Daily Markets: Energy, Tech Stocks in Brief


The big picture today

Stock indices in the Asia-Pacific region ended the trading week on a mixed note with modest gains for the Japanese Nikkei index and the Australian ASX All Ordinaries index. China’s Shanghai Composite lost 1.2% on the day while Hong Kong’s Hang Seng fell 2.5%, leaving it unchanged for the week. Reports weighed in on those markets that China would face sanctions if it helped Russia evade Western sanctions, while separately US regulators suggested talks over the dual listing of US-China shares were ” premature”. China also postponed its auto show amid rising Covid cases, and Japan’s CPI in Tokyo in March hit a six-year high. At midday, European equity indices are slightly higher and US futures are pointing to a positive market open later this morning as oil prices appear to be falling further.

The continued decline in oil prices likely reflects the announcement by US President Joe Biden and European Commission President Ursula von der Leyen of the formation of a joint task force to strengthen the energy security of Ukraine and the EU for next winter and the next. The European Parliament and EU member states yesterday reached an agreement on the Digital Markets Act (DMA), a new set of antitrust regulations that could reshape the business models of ‘guardian’ tech companies with capitalization market value of at least 75 billion euros ($83). billion) or annual revenue within the EU of at least €7.5 billion over the past three years. These “gatekeepers” must also have at least 45 million monthly users or 10,000 business users in the EU. Although the legislation has not been passed and a final version has yet to be formally adopted by the European Parliament, reports suggest a target adoption date as “sometime in October”. Custodians who violate the DMA face fines of up to 10% of worldwide earnings, and repeat offenders who violate 20%. As the final version of the regulations are consolidated, we expect to hear a lot about them in the coming weeks and months, especially from Apple (AAPL), Meta (FB), Alphabet (GOOGL), Amazon (AMZN) and others. whose business models meet the target criteria.

Data download

International economy

UK retail sales rose 7.0% year-on-year, but fell 0.3% from January’s 1.9% month-on-month gain. Non-store sales fell 4.8% and 0.2% at food stores, with significant declines at liquor and tobacco stores. Highlights of the February data included non-food stores, particularly clothing stores and department stores.

The Ifo business climate indicator for Germany fell to a 14-month low of 90.8 in March from 98.9 in February and the expected figure of 94.2. The components of current conditions and expectations fell sharply as the war in Ukraine weighed down and supply chain issues worsened. According to reports, 80.2% of companies faced supply chain problems during the month of March, compared to 74.6% in February. This in turn has led to higher price expectations, with two-thirds of companies surveyed willing to raise prices.

Italy’s March consumer confidence reading fell to 100.8 in March from 112.4 the previous month and largely missed the market forecast of 108.3 amid rising energy bills and uncertainty.

Domestical economy

We have another relatively calm day on the national economic calendar which sees pending home sales for February being reported as well as the latest March reading for the University of Michigan Consumer Confidence Index.


Stocks rallied yesterday, led by tech stocks as oil prices fell on the day and the yield on 30-year Treasury bills fell slightly. The Nasdaq Composite gained 1.9%, the S&P 500 gained 1.4% and the Dow Jones Industrial Average rose 1.0%. Including these moves, here’s how the major market indicators stack up on a year-over-year basis:

  • Dow Jones Industrial Average: -4.5%
  • S&P 500: -5.2%
  • Nasdaq compound: -9.3%
  • Russell 2000: -7.6%
  • Bitcoin (USD-BTC): -7.5%
  • Ether (ETH-USD): -16.7%

Stocks to Watch

Ahead of the start of trading in U.S.-listed stocks, the only company expected to report quarterly results is BRP Inc. (DOOO).

Shares of the Chinese electric vehicle company Nio Inc. (NIO) are down in premarket trading after the company missed December quarter expectations despite a 49% year-over-year revenue increase in the quarter. Vehicles delivered for the quarter totaled 25,034 compared to 24,439 the previous quarter and 17,353 in December 2020. For the current quarter, Nio sees revenue increase by 20.6% year-on-year, well below consensus forecasts of 33.8%.

