Defensive sectors like health care and defensive regions like Switzerland are good bets, Credit Suisse wealth manager says
Defensive sectors like health care and defensive regions like Switzerland are good bets, Credit Suisse wealth manager says.
Credit Suisse International Wealth Manager Nannette Hechler-Fayd’herbe discussed the markets on CNBC’s “Squawk Box Europe” Friday.
Stocks on the move: Hexatronic up 8%; energy stocks fall
Scandinavian fiber optic firm Hexatronic led gains in late morning trade, rising nearly 8% after announcing its acquisition of telecoms firm KNET.
Swedish investment company Kinnevik remained the worst-performing European stock after an analyst downgrade.
Energy firms also fell ahead of potentially disruptive sanctions on Russian oil, and as OPEC mulled further output cuts.
— Jenni Reid
Credit Suisse looking to accelerate cost-cutting; shares up 6%
Shares of Credit Suisse rose 6% after chairman Axel Lehmann confirmed to Bloomberg the bank is seeking to speed up its cost-cutting program.
It follows a Reuters report indicating Credit Suisse may look to cut more jobs than previously announced, citing anonymous sources.
The bank previously said it wants to reduce its cost base by 15%, or 2.5 billion Swiss francs ($2.67 billion), to about 14.5 billion Swiss francs in 2025.
Lehmann said it would look to “front-load” implementation of the cost savings, which come amid a massive strategic overhaul. The bank has been involved in series of scandals and in November reported a 1.5 billion Swiss franc fourth-quarter loss.
German exports fall more than forecast
German exports fell by 0.6% month on month in October, twice as much as expected by analysts polled by Reuters.
However the country’s trade surplus increased as imports were down 3.7%, greater than the forecast 0.4% decline.
German officials have said exports are likely to fall 2% next year thanks to slowing global growth, low business sentiment, and the ongoing challenges of inflation and supply chain hold-ups.
The country is widely forecast to be heading for a recession, though recent data showing its economy grew 0.4% quarter on quarter and 1.3% annually fueled hope it will be shallow.
— Jenni Reid
Stocks on the move: Just Eat up, Kinnevik down
Just Eat was the top performer among generally downbeat European stocks in early trade, gaining 3.7% after JPMorgan upgraded the stock from underweight to neutral.
A week ago, the company announced plans to reorganize operations, potentially leading to around 170 job cuts.
— Jenni Reid
European markets: Here are the opening calls
European markets are heading for a lower open Friday, as investors eye an EU-led cap on Russian oil prices and non-farm payrolls data from the U.S.
The U.K.’s FTSE 100 index is expected to open 11 points lower at 7,547, Germany’s DAX is seen down 15 points at 14,448, France’s CAC is forecast to open 15 points lower at 6,728 and Italy’s FTSE MIB is also seen falling by 98 points at 24,609, according to data from IG.
Data releases include German import and export data, producer prices for the euro zone and U.S. nonfarm payrolls, the latter due at 1.30 p.m. London time.
— Katrina Bishop
CNBC Pro: BlackRock unit says it’s time for a new portfolio playbook, and reveals how to position
BlackRock’s ETF division says the investing environment has fundamentally changed, which has “profound implications” for portfolios looking ahead.
In its 2023 investor guide, Blackrock’s iShares, one of the largest providers of exchange-traded-funds in the world, said the shift brings with it “profound implications for portfolio construction.”
— Weizhen Tan
CNBC Pro: Citi names 6 global stocks that capture both ‘defensive growth and value’
Citi says investors don’t need to give up entirely on growth by pivoting to a defensive portfolio of stocks ahead of a potential recession.
The investment bank named six global stocks which offer “low risk, quality and growth” combined.
— Ganesh Rao