Yougov survey: Many want to save on the winter holidays
According to a survey, many potential holiday guests want to save on the winter holidays.
(dpa) Ski resorts and winter holiday resorts are facing what is expected to be a difficult season. According to a new survey, almost half of potential winter holiday guests either want to do without a holiday in the snow completely or at least be economical about it because of rising costs. According to this, 23 percent want to limit their winter holidays, 26 percent want to cancel them, the Yougov institute determined in a survey published on Sunday. The client was the Bavarian sportswear manufacturer Schöffel.
According to this, only a quarter of those who take winter holidays at least occasionally stick to their original plans. As far as possible savings measures are concerned: Some of those surveyed generally do not want to travel as far or no longer go skiing on the slopes, others take shorter winter holidays than planned, go to après-ski less often or stop at huts. Yougov surveyed over 2000 adults online.
Yield decline drives Dow to four-week high
(dpa) Weak bond yields pushed the Dow Jones Industrial up above 31,000 points for the first time in four weeks on Friday. At the close of trading, the leading US index gained 2.47 percent to 31,082.56 points. For the week he booked – also thanks to the significant gains on Monday and Tuesday – an increase of 4.9 percent.
The market-wide S&P 500 rose by 2.37 percent to 3752.75 points at the end of trading on Friday, while the Nasdaq 100 index, which is peppered with technology stocks, was up 2.39 percent to 11,310.33 points. The weekly gains of the two indices were the highest since June this year at 4.7 and 5.8 percent respectively.
The development of US bond yields continues to set the direction for the stock exchanges – including the New York stock market. On Friday, the much-noticed yield on ten-year government bonds temporarily climbed to 4.33 percent, its highest level since 2007, but then fell back to 4.22 percent. High yields on fixed income securities like bonds reduce the relative attractiveness of stocks.
Regarding the recent pressure on yields, stockbrokers referred to an article in the Wall Street Journal, according to which some representatives of the US Federal Reserve had expressed concern about excessive monetary tightening. After all, in the fight against inflation, the Fed has already raised its key interest rate by a total of three percentage points since the beginning of the year.
The central bankers are also likely to be discussing whether to signal that a smaller hike in interest rates is possible in December, it said. Because with a strong tightening, the Fed runs the risk of stalling the economic activity in terms of investment and lending too much. The key interest rate is currently in a range between 3.0 and 3.25 percent and is likely to be raised again at the meetings in November and December.
Most of the other major central banks are now following the Fed’s example with rate hikes. Accordingly, things are looking poor on the stock markets worldwide: Despite the recent recovery, most important indices have recorded double-digit percentage losses since the beginning of the year.
While there was no important economic data from the USA on Friday, some quarterly reports were again in focus. The business of the once explosively growing photo app Snapchat is barely growing and the quarterly loss widened. The shares of the company behind it, Snap, fell accordingly by 28 percent. Since the beginning of the year, the paper has already lost more than four fifths.
The shares of the mobile phone provider Verizon lost four and a half percent after the announcement of business figures at the end of the Dow. In the past quarter, the company won even fewer new mobile phone customers than analysts had expected. In addition, high costs weighed heavily on net profit. The better than expected sales development could not make up for this among investors.
Credit card provider American Express was down 1.7 percent. He did better than the market feared. However, American Express has armed itself with surprisingly high provisions for loan losses, which threaten in the event of a sharper economic downturn.
There was also negative news on Twitter. According to informed circles, the American government is considering subjecting some of Tesla boss Elon Musk’s deals to national security aspects. This should also include the planned takeover of the short message service, as reported by the Bloomberg news agency, citing people familiar with the matter. In addition, the Washington Post, citing insiders and confidential documents, wrote that Musk was planning to cut Twitter and cut around 75 percent of the jobs. The shares then fell by 4.9 percent.
In contrast, the papers of the Swedish-American manufacturer of automotive safety systems Autoliv increased by 4.1 percent. Here the analysts from Evercore praised above all the “solid forecast increase”.
The oilfield service provider Schlumberger convinced investors with a significant increase in profits in the past quarter, as the price jump of 10.3 percent showed.
Swiss agrees on wage increase with ground staff
Swiss has concluded negotiations with its ground staff, but the conflict with the pilots has not yet been resolved.
no. Swiss ground staff will receive higher wages in the future. The airline and the SEV-Gata trade union have agreed on this after long negotiations.
The negotiations were challenging but constructive, the union said on Friday. With the agreement that has now been reached, 1,500 Swiss ground staff will receive noticeably more wages from January 1, 2023. The total wages should increase by 3.3 percent, those who earn little will receive a slightly larger wage increase than employees with higher incomes. However, all employees receive at least two percent more. The details are to be determined in the coming weeks.
The dispute between Swiss and its pilots, who are also demanding better working conditions, has not yet been resolved. Next weekend, the Aeropers pilots’ association will contest another round of negotiations with the Swiss leadership.
Adidas is struggling with mountains of unsold sneakers
Adidas is struggling with falling demand.
(Bloomberg) At Adidas, unsold products are piling up due to weakening demand in China and reluctance to buy in the West. On Thursday evening, the Herzogenaurach team had to send the second profit warning of the year. The stock plummets by up to 10 percent.
The problems under the outgoing CEO Kasper Rorsted are piling up. In the USA, the sports brand is increasingly being criticized for its cooperation with rapper and designer Kanye West. Rorsted’s successor will also have to come up with new products next year as the future of the best-selling Yeezy line is in question.
For the current year, the sporting goods giant only sees growth in the mid-single-digit range – the lower end of the previous target range, which also included the possibility of a high single-digit increase in sales. Adidas only expects a level of 4 to 7 percent for the operating margin.
The news triggered a sell-off on the stock market. On Friday, the price fell by up to 10 percent, with Adidas giving up all of the profits it made during Rorsted’s six-year tenure. The market value of the traditional German company is only one sixth of that of its US rival Nike.
Management attributed the second Adidas profit warning in three months to a deterioration in its retail business in China and weakening demand in western markets since September. As a result, an overhang of inventories is to be expected, which must be reduced.