International Market Overview 24 May 2022

Sharing our Daily Market Overview with you, ensuring that you do not miss out on any important market changes!

 

International Market Update

  • European stock markets closed higher Monday, although fears about the global economy have dominated market sentiment recently. The pan-European Stoxx 600 closed 1.3% higher, with major bourses and sectors ending the trading session in positive territory. The European banking index and mining stocks led the gains, both gaining over 2.3%. Shares in Siemens Gamesa climbed 6.2% to top the
    European blue-chip index after Siemens Energy offered to buy all of the renewable energy company’s outstanding shares for 4.06 billion euros ($4.29 billion).
  • U.S. stocks rallied Monday as investors bought up battered stocks such as banks after the Dow Jones Industrial Average suffered eight straight weeks of losses. JPMorgan rose 6.2% after the bank said it expects to hit key yield targets ahead of schedule as rising interest rates give a boost to its lending business.
  • Markets in the Asia-Pacific region were subdued this morning, as investors dismissed a possible thaw in the U.S.-China trade relationship after U.S. President Joe Biden held out the prospect of lowering tariffs on Chinese goods. According to Reuters, production in Japan rose at the slowest pace in three months in May as supply bottlenecks slowed output. Toyota Motor said this morning that it will cut its global production by about 100,000 to 850,000 units in June due to the semiconductor shortage. Shares of the Japanese automaker were up 0.29% this morning.

 

In International News

 

Zoom climbs 16% after first-quarter profit beat and strong outlook

Zoom shares rose 16% in extended trading Monday after the video chat softwareprovider reported better-than-expected first-quarter results and issued an optimistic outlook for the second period. Earnings per share were $1.03 per share (excluding items), according to Refinitiv, versus 87 cents per share expected by analysts. Meanwhile, revenue of $1.07 billion was reported vs.
$1.07 billion expected by analysts, according to Refinitiv. Revenue growth for the period ended
ended April 30 was 12%, compared with nearly 200% in the same quarter a year ago. For the second quarter, Zoom now expects sales of $1.115 billion to $1.12 billion, representing growth of at least 9.2%.

Toyota to cut global production plan by 100,000 vehicles in June

Toyota Motor will cut its global production plan by about 100,000 vehicles to about 850,000 in June due to the semiconductor shortage.
The company announced Tuesday that it will cut its global production plan by 100,000 vehicles in June due to the semiconductor shortage. The company did not change its estimate to produce about 9.7 million vehicles worldwide by March 2023. The automaker also announced that additional domestic production lines will be shut down due to supply shortages caused by the
Covid-19 shutdown in Shanghai. The additional suspension will last up to five days between
Wednesday and June 3 for up to five days, affecting a total of 16 production lines at 10 factories in May and June. The company plans to produce an average of 850,000 vehicles per month from June to August, it said.