FedEx (FDX) announced plans to test electric carts to deliver on its signature express routes in 10 U.S. and Canadian cities throughout 2022.

Netflix (NFLX) continues to expand its in-game footprint, announcing the acquisition of Boss Fight Entertainment. Founded in 2013, Boss Flight is best known for mobile gaming Dungeon boss, and worked on Zynga (ZNGA) CastleCity and Microsoft (MSFT) age of empires and Rise of Nations.

Airline rental company (AL) announced long-term leases for nine new Boeing (BA) 737 aircraft with Aeromexico. The nine aircraft consist of two new 737-8s and seven new 737-9s, and are expected to be delivered between July 2022 and August 2023. Amid the good news, reports indicate that the United States Federal Aviation Administration has warned Boeing that it may not achieve certification of a stretched version of the 737 MAX by a key safety deadline set by Congress.

The UK Competition and Markets Authority dismissed NortonLifeLock (NLOK) pending the acquisition of Avast plc (AVTTY) for a thorough investigation.

DigitalBridge Group (DBRG) subsidiary, DigitalBridge Investments, LLC acquires the mobile telecommunications tower business of Telenet Group Holding NV (TLGHF) for $820 million in cash, free of cash and debt.


No IPO offerings are scheduled for this week. Readers who want to dig deeper into the schedule of upcoming IPOs should visit Nasdaq’s Latest and Upcoming IPOs page.

After today’s market close

No company is supposed to publish its quarterly results. Those interested in learning more about which companies release their reports when head to the Nasdaq earnings calendar.

on the horizon

Monday, March 28 th

  • United States: Wholesaler inventories (preliminary) – February
  • United States: Dallas Federal Reserve Manufacturing Index – March

Tuesday 29 March

  • Germany: Gfk Consumer Confidence – April
  • France: Consumer confidence survey – March
  • United Kingdom: Bank of England
  • Germany: ZEW Current situation and economic sentiment – ​​March
  • United States: FHFA house price index – January
  • United States: Consumer confidence – March
  • United States: JOLTS report on job vacancies – February

Wednesday March 30

  • Japan: Retail sales (preliminary) – February
  • Japan: Import/Export – February
  • Euro zone: Business climate, consumer confidence, economic confidence, industrial confidence and services confidence indicators – March
  • Germany: consumer price index – March
  • US: Weekly MBA Mortgage Applications
  • United States: ADP employment survey – March
  • United States: GDP for the 4th quarter of 2021 – Final
  • United States: EIA Weekly Crude Oil Inventories

Thursday, March 31st

  • Korea: Industrial production – February
  • Japan: Industrial production – February
  • China: CFLP manufacturing and non-manufacturing PMI – March
  • Germany: Retail sales – February
  • United Kingdom: GDP for the 4th quarter of 2021 (final)
  • Euro zone: unemployment rate – February
  • United States: Initial and Continuing Weekly Unemployment Claims
  • United States: consumption and personal expenditure – February
  • United States: Chicago PMI – March
  • United States: EIA Weekly Natural Gas Inventories

friday april 1st

  • Japan: Tankan Large Manufacturing & Non-Manufacturing Index – 1Q 2022
  • Japan: Markit/JMMA manufacturing PMI – March
  • China: Markit/Caixin manufacturing PMI – March
  • Euro zone: Markit PMI Manufacturing – March
  • United Kingdom: CIPS manufacturing PMI – March
  • Euro zone: Consumer price index – March
  • United States: Employment report – March
  • United States: Markit manufacturing PMI – March
  • United States: construction spending – February
  • United States: ISM manufacturing index – March

Thought of the day

“Learn from yesterday, live today, hope for tomorrow. The important thing is not to stop questioning. – Albert Einstein


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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