| | | | | | | | | |
| | London Market Report |  | | FTSE 100 | Euronext | Dax perf | CAC 40 |  |  |  |  | | Please click on the images to view our interactive charts | | | London open: Ukraine concerns dampen stocks early on - L&G, G4S, Sainsbury and ITV lead risers
- WM Morrison, ex-div stock provide a drag
- Ukraine tensions continue to rise
- Markets nervous ahead of Yellen speech
techMARK 2,784.08 -0.29%
FTSE 100 6,774.00 -0.36%
FTSE 250 15,870.07 -0.43%
Ongoing tensions in Ukraine and a host of mixed corporate earnings sent UK markets lower on Wednesday.
The FTSE 100, which hit a two-month high of 6,822.42 on Friday, was in negative territory for a second straight day, trading down 0.3% at 6,779 early on.
As fighting continues across cities in eastern Ukraine, pro-Russian separatists in the region of Donbass said they will hold a referendum on secession on Sunday May 11th. The US Secretary of State has warned that any such attempt would be bogus and further sanctions would be applied on Russia if it went ahead.
A top ranking official at the OSCE has called for a cease-fire in Ukraine so that "fair and inclusive" elections can be held on May 25th.
Jonathan Sudaria, a dealer from Capital Spreads, said that investors were "tak[ing] more money off the table […] as the state of affairs in Ukraine begins to deteriorate more rapidly".
"It has been a terrible week for violence and discussions in Eastern Europe. The country looks increasingly like it is heading for civil war – thus the change in outlook among investors is understandable," he said.
Meanwhile, markets were also showing caution ahead of a speech by Federal Reserve Chair Janet Yellen later this afternoon as she testifies before the Joint Economic Committee of the US Congress.
For now at least markets have generally come to believe that the US central bank is in no hurry to initiate rate hikes. However, given the debate about how inflation will act as the labour market continues to recover, her words are likely to be watched very closely.
L&G, G4S, Sainsbury and ITV lead risers
A bullish Legal & General posted record first-quarter results, with cash flowing strongly and assets under management (AuM) at an all-time high. Thanks to net flows of £3.8bn in the quarter, AuM at Legal & General Investment Management rose 5% year-on-year to £463bn, pushing shares higher early on.
Security group G4S was higher after saying trading for the year-to-date has been in line with its expectations, with 4.8% revenue growth in the first three months of the year.
Supermarket chain J Sainsbury delivered annual results ahead of expectations this morning, with underlying pre-tax profit rising 5.3% to £798m, compared with forecast for £782m.
Broadcaster ITV gained after saying it has acquired an 80% controlling interest in Leftfield Entertainment Group, making ITV Studios US Group the largest unscripted independent producer in the US.
Also in demand was industrial engineering firm Meggitt after being awarded a contract by JGC Corporation for the supply of printed circuit heat exchangers for an LNG plant offshore Malaysia.
Imperial Tobacco, the company behind brands such as Golden Virgina and Lambert & Butlers, edged higher as it lifted its interim dividend by a tenth despite first-half results being hit by inventory reductions.
Vodafone pleased the market after renewing its strategic global alliance partnership with French telecoms peer SFR for a further four years.
Ex-div Morrisons tops fallers list
A number of stocks were trading lower after going ex-dividend today, including WM Morrison, BP, Unilever, Rexam, Bunzl, CSR, JD Sports, Henderson and Rightmove.
Experian disappointed with its outlook statement as it said it faces "a number of one-off headwinds" that will constrain growth in the first half. This comes after the credit checking company recorded organic revenue growth of 5% in the year ended March 31st.
Construction materials group CRH also underwhelmed after saying that the improving trends in its European markets during the second half of last year continued in 2014.
Engine maker Rolls-Royce fell as it sold its energy gas turbine and compressor business to German engineering group Siemens for £785m. |
| | Losing Interest? | | You could earn more with a Stocks & Shares ISA. Grab a ready-made package or pick your own at The Share Centre.
