Stock market today: Live updates

Deutsche Bank’s US-listed shares fell 4.3% in midday trading, breaking off lows. Bank stocks previously fell 14% after a surge in German lender credit default swaps, with no apparent catalyst.

Investor concerns about the health of the European banking industry have eased somewhat after European Central Bank President Christine Lagarde said eurozone banks were resilient with strong capital and liquidity. rice field. Lagarde said the ECB could provide liquidity if needed.

Meanwhile, JP Morgan defended Deutsche Bank on Friday, saying investors should focus on European banks’ “solid” fundamentals.

Credit Suisse says investors should consider depositing their funds with one exchange operator that is prepared to take advantage of volatile market conditions.

Analyst Gautam said, “We believe continued transaction growth, improved investor sentiment in defense, and rising growth in data and access solutions will boost the company’s valuation in 2023.” , wrote analyst Gautam, who named it the bank’s top pick for the exchange sector.

Find out more about calling from Credit Suisse here.

— Samantha Soobin

Ark Invest’s Kathy Wood doubled in price on Jack Dorsey’s block on Thursday.

Block fell nearly 15% on Thursday after Hindenburg Research announced a short position, alleging the company’s flagship Cash App fostered crime and lacked strong compliance controls.

Wood took 275,544 shares of the block in her flagship ARK Innovation ETF, 45,013 shares in the ARK Next Generation Internet ETF and 17,515 shares in the Ark Fintech Innovation ETF on Thursday, according to Ark Invest’s daily trading update. obtained. Based on Block’s closing price of $61.88 on Thursday, those purchases were worth about $21 million together.

— Yun Lee

According to Moody’s Investors Service, there is a growing danger that problems in the banking industry will spread throughout the economy.

The rating agency said regulators and policymakers “acted quickly” to deal with the stress caused by reports of several bank failures and other bank problems. He said he generally expected a response to control the problem, but said it was not guaranteed.

“In an uncertain economic environment and investor confidence that remains fragile, policymakers are unable to mitigate the current turmoil and risk long-term and potentially severe consequences, both within and outside the banking sector. There is a strategy, and others said in the report.

“The longer financial conditions remain tight, the greater the risk that stress will spread beyond the banking sector, causing greater financial and economic damage than expected at the baseline,” they added. .

Analysts said there would be a “ripple effect” through exposure to troubled banks, heightened risk aversion and policy mistakes.

— Jeff Cox

DoubleLine Capital CEO Jeffrey Gundlach said the U.S. Treasury yield curve is no longer rapidly inverting and “dangerous recession signals” are flashing.

Also, Chairman Jerome Powell stressed on Wednesday that a rate cut was not in the central bank’s base case, but said the Federal Reserve would effectively cut rates soon.

— Yun Lee

Stocks of some real estate companies and mutual funds were squeezed again on Friday.

Shares of SL Green Realty fell more than 3%, while CBRE Group fell nearly 3%. Simon Property Group, which primarily invests in retail space, fell more than 1%.

One notable commercial real estate stock bucking the trend is property income, which is up nearly 1%, helping to keep sector ETFs like the Vanguard Real Estate Index Fund (VNQ) largely flat.

— Jesse Pound

St. Louis Federal Reserve Governor James Bullard said Friday that central bank policy should help contain cracks in the financial system.

“Continued sound macroprudential policy can help limit financial stress, but continued sound monetary policy can put downward pressure on inflation,” Bullard said in a presentation.

His comments echoed Wednesday’s sentiments of Fed Chairman Jerome Powell, who said the interest rate hike was aimed at inflation and that a special lending facility would keep banks liquid.

Bullard called the Fed’s action on the banking issue “swift and appropriate.” He also said that despite the financial turmoil, economic data were stronger than expected and inflation had “been lower recently.”

The presentation material released in Bullard’s speech gave no position on where rates should go from here. Markets are pricing in the Fed not likely to hike rates at his May reunion. Bullard is a non-voting member of the Federal Open Market Committee, which sets interest rates.

— Jeff Cox

Gold is up 1.4% so far this week, despite seeing only a modest gain in Friday’s session. If gold ends Friday’s session above the weekly flatline, it will mark the metal’s fourth straight winning week.

— Alex Haring, Gina Francola

The stock market opened lower on Friday, with a plunge in Deutsche Bank shares in Europe reinvigorating investor concerns about the banking sector.

The Dow Jones Industrial Average is down 178 points, or 0.55%. The S&P 500 was down 0.48% and the Nasdaq Composite was down 0.22%.

