Credit Suisse leads a good day for European earnings, China's stock rally continues and Greece approves round two of creditor reforms. Here are some of the things that people in markets are talking about this morning.
Big day for European earnings
Credit Suisse, Roche and Unilever posted better-than-expected quarterly results today, triggering a rally in their shares. A weaker euro and a turnaround in the economy could send earnings growth in the region up to 20 percent higher in the second quarter, said HSBC in a note. Some 230 companies listed on the Stoxx 600 Index are due to report by the end of the month.
Greece clears second set of reforms
Parliament in Athens voted 230 to 63 for a bill that will simplify court decisions and transpose European rules on Greece's failing banks. Prime Minister Alexis Tsipras is trying to hold together his ad hoc majority as he advances toward the 86 billion euro bailout program the country needs to stave off financial collapse. Greece is aiming to wrap up talks with creditors before August 20 so that it can access funds to cover a payment to the European Central Bank.
China stocks on a six-day rally
The Shanghai Composite Index posted its longest stretch of gains since May. A rout that wiped out $4 trillion was halted after unprecedented government intervention: more than 1,400 firms were allowed to suspend trading, stake sales were banned, IPOs suspended and a government agency was allowed access to more than $480 billion of borrowed funds to finance equity purchases.
New Zealand cuts rates again
New Zealand’s central bank cut interest rates for the second time in six weeks and said further easing will likely be needed to stoke inflation as growth slows. But the New Zealand dollar surged -- thanks to the central bank's call to drop its assessment that the currency is overvalued. The New Zealand dollar had tumbled 13 percent against the U.S. dollar in the past three months, the worst performance among the 16 major currencies.
U.S. jobless claims and earnings
Amazon, Starbucks and McDonald's kick off another day of quarterly results in the U.S., while investors await weekly unemployment data. Helping sentiment: A $48 billion insurance deal is in the works.
What we've been reading
This is what's caught our eye over the last 24 hours.
- This tantrum-prone CEO quit in anger, came back, then got fired
- Is Britain the promised land? Greek traffic to a U.K. jobs site has surged.
- To beat the market in China: Buy at the open. Sell at the close. Repeat.
- Why the Greek deal might just work.
- A $15 minimum wage for fast food workers in New York City?