In European Equity Markets the pan-European Stoxx 600 climbed 0.72% by the closing bell, with chemicals, and food and beverages leading gains. All sectors except banks and autos traded in positive territory. Cruise ship operator Carnival topped the FTSE and Stoxx 600 after its profit and revenue beat for the quarter. The firm also forecasted a 2020 profit that bettered previous estimates. Shares rose 7.2% At the other end of the European benchmark, NMC Health shares fell 16% to mark a fourth straight day of losses after short-seller Muddy Waters revealed it was holding a short position on the stock. According to Reuters the firm lost around £2 billion in market value Friday.
In Currency Markets the pound rose 0.4% on Friday after three days of declines, trading close to its biggest weekly loss since 2017 after gains last week on the Conservatives’ clear election win were erased by the resurfacing risk of a no-deal Brexit. The pound did not react on Friday after lawmakers, as widely expected, voted by a large margin to pass Prime Minister Boris Johnson’s European Union exit deal. The pound was up 0.4% versus the dollar at $1.3058, having slipped below $1.30 in overnight trading. Sterling has fallen around 2% this week, having lost all its election-night gains.
In Commodities Markets oil prices fell on Friday, but were set for a third straight weekly gain after the easing of U.S.-China trade tensions, which has boosted business confidence and the outlook for global economic growth. Brent was down 22 cents at $66.32 a barrel, but marking a weekly rise of around 1.7%. U.S. WTI crude was down 50 cents at $60.68 per barrel, but has gained around 1% on the week. Progress in the trade dispute between the world’s two biggest oil consumers has raised expectations of higher energy demand next year. UBS lifted its oil price forecast for 2020 but also expects the oil market to be oversupplied by 0.3 million barrels per day next year.
In US Equity Markets stocks inched to fresh record highs on Friday, as investors remained optimistic about improving trade relations between Washington and Beijing in the run-up to the holiday season. All three major stock indexes have been trading at record levels for over a week, boosted by the announcement of an initial U.S.-China trade agreement and upbeat economic indicators. The S&P 500 was up 0.37%, at 3,217.31 and the Nasdaq Composite rose 0.23%, at 8,907.65. Nike Inc fell 1.7% after the world’s largest sportswear maker reported lower-than-expected growth in revenue from North America.
In Bond Markets U.S. Treasury yields rose on Friday on relatively strong economic growth and consumer spending reports. The benchmark 10-year yield was up 2.8 basis points to 1.9364% in morning trading, reflecting greater appetite for risk. The two-year yield, which typically moves in step with interest rate expectations, was up 1.9 basis points to 1.6397% in morning trading.