Equities drift lower in quiet session, as US banks eyed
City Index October 19, 2010 8:34 PM
<p>European markets drifted amid low volumes as investors digested last night’s earnings from leading US Corporates. Apple’s fourth quarter earnings soared on strong sales on […]</p>
European markets drifted amid low volumes as investors digested last night’s earnings from leading US Corporates. Apple’s fourth quarter earnings soared on strong sales on the iphone, but Ipad sales lagged, driving the stock lower in afterhours trading. Consequently technology stocks weighed on European Bourse with Germany Infineon trading down 2%. The mixed bag from Apple set a cautionary tone for investors who will look ahead to more corporate earnings today as a guide to future direction. US banking giants Goldman, Bank of America and Bank of NY Mellon all report pre open and clients are seemingly sat firmly on their hands until then.
In more specific news, Autonomy traded lower in the early session as 3Q results flattered to deceive, and a lack of acquisition announcement disappointed those hoping for further consolidation. Software specialist Arm drifted lower too, in part due to Apple and in part due to profit taking from yesterday’s gains.
Heavyweight miners and banks traded at parity, with some banks making minor gains but generally investors opted for inactivity in the face of uncertainty, they will be hoping for better guidance from the US before betting a consolidation on yesterday’s gains are on the cards.
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