Capital at risk. Tax benefits of ISAs may change. |
| FTSE 100 - Risers
Legal & General Group (LGEN) 219.30p +2.72%
Sainsbury (J) (SBRY) 339.50p +1.83%
ITV (ITV) 188.80p +1.56%
easyJet (EZJ) 1,692.00p +1.50%
Meggitt (MGGT) 486.70p +1.19%
InterContinental Hotels Group (IHG) 2,211.00p +1.19%
G4S (GFS) 243.00p +1.12%
Compass Group (CPG) 957.00p +0.79%
Centrica (CNA) 326.60p +0.74%
Royal Bank of Scotland Group (RBS) 327.60p +0.74%
FTSE 100 - Fallers
Experian (EXPN) 1,077.00p -5.03%
Morrison (Wm) Supermarkets (MRW) 194.90p -3.51%
CRH (CRH) 1,693.00p -2.70%
Rexam (REX) 486.40p -2.31%
Barclays (BARC) 240.40p -1.88%
Antofagasta (ANTO) 771.00p -1.60%
Persimmon (PSN) 1,356.00p -1.60%
BHP Billiton (BLT) 1,885.00p -1.41%
HSBC Holdings (HSBA) 596.30p -1.29%
Bunzl (BNZL) 1,644.00p -1.26%
FTSE 250 - Risers
Perform Group (PER) 234.30p +4.41%
Xaar (XAR) 777.00p +3.12%
Hikma Pharmaceuticals (HIK) 1,621.00p +2.14%
NMC Health (NMC) 456.00p +1.33%
Savills (SVS) 618.50p +1.14%
Afren (AFR) 160.40p +0.88%
Marston's (MARS) 148.80p +0.88%
Keller Group (KLR) 998.00p +0.86%
Grafton Group Units (GFTU) 600.00p +0.84%
Elementis (ELM) 283.20p +0.82%
FTSE 250 - Fallers
Henderson Group (HGG) 236.30p -4.02%
Partnership Assurance Group (PA.) 129.70p -3.35%
CSR (CSR) 546.50p -2.93%
Fidessa Group (FDSA) 2,279.00p -2.81%
Barr (A.G.) (BAG) 612.50p -2.78%
Imagination Technologies Group (IMG) 195.10p -2.11%
Grainger (GRI) 219.90p -2.05%
Intu Properties (INTU) 290.30p -1.89%
Countrywide (CWD) 584.00p -1.85% |
| | UK Event Calendar | | INTERIMS
GW Pharmaceuticals, Imperial Tobacco Group, Numis Corporation, Sampo OYJ
INTERIM EX-DIVIDEND DATE
AB Dynamics, James Halstead, Lok'n Store Group, Smart (J) & Co., Spirit Pub Company, Utilitywise
QUARTERLY EX-DIVIDEND DATE
Boeing Co, BP, IBM Corp., Unilever
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Consumer Credit (US) (20:00)
Crude Oil Inventories (US) (15:30)
Factory Orders (GER) (11:00)
MBA Mortgage Applications (US) (12:00)
PMI Construction (GER) (08:30)
PMI Retail (EU) (09:10)
PMI Retail (GER) (09:10)
Productivity (US) (13:30)
Q2
GW Pharmaceuticals
FINALS
Experian, Sainsbury (J), Vertu Motors
IMSS
Carillion, CRH, esure Group, G4S, HSBC Holdings, Inmarsat, Legal & General Group, Standard Chartered
AGMS
BAE Systems, BBA Aviation, Carillion, Costain Group, CRH, Dairy Farm International Holdings Ltd. (Singapore), Deltex Medical Group, Essenden, GlaxoSmithKline, Gresham Computing, Hongkong Land Holding Ltd. (Sing.Reg), Hygea VCT, IFG Group, Inmarsat, JPMorgan American Inv Trust, Ladbrokes, Mandarin Oriental International (Singapore), Meggitt, Mercom Oil Sands, Mithras Inv Trust, Mobeus Income & Growth Vct, Norsk Hydro ASA, Ocado Group, Polar Capital Global Financials Trust, Reckitt Benckiser Group, Rightmove
TRADING ANNOUNCEMENTS
Accsys Technologies
UK ECONOMIC ANNOUNCEMENTS
BRC Shop Price Index (00:01)
New Car Registrations (09:30)
FINAL DIVIDEND PAYMENT DATE
Countrywide, FBD Holdings, Hellermanntyton Group, Schroders, Smith & Nephew, Synectics, Telefonica SA
FINAL EX-DIVIDEND DATE
Action Hotels, Barr (A.G.), BBGI SICAV S.A. (DI), Blackstar Group SE (DI), British Smaller Companies VCT 2, Bunzl, Cape, CSR, Derwent London, Dunedin Income Growth Inv Trust, EP Global Opportunities Trust, Goals Soccer Centres, Good Energy Group, H&T Group, Henderson Group, IFG Group, IS Solutions, JD Sports Fashion, Macfarlane Group, Maven Income & Growth 3 VCT, Maven Income & Growth 4 VCT, Maven Income and Growth VCT 5, Morrison (Wm) Supermarkets, North American Income Trust (The), Ocean Wilsons Holdings Ltd., Partnership Assurance Group , Pfizer Inc., Rexam, Rightmove, SimiGon Ltd. (DI), Ted Baker
Q1
Endeavor International Corp., Inmarsat, Sampo OYJ |
| | PROVEN Trading Strategy - Currently running at 70% success rate | | Earn a tax free income trading, from just 20 minutes a day – no experience needed. Our powerful trading software will help you decide when to enter trades and how to maximise profits.
