US election reaction, data and earnings

Luxury goods stocks fell in afternoon trading after a disappointing set of results for Swiss stock Richemont.

keyring led the losses, falling 7.4%, while barbaric Decreased by 6.4%. Meanwhile, Richemont stock fell 5.7%. Hermes Lost 4%.

Richemont, owner of the prestigious Cartier brand, has so far been out of touch with the broader downturn in luxury goods, posting record full-year sales in May. However, when announcing its half-year results on Friday, the company – like its peers – pointed to weakness in China as impacting wider global sales.

Investors are now eyeing earnings from struggling British luxury line Burberry next week.

– Karen Gilchrist

US stocks opened slightly higher on Friday as investors continued to digest the results of the presidential election and its implications for the global economy.

The S&P 500 led gains, adding 0.17%, and looked set for its best week of the year after hitting record highs Thursday in a post-election rally and interest rate cuts.

Meanwhile, the Nasdaq Composite and the Dow Jones Industrial Average rose 0.09% and 0.13%, respectively.

– Karen Gilchrist

A former adviser to German Finance Minister Christian Lindner, who was dramatically sacked as finance minister this week, called on Chancellor Olaf Scholz to quickly hold a vote of no confidence and hold new elections to resolve the economic uncertainty.

Lars Feld, former adviser to Christian Lindner and director of the Walter Yukken Institute, said there was no good reason to delay a vote of no confidence in Germany. However, Schulz said he did not want to do so before mid-January.

“It is important to reduce economic policy uncertainty as quickly as possible because this is one of the reasons why investment as well as private consumption is low in Germany,” Feld told CNBC’s “Squawk Box Europe” on Friday.

He added: “We have a stagnant economy, inflation is still above 2%, and we have huge structural problems because companies face a toxic mix of high costs in terms of labor, energy, taxes and regulation.”

-Sam Meredith

Mining stocks led losses in Europe, down 3.3% in afternoon trading.

Shares in London-listed mining giants including Rio Tinto, Anglo American and Glencore fell more than 3.5%, while UK-based copper miner Antofagasta fell 5.5%.

-Sam Meredith

Shares in British housebuilder Vistry fell as much as 20% on Friday, falling to their lowest level since October last year after its second full-year profit warning in a month.

The stock was last seen down 18.6% at 12:30pm London time.

Gold prices fell on Friday, extending weekly losses, as investors reacted to Donald Trump's election victory and its potential impact on the future path of US interest rates.

The spot price of gold fell 0.7% to $2,687.54 an ounce as of 11:15 a.m. London time, moving further away from the key level of $2,700. It is now on track for its worst weekly performance since late May.

“Gold may gain ground as a safe haven asset and inflation hedge, especially amid potential trade frictions and stagflation risks,” Charu Chanana, chief investment strategist at Saxo Bank, said in a research note.

“However, risks can be seen in the event of excessive strength (of the US dollar) and if the (Federal Open Market Committee) slows the pace of interest rate cuts,” Chanana said.

-Sam Meredith

Shares of bakery chain Greggs fell nearly 7% in morning trading after a rating downgrade by analysts at Deutsche Bank.

In a note titled “The Elephant in the Dining Room,” DB analysts downgraded Greggs from Hold to Sell, and cut their price target on the stock from 2,600 pence ($33.68) to 2,400 pence.

Analyst Tim Barrett said last week's budget presented by the new UK government “contains several measures – on the minimum wage and National Insurance – that are disproportionately linked to the labour-intensive entertainment sector. The changes have already been predicted directly, but in terms of magnitude (or size)”. structure), were worse than had been taken into account in the company's guidance and investor expectations.”

– Katrina Bishop

Calum Pickering, chief economist at Peel Hunt, comments on the likely path for UK interest rates, saying the Bank of England looks set to cut a total of 100 basis points in 2025.

This comes after the central bank cut interest rates by 25 basis points on Thursday while raising its inflation forecasts. The Monetary Policy Committee voted 8 to 1 in favor of the decision to raise the bank’s key interest rate to 4.75%.

This represents the central bank's second such reduction this year, after it began its easing cycle in August.

– Karen Gilchrist

Oil prices fell on Friday morning amid concerns that Hurricane Rafael could impact oil and gas production in the United States

International benchmark Brent crude futures traded lower with January expiring nearly 1.5% at $74.52 a barrel on Friday, while the December contract for US West Texas Intermediate crude reached $71.08, or roughly 1.8% lower during the session.

