As every Sunday, the most important news from the past week and the dates for the coming week.
Here are the dates as a video:
https://youtube.com/shorts/gi-bydNnthY?si=wMn36h67rEc0oa0I
Monday:
Good news on the German economy. The economy shrank by 'only' 0.1% in the third quarter. A decline of 0.4 % was expected. In addition, the figures for the previous quarter were revised upwards to growth of 0.1%. Previously, stagnation had been expected in the second quarter.
The inflation rate fell surprisingly sharply to 3.8% in October.
https://amp.focus.de/finanzen/news/inflation-schwaecht-sich-im-oktober-deutlich-ab_id_235396453.html
$MCD (-0.18%) McDonald's is growing surprisingly strongly. Recently, fast food shares have tended to be sold off due to the developments surrounding weight loss injections. However, this development is not reflected in McDonald's figures. Total sales grew by 14 % to EUR 6.69 billion. The dividend is to be increased by 10 %. We also noticed the high McDonald's density in Bordeaux. All the stores were very busy.
Tuesday:
Inflation has already fallen significantly in Germany. In the eurozone, inflation is approaching the ECB's 2% target even faster. Inflation in the eurozone fell to 2.9% in October. Economists were expecting 3.1%. This is the lowest level since July 2021.
https://www.tagesschau.de/wirtschaft/konjunktur/inflation-euroraum-oktober-100.html
The head of the Greek central bank, Yannis Stournaras, believes that an interest rate cut by the ECB is realistic by mid-2024 at the earliest. However, this would also require inflation to fall below the 3% level on a permanent basis. If even the head of the Greek central bank does not expect interest rate cuts until mid-2024 at the earliest, it is very unrealistic that we will see interest rate cuts any earlier. An exception would probably be a genuine economic crisis and a resulting collapse in inflation.
$TMV (-1.8%) Teamviewer continues with double-digit growth. Sales increased by 10 % to EUR 158.1 million and operating profit by almost 20 % to EUR 70.3 million.
$BAS (-1.23%) BASF posted a net loss of EUR 249 million. This was mainly due to non-cash-effective write-downs on the subsidiary Wintershall. The dividend is expected to remain stable at EUR 3.40.
Wednesday:
At $WE WeWork is probably considering filing for insolvency. The share therefore collapses.
$7203 (-0.41%) Toyota delivers record figures. The car manufacturer has so far hardly focused on electromobility. In Japan, the focus is still on hybrid vehicles. Turnover for the year is expected to increase by 16% to EUR 269 billion. The profit forecast has been raised to EUR 28 billion.
The FED is keeping the key interest rate unchanged. The decision had been on the cards. The key rate thus remains in the range of 5.25 % to 5.50 %. However, the FED is keeping its options open for further increases should strong economic growth in the USA lead to rising inflation again.
Thursday:
$BOSS (-2.36%) Hugo Boss appears to be defying the worsening retail environment. EBIT rose by 12% to EUR 103 million in Q3. The margin also improved. Sales increased by 10% to EUR 1.03 billion.
The BoE also did not change the current key interest rate of 5.25%. This means that key interest rates in Canada, the eurozone, the USA and the UK will remain stable. Experts expect interest rates in the UK to remain above a level of 4% until 2029. Even the head of the Greek central bank does not expect key interest rates in the eurozone to be lowered before mid-2024.
The Danish group $NOVO B Novo Nordisk achieves record results thanks to the hype surrounding its slimming product. In Q3, sales increased by 29% to EUR 7.9 billion. The operating profit rose to EUR 3.6 billion. Novo Nordisk is now one of the most valuable European companies alongside LVMH. Much of the hype has been priced into the valuation, so the share is no longer a bargain.
$AAPL (+0.52%) Apple misses analysts' expectations in China. Otherwise, things are going well thanks to the new iPhone. Profits rose by almost 10 % to just under USD 23 billion in the third quarter.
Friday:
$BMW (-1.54%) BMW further increased deliveries and earnings in the third quarter. At 10.3%, the return on sales was at the upper end of the target range. Car sales increased by 5.3%. Sales of electric cars rose by 80% to 93,000 and operating profit increased to EUR 4.35 billion.
$VNA (-0.83%) Vonovia is on course. The Group has already generated EUR 3.7 billion from sales this year. The Group had aimed for EUR 2 billion. This means that the Group does not have to take on new debt at significantly worse conditions. FFO (mainly income from rents) will fall slightly as a result of the sales. Depreciation and amortization led to a non-cash loss of EUR 3.8 billion in the first nine months. However, no further write-downs had to be made in the 3rd quarter.
New job data from the US reinforces the impression that interest rates are no longer rising and continues to push the stock market higher. 150,000 new jobs were added in October, 180,000 were expected. The number of jobs created in September was also subsequently revised downwards.
https://eu.usatoday.com/story/money/2023/11/03/jobs-report-october/71430177007/
The most important dates for the coming week:
Monday: 09:55 Purchasing Managers' Index (DE)
Tuesday: 04:30 Interest rate decision (Australia)
Wednesday: 11:00 Retail Sales (Eurozone)
Thursday: 02:30 Inflation data (China)
Friday: 16:00 Consumer Confidence (USA)