Register for a FREE brochure and trading guide, Click Here. |
| | Europe Market Report | | | | FTSE 100 | Euronext | Dax perf | CAC 40 |  | | | | | | Europe open: Investors keep tabs on Ukraine ahead of Yellen - Pro-Russian separatists in Ukraine call for independence vote
- Weak German and Chinese data
- Euro steady at 1.3930
FTSE 100: -0.35%
Dax 30: -0.65%
Cac 50: -0.78%
FTSE Mibtel 30: -0.55%
Ibex 35: 0.04%
Stoxx 600: -0.25%
European stocks have begun the session moving lower following an overnight spill on Wall Street and figures out in China which showed a slowing in the country´s services sector.
Further weighing on sentiment, the top ranking official at the OSCE called for a cease-fire in Ukraine so that "fair and inclusive" elections can be held on May 25th. That came as pro-Russian separatists in the eastern Ukrainian region of Donbass said they will hold a referendum on secession on Sunday May 11th.
The US Secretary of State has warned that any such attempt would be "bogus" and further sanctions would be applied on Russia if it went ahead.
Traders were also expectant ahead of testimony this afternoon from US Federal Reserve Chair Janet Yellen. That "may induce some profit taking if she proves less dovish than markets expect," Unicredit warned.
Nonetheless, the broker expects the single currency to continue to advance. "But the 1.3870 support area appears quite solid and new 2014 highs above 1.3967 remain in the offing. Medium-term, we continue to like the euro", Unicredit added.
Firms count the costs of the situation in Ukraine
Danish brewer Carlsberg registered a first-quarter net loss and cut its full-year guidance on the back of the weak Russian rouble and ongoing uncertainty in Russia and Ukraine.
Société Générale also notified shareholders on Wednesday of the negative impact which the situation in Russia would have on its first-quarter net profits.
From a sector standpoint the worst performing industrial groups on the DJ Stoxx 600 were: Construction (-1.44%), Financial services (-1.07%) and basic resources (-0.77%).
German factory orders dropped by 2.8% month-on-month in March.
Euro steady at 1.3930
Front month Brent crude futures were 0.261% higher at $107.34/barrel on the ICE.
The single currency was holding steady at 1.3930 versus the US dollar. |
| | iPad mini worth £269 for new trading accounts! | | A minimum volume is required. Terms and conditions apply. Find out more, click here. |
| | US Market Report | | US close: Ukraine, OECD, tech stocks weigh indices down - Tech stocks weigh indices down
- Trade deficit falls 3.6 per cent in March
- OECD reduces global forecast
- Ukraine developments give cause for concern
Twitter, AIG and Netflix all helped drag US stocks markets for the third time in four sessions.
Also weighing on sentiment was data that indicated the country's economy likely contracted in the first quarter - the first time in three years. As such, the figures is now being predicted to come in at a contraction of between 0.2% and 0.4%.
The Dow Jones declined 129.53 points, or 0.78%, the Nasdaq fell 57.30, equal to 1.39%, while the S&P 500 dropped 0.9% lower to settle at 1,867.72.
Investors were also likely thinking ahead to US Federal Reserve Chair Janet Yellen's latest testimony before the Joint Economic Committee of the US Congress, amid considerable debate regarding the likely behaviour of inflation as the labor market continues to recover.
Acting as a back drop were the latest developments in Eastern Europe, with deaths reported on both sides amid heavy fighting along the eastern border as Kiev continues its so-called 'anti-terrorist' operations.
