Markets slip on thin trading | Calamatta Cuschieri

U.S. stocks closed lower Thursday with almost all S&P 500 sectors falling in what some strategists described as a typical late-summer session characterized by low trading volumes

European stocks also booked a modest loss, as new details covering a “no-deal” Brexit overshadowed some positive economic data on the eurozone
European stocks also booked a modest loss, as new details covering a “no-deal” Brexit overshadowed some positive economic data on the eurozone

data on the eurozone

U.S. stocks closed lower Thursday with almost all S&P 500 sectors falling in what some strategists described as a typical late-summer session characterized by low trading volumes. The Dow Jones Industrial Average slipped 76.62 points, or 0.3%, to end at 25,656.98. The S&P 500 shed 4.84 points, 0.2%, to 2,856.98.

European stocks also booked a modest loss, as new details covering a “no-deal” Brexit overshadowed some positive economic data on the eurozone. The U.K.’s FTSE 100 fell 0.2% to 7,563.22, weighed down by losses in Barclays Plc which was down 1.7%. Germany’s DAX ended lower by 0.2%, closing at 12,365.58 and France’s CAC 40 Index ended virtually unchanged at 5,419.33.

Aramco IPO in limbo

Saudi Arabia has formally put the initial public offering of its giant oil company on hold while Aramco focuses on buying a strategic stake in local petrochemical group Sabic for as much as $70 billion. The board of directors of Aramco took the decision to put the preparations for the IPO on hold at a meeting earlier this month in Switzerland. In his statement, Saudi energy minster, Khalid Al-Falih, said the timing of the listing would "depend on multiple factors, including favorable market conditions, and a downstream acquisition which the company will pursue in the next few months, as directed by its board of directors."

While the Sabic deal will delay the IPO, it doesn’t mean it’s canceled, people familiar with the matter said, asking not to be identified because the information is private. Khalid al-Falih said Thursday in a statement that the government was committed to the Aramco IPO “at a time of its own choosing when conditions are optimum.” Even if the IPO is eventually revived, the Aramco-Sabic deal will allow the kingdom to achieve some of the original aims Crown Prince Mohammed bin Salman set for the jumbo share sale. The main difference would be the origin of the cash: rather than equity investors, it would come from bank loans and bond investors.

One step closer for Comcast

Comcast Corp said it had received valid acceptances for shares representing just 0.21 percent of Sky Plc after its 14.75 pound per share offer to buy 61 percent of the European broadcaster. Under British takeover rules, Rupert Murdoch’s Fox has until Sept. 22 to trump Comcast’s offer for Sky.

Comcast gatecrashed Fox’s attempt to buy the 61 percent of Sky that it does not already own earlier this year and the U.S. cable giant’s latest, higher offer, which it submitted in July, has been recommended to shareholders by the broadcaster’s independent directors.

Disclaimer: This article was issued by Peter Petrov, junior trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.

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