| | | | | | | | | |
| | London Market Report |  | | FTSE 100 | Euronext | Dax perf | CAC 40 |  |  |  |  | | Please click on the images to view our interactive charts | | | London close: FTSE closes modestly higher - FTSE closes up 4.24 higher at 6,843.11
- US data disappoints
- Eurozone industrial production beats forecast
techMARK 2,846.73 +0.21%
FTSE 100 6,843.11 +0.06%
FTSE 250 16,125.95 +0.24%
London-listed stocks ended the day marginally higher, coming off this morning's lows, although the gains were limited by data releases in the US and a poor performance by the mining sector.
The FTSE 100 closed 4.24 points higher at 6,843.11.
Chris Beauchamp, Market Analyst at IG, said: "Today's narrow range in London proves just how distracted markets are becoming, as major sporting events get underway. Aer Lingus became the second airline in as many days to publish a profit warning, putting the sector on the back foot yet again.
"This fits in with the World Bank's forecast of lower growth, a view that is itself reinforced by the rise in oil prices and the concerns that this will negatively affect growth in developed economies.
"There were some short-lived gains for the overall index, but the index has settled down with modest losses as the session comes to a close. Upward progress is still absent, but so long as the 6,800 level holds the assumption remains that we will see further gains."
US data disappoints
Over in the States, data showed that retail sales in the world's biggest economy unexpectedly slowed in May, up just 0.3% following a revised 0.5% increase in April, surprising analysts who had expected a 0.6% gain.
"The disappointing 0.3% rise in US retail sales values in May (consensus +0.6%) implies that some of the weakness in the first quarter has continued into the second," said Capital Economics.
"That said, with payrolls now rising by more than 200,000 a month, this is unlikely to last."
Meanwhile, initial jobless claims came in at 317,000 in the week to June 7th, more than the 312,000 the previous week and the 309,000 forecast.
European data offers more positive news
Across the Channel, Eurozone industrial production increased 1.4% year-on-year in April following a 0.2% gain in March, beating analysts' estimates for a 0.8% jump.
In France, inflation rose by 0.7%, a report confirmed today, as predicted.
Rising oil prices lift BG Group
BG Group climbed despite Nomura downgrading the stock to 'neutral', with the recent uncertainty in Iraq likely driving prices higher.
London Stock Exchange was on the up after Espirito Santo increased its target from 1,991p to 2,303p, keeping a 'buy' recommendation.
Shares in Lonmin rebounded strongly on Thursday from recent declines after it agreed an informal deal with the Association of Mineworkers and Construction Union (AMCU) in South Africa relating to pay and employment conditions.
Meanwhile, the majority of miners were among the worst performers in today's session, with Anglo American, BHP Billiton, Rio Tinto and Glencore falling sharply. Anglo was the hardest hit after its rating was cut from 'equal weight' to 'underweight' at Morgan Stanley.
Airline stocks easyJet and IAG extended the losses seen in yesterday's session, which came after German peer Lufthansa plummeted in Frankfurt following the news that it would not hit profit guidance for the next two years.
Tesco was in the red after Goldman Sachs cut its target from 270p to 250p and reiterated a 'sell' recommendation on the supermarket. |
| | FREE property investment seminar.. | | Maximise your income and prepare for a brighter future. Attend our free seminar, learn how to invest in property using a Small Self Administered Scheme (SSAS) and make your future easier and more affluent!
