Blue chips look like a good investment, but be careful, economist says
Rob Buckland, Citi’s Global Chief Economist, discusses blue chip companies, oil stocks and the profit environment for 2023 on CNBC’s “Squawk Box Europe.”
Oil and gas stocks fall as oil prices are expected to drop 10% per week
European oil and gas stocks fell 0.8% in the early afternoon, while all other sectors were buoyant.
U.S. West Texas Intermediate and Brent crude futures were both up on the day but expected weekly losses of around 10% each. This represents the worst weekly decline since April and August, respectively, Reuters reported.
This week saw the start of the EU embargo on Russian crude oil purchases, and as the bloc, along with the G-7 and Australia, implemented a price cap on maritime oil Russian.
Oil prices failed to secure a significant increase from the easing of Covid-19 restrictions in China, despite expectations of increased demand, or an oil bottleneck in Turkey.
Total energies was down 1.8% at 1 p.m. in London, Shell was down 0.8%, and BP was down 1.3%.
—Jenni Reid
UK financial regulator fines Santander $132m for anti-money laundering failures
The UK’s Financial Conduct Authority announced on Friday that it had fined Spanish bank Santander £107.7 million ($132 million) for “serious and persistent” failures.
The regulator said the UK branch of Santander failed to properly oversee its anti-money laundering systems for more than 560,000 business customers between December 31, 2012 and October 18, 2017.
“In one case, a new client opened an account as a small translation business with expected monthly deposits of £5,000. Within six months, he was receiving millions in deposits and quickly transferring the money to separate accounts” , said Mark Steward, executive director of the FCA. for execution, said in a statement.
Read the full story here.
UK announces major overhaul of its financial sector in a bid to boost growth
The UK government on Friday announced sweeping financial regulatory reforms that it says will overhaul EU laws that “stifle growth”.
The package of 30 measures includes a relaxation of the rule which requires banks to separate their retail operations from their investment branches. This measure – first introduced following the 2008 financial crisis – would not apply to retail-oriented banks.
Read the full story here.
-Jenny Reid
We’re seeing “some kind of” earnings inflection for the first time in 2 years: portfolio manager
Man Group’s Henry Dixon discusses, among other things, the outlook for earnings in 2023 and the US labor market.
Stocks in motion: Man Group up 4%, Carl Zeiss Meditec down 10%
Shares of Carl Zeiss Meditec plunged more than 10% in early trading after the German medical technology company issued a weak first-quarter earnings outlook.
Leading European blue chip index, UK investment manager group of men climbed 4.7% after the announcement of a $125 million share buyback program.
-Elliot Smith
Here are the opening calls
Great Britain FTSE100 expected to gain about 18 points to 7,490, Germany DAX is expected to climb about 54 points to 14,319 and France CAC 40 is seen around 21 points higher at 6,668.
There is confusion and optimism about China’s transition to zero-Covid (British Chamber of Commerce)
Beijing’s “U-turn” on Covid policies leads to both confusion and optimism, said Steven Lynch, chief executive of the British Chamber of Commerce in China.
‘There’s a lot of optimism and hope for 2023, but there’s huge confusion,’ he told CNBC’s ‘Squawk Box Asia,’ describing the overtaking of strict Covid rules as happening. “almost overnight”.
He said there could still be “huge inconsistencies” between local policies and central government rules, and people were worried about getting sick.
“One thing is very clear, Covid is here now. Covid is quite prevalent here in Beijing. And I think that brings a whole new set of challenges to what China is going to face,” he said. declared.
—Abigail from
CNBC Pro: Bank of America says these two global chip stocks could rise 75% on electric car sales
A shortage of semiconductors during a boom in electric vehicle sales could help boost profits for a handful of chipmakers, according to Bank of America.
The Wall Street bank predicted that two chip stocks could see their stock prices rise by more than 75% thanks to this trend.
CNBC Pro subscribers can learn more here.
—Ganesh Rao
CNBC Pro: Is Apple a stock to buy or avoid? Two investors face off
It’s been a tumultuous year for tech companies as investors flee growth stocks amid rising interest rates and other headwinds.
Apple held up better amid the tech carnage, although there were some headwinds.
On Wednesday, two investors squared off on CNBC’s “Street Signs Asia” to argue for and against buying the stock.
CNBC Pro subscribers can learn more here.
—Weizhen Tan
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