Today Russia's Foreign Minister, Sergei Lavrov, said he won't conduct further talks in Geneva unless pro-Russian opposition groups are also present, saying otherwise "we would just go round in circles".
Speaking after a Council of Europe meeting, he said: "If Russia is ready to commit itself to support these elections and to eliminate this threat and eliminate its support for the extremist elements in Ukraine, we are ready to have such a round of meetings."
That was as Germany advised its citizens in east and south Ukraine to leave as it believes the country is just a "few steps" away from "military confrontation", according to the Telegraph.
Meanwhile, the OECD further dampened sentiment by cutting its forecast for global economic growth this year to 3.4% from 3.6%.
In economic data today, the US trade deficit shrank by 3.6% to $40.4bn in March, more or less in line with forecasts, while the previous month's balance was revised lower.
March's reduction was helped by a 2.2% rise in exports over the month, the biggest increase since June 2013, while imports rose by a lesser 1.7%.
Twitter slides almost 18% on release of insider shares
On the corporate front, Twitter slumped nearly 18% following the release of around 480m shares from insiders, quadrupling the total number available to trading.
AIG was lower after reporting that net income dropped to $1.6bn in the first quarter, from $2.2bn the year before. While the company beat forecasts, analysts showed concerns with weaker-than-expected earnings from property and casualty insurance.
Bloomberg said the selling of the likes of Netflix and Facebook came as investors resumed their trading in of the bull market's best performers.
After the close Whole Foods Markets was a notable faller after reducing its outlook for both turnover and profit.
Groupon also declined having posted a bigger loss than the market was anticipating.
S&P 500 - Risers
Eog Resources Inc. (EOG) $103.63 +4.41%
Anadarko Petroleum Corp. (APC) $102.73 +3.26%
DIRECTV (DTV) $81.73 +2.37%
Moody's Corp. (MCO) $81.32 +1.98%
Bristol-Myers Squibb (BMY) $50.93 +1.80%
Denbury Resources Inc. (DNR) $17.31 +1.58%
Garmin Ltd. (GRMN) $58.36 +1.53%
NRG Energy Inc. (NRG) $34.23 +1.42%
QEP Resources Inc (QEP) $30.47 +1.36%
SLM Corp. (SLM) $8.90 +1.19%
S&P 500 - Fallers
Netflix Inc. (NFLX) $326.19 -5.28%
Sears Holdings Corp. (SHLD) $40.58 -4.90%
Facebook Inc. (FB) $58.53 -4.39%
Wynn Resorts Ltd. (WYNN) $207.55 -4.20%
American International Group Inc. (AIG) $50.54 -4.14%
Amazon.Com Inc. (AMZN) $297.38 -4.09%
TripAdvisor Inc. (TRIP) $81.37 -3.94%
Discovery Communications Inc. Class A (DISCA) $74.71 -3.93%
E TRADE Financial Corp. (ETFC) $21.57 -3.92%
Target Corp. (TGT) $57.64 -3.72%
Dow Jones I.A - Risers
Verizon Communications Inc. (VZ) $47.47 +0.17%
Intel Corp. (INTC) $26.20 +0.11%
Unitedhealth Group Inc. (UNH) $75.26 +0.04%
Dow Jones I.A - Fallers
Merck & Co. Inc. (MRK) $57.11 -2.59%
Pfizer Inc. (PFE) $29.43 -1.77%
JP Morgan Chase & Co. (JPM) $53.34 -1.62%
Home Depot Inc. (HD) $77.42 -1.61%
General Electric Co. (GE) $26.19 -1.47%
Nike Inc. (NKE) $72.25 -1.42%
American Express Co. (AXP) $86.20 -1.33%
Goldman Sachs Group Inc. (GS) $154.54 -1.16%
Cisco Systems Inc. (CSCO) $22.72 -1.05%
3M Co. (MMM) $139.29 -0.94%
Nasdaq 100 - Risers
Avago Technologies Ltd. (AVGO) $67.34 +4.81%
DIRECTV (DTV) $81.73 +2.37%
Keurig Green Mountain Inc (GMCR) $95.32 +1.73%
Garmin Ltd. (GRMN) $58.36 +1.53%
Vimpelcom Ltd Ads (VIP) $8.13 +0.87%
Vodafone Group Plc ADS (VOD) $37.96 +0.77%
Western Digital Corp. (WDC) $84.41 +0.61%
Staples Inc. (SPLS) $12.62 +0.56%
Express Scripts Holding Co (ESRX) $67.00 +0.25%
Check Point Software Technologies Ltd. (CHKP) $63.78 +0.16%
Nasdaq 100 - Fallers
Netflix Inc. (NFLX) $326.19 -5.28%
Facebook Inc. (FB) $58.53 -4.39%
Tesla Motors Inc (TSLA) $207.28 -4.31%
Wynn Resorts Ltd. (WYNN) $207.55 -4.20%
Amazon.Com Inc. (AMZN) $297.38 -4.09%
TripAdvisor Inc. (TRIP) $81.37 -3.94%
Discovery Communications Inc. Class A (DISCA) $74.71 -3.93%
Adobe Systems Inc. (ADBE) $59.44 -3.26%
Akamai Technologies Inc. (AKAM) $52.40 -3.20%