Register here to attend our free seminar |
|
FTSE 100 - Risers
BG Group (BG.) 1,265.00p +2.51%
Randgold Resources Ltd. (RRS) 4,566.00p +1.87%
Admiral Group (ADM) 1,535.00p +1.66%
ITV (ITV) 179.40p +1.59%
London Stock Exchange Group (LSE) 1,994.00p +1.32%
Reckitt Benckiser Group (RB.) 5,190.00p +1.27%
Reed Elsevier (REL) 959.00p +1.11%
G4S (GFS) 254.90p +1.07%
Weir Group (WEIR) 2,707.00p +1.01%
Rolls-Royce Holdings (RR.) 1,027.00p +0.98%
FTSE 100 - Fallers
Anglo American (AAL) 1,418.00p -3.18%
Rio Tinto (RIO) 3,058.00p -3.12%
Antofagasta (ANTO) 749.50p -2.60%
International Consolidated Airlines Group SA (CDI) (IAG) 391.20p -2.20%
Sainsbury (J) (SBRY) 325.70p -2.19%
Friends Life Group Limited (FLG) 323.90p -2.12%
easyJet (EZJ) 1,501.00p -1.90%
Carnival (CCL) 2,414.00p -1.59%
Vodafone Group (VOD) 196.75p -1.33%
Glencore (GLEN) 320.00p -1.30%
FTSE 250 - Risers
Lonmin (LMI) 257.70p +8.87%
PayPoint (PAY) 1,166.00p +4.39%
Halma (HLMA) 614.50p +3.98%
Alent (ALNT) 342.70p +3.85%
Rank Group (RNK) 167.00p +3.73%
Premier Farnell (PFL) 215.20p +3.26%
Provident Financial (PFG) 2,241.00p +3.18%
Micro Focus International (MCRO) 848.00p +2.73%
COLT Group SA (COLT) 148.80p +2.62%
Spectris (SXS) 2,374.00p +2.59%
FTSE 250 - Fallers
Home Retail Group (HOME) 192.50p -4.04%
Evraz (EVR) 96.25p -3.31%
Polymetal International (POLY) 537.50p -3.15%
Bwin.party Digital Entertainment (BPTY) 114.00p -2.98%
Booker Group (BOK) 136.20p -2.92%
African Barrick Gold (ABG) 217.10p -2.73%
Ophir Energy (OPHR) 235.90p -2.08%
EnQuest (ENQ) 139.40p -1.90%
Thomas Cook Group (TCG) 149.70p -1.84%
Imagination Technologies Group (IMG) 245.60p -1.76% |
| | Earn 16% in 1 year... | | Become an armchair developer, invest in one of the UK's most exclusive housing developments and earn over 16% per annum! Register here for further information
|
| | Europe Market Report | | | | FTSE 100 | Euronext | Dax perf | CAC 40 |  | | | | | | Europe close: Stocks end mixed on weak US retail sales and Iraq - US retail sales disappoint
- Chinese credit data ahead of forecasts
- Fitch: Conflict in Iraq could have long-term consequences
- Oil traders push futures higher
FTSE 100: 0.06%
DAX: -0.11%
CAC 40: -0.02%
FTSE MIB: -0.27%
IBEX 35: 0.12%
Stoxx 600: 0.03%
European stocks finished the session on a mixed note as US retail sales came in weaker than expected, while oil traders seemingly finally stood and up took notice of news regarding recent advances by jihadists in Iraq.
US retail sales rose by 0.3% over the month in May, below economists´ forecasts. On top of that excluding "erratic" items retail sales were flat. That sits oddly with the most recent figures showing solid growth in payrolls. Hence, analysts at Capital Economics were sanguine.
Acting as a backdrop, Chinese credit and money supply data for the month of May came in ahead of forecasts. Despite more signs of recovery, economists at Barclays Research wrote to clients telling them that they "continue to expect further monetary easing".
Oil traders sit up and take notice of turmoil in Iraq
Kirkuk has been taken over by Kurdish forces after the federal army abandoned its bases in the northern city.
The news cames after Iraqi soldiers fled their posts in the city of Mosul on Tuesday and several other towns and cities as radical Sunni insurgents from the Islamic State in Iraq and the Levant (ISIL) invaded.
The jihadist attacks on the Iraqi cities of Mosul and Tikrit do not constitute an immediate threat neither for that country´s oil production nor for the ratings of Western oil companies, according to ratings agency Fitch.
However, should the conflict spread and the market begin to doubt whether the Middle Eastern nation will indeed be able to raise its oil output in line with forecasts then that could provoke a sharp rise in world oil prices as current forecasts foresee Iraq increasingly becoming a major contributor to the long-term growth in global oil output.