— Sara Min

Jeffries says it’s time to buy Regeneron because recent research results show that Dupixent in Regeneron may be able to treat chronic obstructive pulmonary disease.

Analyst Akash Tewari said the COPD use case could create a $4 billion opportunity for Regeneron, upgrading the company from hold to purchase.

Find out more about calling from Jeffries here.

— Samantha Soobin

Demand for long-lasting goods such as appliances, televisions and computers fell more than expected in February, the Department of Commerce reported Friday.

Durable goods orders fell 1% on the month, less than January’s plunge of 5%, but above Dow Jones’ forecast of a 0.3% decline.

Excluding transportation, new orders remained unchanged and orders excluding defense decreased by 0.5%.

Stock market futures were plagued with losses after the data was released at 8:30 am ET.

— Jeff Cox

These companies have attracted attention in pre-market trading.

See here for other movers.

— Tanaya Machel

Atlantic Equities is more cautious on equities after Hindenburg Research’s short position in Block.

Analyst Kunaal Malde moved the stock from overweight to neutral, saying Cash App’s business could suffer if it gets serious about improving risk management to curb illegal activity. Downgrade.

“With valuations still high, we think it’s prudent to stay neutral until we feel more comfortable sizing our exposure to these risk factors,” Malde said.

Stocks fell 2% before the bell, based on Thursday’s drop of about 15%.

Find out more about calling from Atlantic Equities here.

US Treasury yields plummeted on Friday, prompting a surge in Deutsche Bank credit default swaps as traders sought safety, reviving concerns over the health of the global banking system.

The benchmark 10-year yield fell nearly 10 basis points to 3.313%. The two-year rate fell 17 basis points to 3.635%.

US-listed Deutsche Bank shares fell more than 5% after a surge in credit default swaps. Credit default swaps, a type of insurance for bondholders against corporate defaults, jumped from 142 basis points to 173 basis points.

The move comes as concerns about the global banking system persist. Earlier this month, Swiss regulators forced UBS to buy rival Credit Suisse to bolster the country’s banking industry.

— Elliott Smith, Fred Imbert

European stocks fell in Friday trading, with the Stoxx 600 index down 1.2%.

The UK’s FTSE 100, France’s CAC 40 and Germany’s DAX were all down about 1.4%.

By sector, Deutsche Bank plunged 3.2% as a surge in default insurance premiums spooked investors and returned concerns about the stability of the sector.

German banks fell 9% at 9:50 CET.

According to preliminary figures from au Jibun Bank, although factory activity in Japan rose slightly in March, it remained in contraction territory for the fifth straight month.

The manufacturing Purchasing Managers Index rose to 48.6 from 47.7 in February, the highest since March 2022.

A PMI value above 50 indicates expansion, while a value below 50 indicates contraction in growth.

However, Japan’s service sector estimate stood at 54.2 in March, slightly above February’s 54.0, the strongest reading since October 2013.

— Lim Hijie

Hong Kong Monetary Authority Chief Executive Officer Eddy Yue said Hong Kong was “almost unaffected” by the turmoil in the global banking sector.

“I would say that recent events in the United States and Europe have had little impact on Hong Kong,” Yue said at a briefing, adding that Hong Kong’s banks were “tolerances to all banks currently being featured in the press.” We have very limited exposure to the market,” he added. ” without naming it.

Yue noted that the situation was “mostly stable” and stressed that he would monitor potential changes going forward.

“Liquidity has been extended, but we need to monitor for further changes,” Yue said. “Of course, Hong Kong banks and banks around the world need to prepare for further market volatility,” he said.

– Vivian Kam, Jihye Lee

Consumer fashion company Torrid rose nearly 9% after the bell as investors posted better-than-expected earnings and overlooked lower-than-expected earnings.

Torrid posted an earnings per share loss of 4 cents in the fourth quarter. That’s a smaller drop than the 7-cent estimate of analysts surveyed by FactSet. Same-store sales fell short of expectations, and he earned $301.2 million for the quarter, compared with analyst estimates of $292.1 million.

Forward guidance from the company was similarly unstacked. His adjusted EBITDA for the first quarter steered him from $35 million to $40 million, even though analysts expect him to be $42.5 million. Torrid expects first-quarter earnings to go from his $305 million to $313 million, which is below consensus expectations for his $314.5 million.

Adjusted EBITDA for the full year was guided from $140 million to $152 million, also under the guidance of $153 million. However, the company expects full-year sales of $1.265 billion to $1.32 billion, beating the $1.26 billion forecast.

— Alex Haring