Covid concerns, Goldman Sachs cuts forecast
Oil prices fell by nearly a dollar as Covid concerns in China rose with the nation seeing the first virus-related deaths recorded since May this year.
Brent crude futures shed less than a dollar, or 0.9%, to stand at $86.83 per barrel and U.S. West Texas Intermediate futures dropped 1.09% to $79.21 per barrel.
Goldman Sachs cut its forecast for Brent oil by $10 to $100 per barrel for the fourth quarter of 2022, citing dented China demand with rising Covid concerns and insufficient details from the latest Group of 7 nations’ price cap on Russian oil.
“We believe the market has a right to be anxious about forward fundamentals,” economists including Jeffrey Currie said in the note, adding the potential of further lockdowns in China is equivalent to the latest production cut by OPEC+.
— Lee Ying Shan
CNBC Pro: Amazon’s down 40% this year — is it time to buy? Market pros give their take
Once a Wall Street darling, Amazon has lost some of its luster this year. The e-commerce giant’s stock has fallen more than 40%, well underperforming the S&P 500, which has declined about 15% in the same period.
Is it time for investors to pile back in? Two market pros faced off on CNBC’s “Street Signs Asia” on Thursday to make a case for and against buying the stock.
CNBC Pro subscribers can read more here.
— Zavier Ong
European markets: Here are the opening calls
European markets are heading for a higher open Tuesday as investors in the region appear to shrug off concerns among their U.S. and Asia-Pacific counterparts over China’s tightening of Covid restrictions, which are continuing to pressure output.
The U.K.’s FTSE index is expected to open 27 points higher at 7,407, Germany’s DAX up 33 points at 14,419, France’s CAC up 20 points at 6,653 and Italy’s FTSE MIB up 70 points at 24,433, according to data from IG.
Data releases include preliminary consumer confidence data for the euro zone in November.
— Holly Ellyatt
