Research Market strategy
By Swissquote Analysts
Morning News

Glencore Buys Majority Stake in Teck Resources' Coal Unit for $6.93 Bln

Canadian miner Teck Resources (+0.5% in New York) said it is selling its coal assets to a group led by mining and trading giant Glencore (+4.5% in London) in a deal that would cap a lengthy saga and be one of the biggest in mining this year. The transaction would value the business at around $9 billion. Under the terms of the deal, Switzerland-based Glencore will pay $6.93 billion for a 77% stake. Japan-based steelmaker Nippon will hold a 20% stake after converting existing holdings in some of Teck’s coal operations and paying cash, while South Korean steelmaker Posco will hold a 3% position after converting its holdings. The Wall Street Journal previously reported a deal with Glencore was near. Shares in Glencore rose 3% in London on Tuesday. The deal value reflects a robust market for so-called metallurgical coal, the kind used in steelmaking. Teck has spent much of the year figuring out a future for its coal business.

By
Jean MOLIN
Morning News

Emirates Airline Orders 95 Boeing Jets Worth $52 Billion

Boeing climbed 4% after Dubai-based Emirates Airline said it would buy 95 aircraft from the jet maker. The Dubai-based carrier has placed fresh orders for 55 of the U.S. aircraft maker’s 777-9 jets, 35 777-8 jets and five 787 Dreamliner jets, Boeing and Emirates said Monday. Emirates said the jets were worth $52 billion. The companies didn’t disclose the financial details of the transaction, but buyers typically receive steep discounts in such orders. The order will expand Emirates’ 777X backlog to 205 jets and take its 787 order book to 35 jets.

By
Mathieu VILLARD
Morning News

Lagarde Says ECB Won't Cut Rates for Next Couple of Quarters, FT Reports

The European Central Bank won't cut rates for at least "the next couple of quarters", its President Christine Lagarde said, according to the Financial Times. Inflation in the eurozone would only come down to the ECB's 2% target if interest rates were kept at their current levels for long enough, she said, according to the FT. At the end of its last monetary policy meeting on 26 October, the ECB left interest rates unchanged, having raised them ten times in a row between July 2022 and September 2023.

By
Mathieu VILLARD
Morning News

Richemont Continues to Grow in The First Half of 2023/24

The boom as regards to luxury goods continues. The jewellery and watch group Richemont grew in the first half of 2023/24 (as at 30 September) and generated a billion-euro profit. Sales in the jewellery business increased strongly once again. Group sales rose by 6.0 per cent to 10.2 billion euros in the period from April to September, as the manufacturer of luxury watches under the Piaget and IWC brands and expensive jewellery from Cartier as well as Van Cleef & Arpels announced on Friday.

By
Jean MOLIN
Morning News

Zurich continues to grow and considers additional share buyback

Zurich Insurance succeeded in increasing its premiums over the first nine months of the year. On Thursday, management also confirmed its targets for 2025. Between January and the end of September, gross premiums in general and accident insurance rose by 8% to 34.59 billion dollars, the Zurich-based group detailed in a press release.

By
Ludovica SCOTTO DI PERTA
Morning News

Uber Sales Rise as Bookings Grow 21% and Ride-Hailing Revenue Jumps 33%

Uber Technologies reported third-quarter revenue below Wall Street expectations on Tuesday, but earnings above the consensus call. Uber (ticker: UBER) reported third-quarter earnings of 10 cents a share on revenue of $9.29 billion. Analysts surveyed by FactSet were expecting the ride-share company to post earnings of 7 cents a share on revenue of $9.54 billion. In the same period last year, Uber posted a loss of 61 cents a share on revenue of $8.34 billion. The company also reported third-quarter gross bookings of $35.3 billion, above Wall Street estimates of $34.6 billion and an increase of 21% from last year’s $29.1 billion.

By
Nadine PEREIRA
Morning News

UBS posts third-quarter loss of 0.8 billion dollars

UBS (-0.5%) suffered a substantial loss in the third quarter of 2023. Adjusted for integration costs, however, pre-tax profit was nevertheless remarkably solid. The big bank had only forecast a break-even adjusted pre-tax result. On balance, the new UBS Group posted a loss of USD 785 million in the third quarter, as announced on Tuesday. This quarter is the first in which CS is fully included. In the second quarter, only June was included in the UBS financial statements. UBS quantifies the pre-tax loss for the third quarter at 255 million.

By
Peter Rosenstreich
Morning News

Sharp U.S. Hiring Slowdown Signals Cooling Economy Ahead

Job growth slowed sharply last month, a sign the U.S. economy is cooling this fall after a torrid summer. Employers added 150,000 jobs in October, half the prior month’s gain and the smallest monthly increase since June, the Labor Department said Friday. The unemployment rate rose to 3.9%, up a half-point since April, and wage growth slowed. The figures are likely to bring the Federal Reserve’s historic interest-rate increases to an end by providing stronger evidence that higher borrowing costs have slowed the economy.

By
Nadine PEREIRA
Morning News

Shell Launches $3.5 Bln Buyback After Earnings Rose on Higher Energy Prices

Shell launched a $3.5 billion share buyback program after third-quarter earnings rose on higher refining margins, oil prices and sales, but slightly missed market expectations. The London-based company reported adjusted earnings of $6.22 billion for the quarter, up from $5.07 billion in the preceding quarter, but slightly missing market expectations of $6.25 billion provided by Vara Research. Last year, Shell posted third-quarter adjusted earnings - a metric that strips out certain commodity-price adjustments and one-time charges - of $9.45 billion as it benefited from exceptionally strong natural gas and fuel demand.

By
Nadine PEREIRA
Morning News

GSK PLC Raises Guidance After RSV Vaccine Lifts Earnings

GSK PLC raised its guidance after third-quarter net profit rose mainly due to the U.S. launch of its Arexvy vaccine, although it missed analysts’ forecasts. The British pharmaceutical giant said Wednesday that net profit from continuing operations for the third quarter was 1.46 billion pounds ($1.77 billion), boosted by the vaccine for respiratory syncytial virus, or RSV, compared with GBP759 million a year earlier and a company-compiled consensus of GBP1.87 billion. Turnover for the period rose to GBP8.15 billion from GBP7.83 billion, beating analysts’ expectations of GBP7.77 billion.

By
Nadine PEREIRA