Mylan Inc. (MYL) $48.48 -2.83% |
| | UKs booming asset class... | | Get 10% fixed returns for 10 years and see why the care home investment market is about to boom. Our unique opportunity in The Calder Valley is one not to be missed Register your details here to receive your FREE brochure |
| | Newspaper Round Up | | Wednesday newspaper round-up: AstraZeneca, Britain, Carphone Warehouse Vince Cable said he would not "rule out intervention" in Pfizer's 63bn pound bid for Astra Zeneca as he warned that the "future of the UK is a knowledge economy not a tax haven". The Business Secretary told the House of Commons that just as both AstraZeneca and Pfizer were "motivated by hard-headed commercial considerations" the government would be "motivated by hard-headed considerations of the national interest." - The Daily Telegraph
AstraZeneca suggested that it had 10 new medicines in its development pipeline with the potential to generate more than $1bn of annual revenue each. Such bullish figures imply that the City has been spectacularly undervaluing AstraZeneca's potential. Industry followers are far from convinced. In a research note, Jefferies described the figures as "overly optimistic and an obvious bid-defence tactic". Savvas Neophytou of Panmure Gordon said: "The management has some convincing to do as most analysts remain sceptical on the achievability of these targets." - The Times
Carphone Warehouse and Dixons Retail are on the cusp of agreeing a near £4bn in merger to create a powerful UK retailer with 1,300 stores. A statement on the tie-up is expected around May 15th, when Dixons is due to publish a full-year trading update. Based on last night's closing prices, Carphone Warehouse has a market capitalisation of £1.9bn and Dixons Retail £1.8bn, implying the value of a combined group would be £3.7bn. - The Daily Telegraph
The Organisation for Economic Co-operation and Development has raised Britain's growth forecast to a hefty 3.2% this year, but warned that soaring house prices were one of the biggest risks that could blow the recovery off course. The think-tank said UK growth was likely to remain strong thanks to business investment and private consumption. "As a result, the unemployment rate is set to fall further and wage growth to pick up," it said. But it also said more needed to be done to temper growing house prices, suggesting one option could be to scale back the government's Help to Buy scheme, which provides guarantees for higher-risk mortgages in an attempt to help first-time buyers get onto the ladder. - The Daily Mail
Royal Mail is running the risk of alienating its Chairman after it headed off a potential clash with the government by ruling out a pay rise for its Chief Executive, Moya Greene. Less than 24 hours after The Times revealed that any rise in Ms Greene's £1.2m package would put it at odds with Vince Cable, the business secretary, Royal Mail abandoned any idea of increasing her base pay or her performance-related bonus for this financial year. - The Times
The Chinese internet giant Alibaba is set to float in what is expected to be one of the largest technology debuts in American stock market history. In a filing to the Securities and Exchange Commission after Wall Street had closed last night, the ecommerce and payments company, which covers almost 80% of all online business conducted in China, the world's second-largest economy, said that it wanted to raise $1bn. That figure is expected to jump dramatically once Alibaba has gauged interest from investors. - The Times | | |
New ADVFN Service - FREE Reports Get your free report on Isa's, Investment Trusts, Funds,
Sipps Travel and Cars - FREE and Easy service CLICK HERE
To advertise in the Euro Markets Bulletin please contact patrick@advfn.co.uk |
| | | | | | | To unsubscribe from this news bulletin or edit your mailing list settings click here. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +44 (0) 207 0700 961. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49 | |
No comments:
Post a Comment