Ocado, Anglo American
Bouygues Telecom rallied on news Orange is studying a cash offer for the company. Iliad gained after France said it'll push for a merger among phone companies.
Ocado Group advanced as JPMorgan Chase & Co. advised investors to buy the shares.
Anglo American declined after Morgan Stanley recommended selling the stock.
Provident Financial edged higher after Citigroup upgraded the shares to 'buy' from 'neutral'.
From a sector standpoint the best performance on the DJ Stoxx 600 was to be seen in the following sectors: Oil (1.2%), Financial services (0.43%) and personal and household goods (0.40%).
Crude futures advance
The euro/dollar rose by 0.14% to $1.3550.
Front month Brent crude futures were 1.892% higher on the day, and trading at 1.3550. |
| | Achieve your investment goals... | | Get 15% returns on this stunning waterfront apartment development. This unique opportunity in the heart of Manchester's Salford Quays and Media City (new home of the BBC) is one not to be missed! Register your details here to receive your FREE brochure |
| | US Market Report | | US open: Stocks slide after retail sales, jobless claims US stocks slumped as retail sales in the world's biggest economy unexpectedly slowed in May and initial jobless claims rose in the latest week.
Advance retail sales climbed 0.3% in May following a revised 0.5% increase in April, surprising analysts who had expected a 0.6% gain.
"The disappointing 0.3% rise in US retail sales values in May (consensus +0.6%) implies that some of the weakness in the first quarter has continued into the second," said Capital Economics.
"That said, with payrolls now rising by more than 200,000 a month, this is unlikely to last."
Initial jobless claims came in at 317,000 in the week to June 7th, more than the 312,000 the previous week and the 309,000 forecast.
Alpari UK Analyst Craig Erlam said weekly jobless claims have become a "reliable source of good news for the US recently, having consistently hovered around the 300,000 level".
"This suggests that aside from seeing fewer job cuts, we're also seeing job creation pick up to the point that people are able to move from one job to another without having to sign on," Erlam said. "This is an encouraging sign that the labour market is getting back to good health, although clearly, it's not quite there yet."
Meanwhile investors are also watching Iraq as Kurdish forces took control of the northern oil city of Kirkuk today. Government troops abandoned their posts as Sunni Islamist rebels headed towards Baghdad.
The turmoil has pushed oil prices up today with West Texas Intermediate crude futures rising $1.602 to $106.100 per barrel at 14:40 BST.
Amazon hits snag with Universal
Amazon slumped on reports its music service has run into hurdles landing a deal with Universal Music Group.
Twitter advanced after saying its Chief Operating Officer Ali Rowghani resigned.
Consol Energy and Noble Energy gained after revealing plans to offer stock in a natural gas pipeline partnership that handles output from jointly owned acreage.
The US 10-year yield fell one basis point to 2.63%. |
| | iPad mini worth £269 for new trading accounts! | | A minimum volume is required. Terms and conditions apply. Find out more, click here. |
| | Broker Tips | | Broker tips: RBS, Johnson Matthey, Ocado Investec has cut its rating for Royal Bank of Scotland (RBS) from 'hold' to 'sell', saying it sees downside after a recent run in the share price.
"Following RBS' latest +16% six-week 'spike' we believe that the share price (once again) reflects a triumph of hope over reality and should duly correct," said Analyst Ian Gordon.
Despite a number of headwinds, Johnson Matthey should be able to deliver double-digit underlying growth this year, according to Numis Securities which upgraded its rating on the stock on Thursday from 'hold' to 'add'.
The broker said that Johnson Matthey enjoys a number of "favourable medium-term business drivers" and growth prospects look "more assured" than chemicals peer Croda.
Online grocery group Ocado has a "unique and disruptive business model" in the UK food retail industry, according to JPMorgan Cazenove which initiated coverage of the stock with an 'overweight' rating and 500p.
The US bank said that Ocado is the "best way to play the shift from property to IT as the key differentiating investment in food retailing". | | |
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