All major international benchmarks are down due to a multitude of reasons. Wall Street is down on low investor confidence following a poor result from Walmart, the world’s largest retailer. European benchmarks fell on Trump tariff threats and downbeat earnings, while Australia suffered from reduced confidence in its interest rate trajectory.
Walmart fell -6.0% after the retailer forecast sales and profit below analysts’ estimates. The S&P 500 came off its record high, falling -0.8%. The DOW lost -1.4%, while the NASDAQ fell -0.8%. Recently popular Palantir Technologies shrunk -9.7% after the Pentagon said it was exploring budget cuts for FY26. Alibaba jumped +7.4% after the e-commerce giant topped expectations for Q3 revenue. The US 2-year treasury bond yield fell -1 bp to 4.26%, while the US 10-year lost -3 bps to 4.50%.
The pan-European Stoxx 600 fell -0.2% after holding steady early in the session, while the FTSE 100 lost -0.6%. London fell following disappointing earnings while both benchmarks were subdued following additional tariff threats from President Trump. Ango American gained +3.5% after reporting a -US$3.1 billion loss for 2024. Mercedes-Benz lost -3.0% after the automaker launched a cost-cutting plan as it reported a -40.5% fall in earnings. Schneider Electric surged +5.6% after it forecast a higher-than-expected rise in its 2025 margins. Airbus shed -2.5% after it delayed the launch of its A350 freight model to 2027.
The ASX 200 fell -1.2% to reach its lowest level in a month. Sky high bank valuations and diminished rate cut confidence were to blame. Data from Australia showed 44,300 new jobs were created in January, double the forecast amount. The unemployment rate rose to 4.1% from 4.0%, reflecting a record high amount of people looking for work. National Australia Bank sunk -3.3% after several analysts agreed on a target price reduction on the bank. Commonwealth Bank fell -2.0%, while Westpac cut -3.0%. ANZ lost -3.1% after the bank showed a deterioration in asset quality in the December-quarter. Telstra jumped +5.6% after the telecom company unveiled a A$750 million share buyback. Rio Tinto slumped -1.5% following higher-than-expected net debt in its CY24 results. Fortescue drilled -6.2% after the iron ore producer released 1H25 earnings and dividend behind market estimates. The NZX 50 followed suit, falling -1.2% as well. All of Asia’s major benchmarks slid into the negatives, with Hong Kong’s Hang Seng (-1.6%) leading the downward drift. Japan’s Nikkei 225 followed closely (-1.2%), with Korea’s Kospi falling -0.7%. China’s CSI 300 lost -0.3% and the Shanghai Composite dipped -0.0%.
WTI Crude increased +1.4% to US$73.25/bbl, Gold rose +0.3% to US$2,940.39/oz, Iron Ore remained flat at US$106.76/MT.