| | | | | | | | | |
| | London Market Report |  | | FTSE 100 | Euronext | Dax perf | CAC 40 |  |  |  |  | | Please click on the images to view our interactive charts | | | London open: UK stocks drop early on as investors await risk events UK stocks dropped sharply on Wednesday morning as the sell-off resumed ahead of a busy session for global financial markets. The FTSE 100 was down 0.8% at 6,284 early on.
The index had jumped 2.4% the previous session, snapping a six-day losing streak, as West Texas Intermediate crude futures rebounded after dipping below $55 a barrel, their lowest level since mid-2009.
Investors were likely to take a cautious approach on Wednesday ahead of a Federal Reserve policy decision, a Greek presidency vote and minutes of the latest Bank of England meeting.
Meanwhile, there will also be a raft of economic data on tap, including unemployment figures in the UK, a final reading of November inflation in the Eurozone, and inflation numbers in the States.
"Market volatility appears to be the order of the week, as a range of economic and political announcements mean that we have seen traders find it difficult to know whether we should be coming or going," said analyst Joshua Mahony from Alpari.
Dixons Carphone jumps
Electrical retailer Dixons Carphone was in demand after a strong first half in the UK helped group like-for-like revenues rise 5%. However, the company also warned that Dutch and German trading was still tough and said it was launching a review and restructuring.
Advertising and media giant WPP fell after unveiling a successor to Philip Lader who announced his plan to step down as long-running chairman earlier this year. The company said it has appointed IMI chairman Roberto Quarta as a non-executive director and chairman-designate.
Mining stocks were mixed early on with Anglo American, BHP Billiton and Glencore trading in the red, and Rio Tinto and Evraz making gains. Liberum upgraded its rating on the mining sector to 'hold' on Wednesday, with share prices having reached "our once-bearish price targets".
Glencore however was being weighed down by a ratings cut at Deutsche Bank to 'hold'.
Saga fell despite the over-50s services provider saying it expects to meet market expectations for the full year. The company, which provides travel, financial and healthcare services as well as a magazine for its 2.7m active customers, said trading since the half-year stage at 1 August has been "in line". |
| | Download the 15-Minute Retirement Plan by Fisher Investments.
Click here to download! |
| Market Movers
techMARK 2,850.54 -0.82%
FTSE 100 6,284.01 -0.76%
FTSE 250 15,349.13 -0.50%
FTSE 100 - Risers
Dixons Carphone (DC.) 439.70p +3.05%
Aberdeen Asset Management (ADN) 410.00p +1.49%
National Grid (NG.) 882.00p +0.57%
Tullow Oil (TLW) 383.30p +0.50%
Compass Group (CPG) 1,058.00p +0.47%
3i Group (III) 422.40p +0.09%
Rio Tinto (RIO) 2,728.50p +0.06%
Royal Dutch Shell 'A' (RDSA) 2,037.00p +0.02%
FTSE 100 - Fallers
Mondi (MNDI) 996.00p -3.95%
Capita (CPI) 1,038.00p -2.54%
International Consolidated Airlines Group SA (CDI) (IAG) 450.50p -2.53%
Petrofac Ltd. (PFC) 674.00p -2.03%
Royal Mail (RMG) 389.70p -1.89%
IMI (IMI) 1,163.00p -1.86%
Intu Properties (INTU) 323.30p -1.79%
G4S (GFS) 267.40p -1.76%
Whitbread (WTB) 4,399.00p -1.68%
Johnson Matthey (JMAT) 3,244.00p -1.67%
FTSE 250 - Risers
Evraz (EVR) 123.80p +4.74%
Catlin Group Ltd. (CGL) 604.50p +3.87%
Tate & Lyle (TATE) 583.50p +3.55%
Bank of Georgia Holdings (BGEO) 1,903.00p +3.54%
Man Group (EMG) 147.10p +1.66%
Petra Diamonds Ltd.(DI) (PDL) 185.10p +1.42%
SSP Group (SSPG) 279.40p +1.38%
Vedanta Resources (VED) 551.50p +1.38%
Tullett Prebon (TLPR) 263.70p +1.15%
Pace (PIC) 323.80p +1.12%
FTSE 250 - Fallers
Fidessa Group (FDSA) 2,318.00p -3.01%
Centamin (DI) (CEY) 50.85p -2.59%
Amec Foster Wheeler (AMFW) 810.50p -2.58%
Serco Group (SRP) 155.20p -2.57%
AO World (AO.) 265.80p -2.28%
Hochschild Mining (HOC) 77.90p -2.01%
RPS Group (RPS) 200.00p -1.96%
Cineworld Group (CINE) 384.70p -1.91%
Spire Healthcare Group (SPI) 314.00p -1.88% |
| | UK Event Calendar | | Wednesday 17 December
INTERIMS
Dixons Carphone
INTERIM DIVIDEND PAYMENT DATE
E2V Technologies, NextEnergy Solar Fund Limited Red
QUARTERLY PAYMENT DATE
Total SA
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Balance of Payments (US) (13:30)
Consumer Price Index (EU) (10:00)
Consumer Price Index (US) (13:30)
Consumer Price Index (US) (00:00)
Crude Oil Inventories (US) (15:30)
Current Account (US) (13:30)
FOMC Interest Rate (US) (19:00)
Harmonised Index of Consumer Prices (EU) (10:00)
MBA Mortgage Applications (US) (12:00)
GMS
21st Century Technology, Benchmark Holdings , MXC Capital
ANNUAL REPORT
Marston's
EGMS
PXP Vietnam Fund Ltd., Rose Group Limited
AGMS
Baronsmead VCT, Baronsmead VCT 2, British Empire Securities & General Trust, Greatland Gold, Impact Holdings, O2 Czech Republic A.S. GDR (144A/Reg S), Sareum Holdings, Standard Life Equity Income Trust, Volution Group (WI)
TRADING ANNOUNCEMENTS
Saga
UK ECONOMIC ANNOUNCEMENTS
BoE Interest Rate Minutes (09:30)
Claimant Count Rate (09:30)
Unemployment Rate (09:30)
FINAL DIVIDEND PAYMENT DATE
Gleeson (M J) Group, Plexus Holdings |
| | FREE £20 to invest on our peer to business lending platform | | Lend to businesses and earn average gross yields of 16%.