This comes after a bumper week for oil prices as markets digested President-elect Donald Trump's election victory.

British Airways owner IAG on Friday reported a 15% increase in operating profit for the third quarter, beating analysts' expectations, and said it expects its strong financial performance to continue over the coming months.

The group's shares rose more than 6% on the news, reaching their highest level since March 2020 when demand for travel collapsed during the coronavirus pandemic.

-Sam Meredith

Japanese technology giant Sony raised its full-year revenue guidance and raised its sales forecast after a strong quarter for its gaming business.

Sony on Thursday revised its revenue target for fiscal 2025 slightly higher to 12.7 trillion yen ($83.4 billion) — previously targeting 12.6 billion yen in sales.

This came as the company also reported better-than-expected earnings for the September quarter, with operating income jumping 73% year-on-year to 445.1 billion yen.

Read the full story here

– Ryan Brown

There are plenty of opportunities for investors in the markets, especially in the UK and US, according to Wren Sterling, chief investment officer.

“I think there's a lot of opportunity in the markets right now and I think what we've seen is an increase in that rotation that we started to see in early July, when we came out of the lower US CPI reading,” said Rory McPherson, CTO director. The information is in Wren Sterling, for CNBC's “Squawk Box Europe” program on Friday.

He added: “Markets have clearly focused on the elections this week, and the UK Budget last week, while beneath the surface, we have seen tighter credit spreads, and the corporate environment continues to improve.”

When asked if there were opportunities in European stocks, McPherson replied: “Our view is that the opportunities are in the UK and the US, and we are less positive about Europe.”

McPherson said US companies that performed well, especially in the post-election period, were those that beat “very modest” earnings expectations and were trading at cheaper valuations compared to companies that have supported the market in recent years.

-Sam Meredith

Shares of Danish biotech company Zealand Pharma rose more than 7% on Friday morning, hitting the top of the European index after JPMorgan initiated coverage of the stock with an overweight rating.

Meanwhile, British housebuilder Vestry fell to the bottom of the index. The company's shares fell by more than 14% after issuing its second profit warning in a month.

-Sam Meredith

European markets opened slightly higher on Friday morning.

The European Stoxx 600 index rose by about 0.2%, as major sectors and stock exchanges pointed in opposite directions.

-Sam Meredith

Swiss luxury group Richemont reported a 1% decline in sales during the six-month period ending in September, citing a difficult macroeconomic backdrop and tougher conditions in China.

Cartier's owner said sales amounted to 10.1 billion euros ($10.89 billion) in the first half of the fiscal year, a 1% decline at actual exchange rates compared to the same period a year earlier.

Meanwhile, operating profit from continuing operations amounted to €2.2 billion for the six-month period, reflecting a 17% decline at effective exchange rates.

“In the first half of this financial year, we continued to provide sustainable resilience in a world where uncertainty has become the norm,” Johann Rupert, Richemont's chairman of the board, said in a statement.

“We have seen strong sales growth in most of our regions offsetting continued weakness in Chinese demand, which, as I expected, will take longer to recover and is particularly affecting our specialist watchmakers,” he added.

-Sam Meredith

Bitcoin It is on track to reach $100,000 by the end of the year after President-elect Donald Trump wins the election, according to analysts.

Trump, who on Wednesday defeated Vice President Kamala Harris to win the 2024 US elections, had promised several pro-crypto initiatives in the months leading up to the vote.

CNBC Pro asked analysts about their targets for Bitcoin's price, and when they expect the cryptocurrency to reach them.

Former US President Donald Trump's victory over Vice President Kamala Harris in this week's election has raised questions about how Asia will be affected.

“On the face of it, Trump 2.0 is bad news for Asia, especially China,” analysts at Macquarie Research wrote in a November 7 note, given the president-elect’s plans to raise tariffs and cut taxes.

However, analysts say the region is “more prepared than in 2016” and there are still investment opportunities, especially given the weak yen and stimulus in China.

CNBC Pro subscribers can read more here.

– Amala Balakrishner

European markets are expected to open in mixed territory on Friday.

The UK's FTSE 100 is expected to open 23 points higher at 8,166, Germany's DAX is up 45 points at 19,412, France's CAC is up 21 points at 7,445, and Italy's FTSE MIB is down 13 points at 33,689, according to data from IG.

In corporate news, Swiss luxury group Richemont and owner of British Airways IAG Among those who will announce their earnings on Friday.

-Sam Meredith