Stocks on the move: ITV up 9.6%, Hargreaves Lansdown down 4.4%
ITV shares are up 9.6% after a Financial Times report that it may be selling a stake in its production group ITV Studios.
ITV Studios is one of Europe’s biggest program producers and some analysts estimate it could be worth more than its parent company’s 2.5 billion pound ($2.82 billion) market capitalization.
British investment platform Hargreaves Lansdown fell 4.4% after reports of slowing earnings and news that CEO Chris Hill is stepping down. The company reported that assets under administration fell in the first quarter of fiscal 2023.
The organization has also been hit by a multi-million pound lawsuit over the failure of one of its former fund managers, Neil Woodford.
– Hannah Ward-Glenton
UK government bond yields fall ahead of fiscal state
Yields on long-term UK government bonds, known as gilts, have fallen ahead of new Chancellor of the Exchequer Jeremy Hunt’s tax return due today.
10-year gilt yields fell 19 basis points to trade around 4.129%.
The yield on 20-year gilts was down about 15 basis points at the market open, while yields on index-linked 30-year gilts were down about 17 basis points.
Yields on 5-year and 2-year gilts also fell on Monday.
– Hannah Ward-Glenton
Sterling strengthens after political reversal
Sterling rose on Monday morning in Asia following further policy investment from the UK government late last week. The pound was last up 0.56% at $1.1233.
CNBC Pro: Nearing Retirement? How to allocate your portfolio right now, according to the pros
Despite volatile markets, asset managers say it’s important to stay invested if you’re nearing retirement.
But how should the funds be allocated, given the unsettled markets, a shorter investment horizon and the need for retirees to have some liquidity?
CNBC Pro asks the experts for their thoughts.
Professional subscribers can read more here.
– Weizhen Tan
China’s central bank leaves medium-term rates unchanged
The People’s Bank of China renewed its medium-term credit loans (MLF) and kept its interest rate unchanged at 2.75 percent, according to a statement on its website.
The central bank announced it would keep the one-year rate unchanged for a second month and injected 500 billion yuan ($70 billion) through the MLF.
A Reuters poll forecast no change in the MLF rate and a partial renewal of central bank lending.
– Jihye Lee
CNBC Pro: As market volatility persists, Wall Street analysts say they are selling these stocks
Stocks around the world have taken a beating this year and the major indexes remain in negative territory.
As investors weigh whether to sell or stay invested, CNBC Pro examined nearly 1,500 global large- and mid-cap stocks and found several major companies with sell or underweight ratings.
CNBC Pro subscribers can read more here.
– Ganesh Rao
Wednesday, August 17, 2022 at 12:29 PM EDT
European markets: here are the opening calls
European markets are headed for a lower open on Monday as investors probe the deteriorating economic outlook.
According to data from IG, the UK’s FTSE is expected to open 31 points lower at 6,819, Germany’s DAX down 60 points at 12,377 and France’s CAC down 29 points at 5,902.
The lower opening in Europe comes amid increasingly pessimistic global sentiment; shares in the Asia-Pacific region fell on Monday as recession fears weighed on sentiment.
Meanwhile, in the U.S., stock futures traded higher early Monday as investors awaited big earnings reports from Bank of America on Monday, while Goldman Sachs will release numbers on Tuesday morning .
Last week, a higher-than-expected inflation reading sent wild price swings across markets as investors readjusted their expectations for upcoming rate hikes by the US Federal Reserve.
As for the data in Europe, the final data of the inflation reading for Italy in September is due.
—Holly Elliott
CNBC Pro: Morgan Stanley’s Mike Wilson points out a key risk to earnings and names stocks to avoid
Morgan Stanley’s US equity team, led by Michelle Weaver and Mike Wilson, says there is a key risk to earnings on the horizon.
The investment bank named several stocks that it believes will be hit the hardest in the next 3-6 months, and could see their share prices fall over the same period.
Professional subscribers can read more here.
— Xavier Ong