Join today and get a £20 head start in this new financial market. Register your details here to receive £20 FREE |
| | Europe Market Report | | | | FTSE 100 | Euronext | Dax perf | CAC 40 |  | | | | | | Europe open: Stocks drop ahead of BoE minutes, FOMC policy decision European stocks slid as investors awaited the release of the Bank of England's (BoE) meeting minutes and the Federal Reserve's latest policy decision. The BoE will at 09:30 London time release minutes of its 4 December meeting. The minutes may elaborate on the central bank's decision to maintain interest rates at 0.5% and asset purchases at £375bn.
The Federal Open Market Committee (FOMC) is expected to maintain interest rates at 0.25% when it announces its policy at 19:00. The Fed has said it will keep rates low for a considerable time and analysts see the central bank holding off on any increase until mid- 2015.
The FOMC is also due to release its economic projections and Chair Janet Yellen will hold a press conference following the policy decision.
"Yellen may still be wringing her hands in concern over the long-term unemployed and low average wages but she seems as determined as her colleagues to start normalising monetary policy," said Teresa Towner, economist at Tavistock Communications.
"This means higher interest rates, albeit with very gentle increments, in 2015 followed by the running-down of the Fed's balance sheet."
UK labour market data is also due out, including figures on employment changes, jobless claims, weekly earnings and the unemployment rate.
In the euro-area, revised Eurozone inflation figures will be released but analysts expect no change to an initial estimate of a 0.3% rise in November. The European Central Bank (ECB), which is targeting inflation of just below 2%, is under mounting pressure to introduce full-blown quantitative easing to address price instability. Analysts see the ECB introducing QE in January 2015.
Also in mainland Europe, Greek Prime Minister Antonis Samaras faces the first of three rounds of a presidential vote. The vote will determine whether Greece will enter snap national elections.
UCB, Acciona
UCB SA declined after the sale of its US generic-drug business to two private-equity firms for $1.53bn fell through.
Acciona SA declined after Expansion reported that the company's contract to build a tunnel in Melbourne could be suspended by the new state government.
Royal Philips dropped after agreeing to buy Volcano Corp. for $1bn.
The euro fell 0.42% to $1.2459. |
| | Swissquote offers CFD Trading, an efficient mean of trading indices, commodities and currencies. | | You can trade on the market whether you think it will go UP or Down! Think the DAX will go Down? Short the DAX… Try CFD Trading with a Free Practice Account losses can exceed your deposit.
|
| | US Market Report | | US close: Markets decline amid disappointing housing starts and manufacturing data US stocks declined amid news that housing starts fell and manufacturing growth reduced. The Dow Jones Industrials dropped 0.65% to 17,068.87 while the S&P 500 fell 0.84% to 1,972.74 and Nasdaq Composite ended lower by 1.24% to 4,548.
US housing starts month-on-month for November went down 1.6% after a revised 1.7% increase in October (versus the preliminary reading of -2.8%). The consensus forecast had been for a gain of 3.1%.
Barclays Research said: "Following the upward revision in housing starts for October, we are now tracking a stronger performance for residential investment."
The Federal Reserve has been gearing up to analyse data assessing the status of the economy ahead of the central bank's monetary policy decision on Wednesday.
IG analyst Chris Beauchamp said: "The Fed is likely to have taken note of the rout in oil and the growing problems in Russia and factored them into its outlook, as well as the impact on inflation of declining oil prices.
"This could lead to a more dovish statement than had been anticipated, which could provide the foundation on which investors can build a sustained end-of-year rally."
Meanwhile, HSBC's China manufacturing PMI declined from 50 in November to 49.5 in December, worse than the consensus forecast of 49.8.
Markit said: "Economic growth looks likely to come in a shade below the government's target of 7.5% in 2014, and the central bank is expecting it to wane further to 7.1% in 2015, citing the slowdown in real estate investment as a primary cause of the softening economic picture in China.?"
Oil prices continued to fall as West Texas Intermediate crude futures dropped 1.268% to $55.21, while Brent crude futures declined 2.19% to $59.75. This slide came as news hit that Iran will reduce the price of its oil shipments to Asia in January.
The dollar continued to weaken against the pound, euro and the yen.
Over on COMEX, gold futures receded by 0.9% to $1,196.8 per ounce.
In corporate news, CVS Health gained 2.72% to $92.31 after announcing a possible repurchase of $10bn in shares and increasing its dividend pay-out.
American depositary receipts in Sony saw its shares move higher amid reports of a $7bn offer from a group believed to be linked to Middle Eastern princes. However, the company closed on 0% change at 19.72. |
| | 3 Recovery Stocks for 2015 | | 2014 has been a very turbulent year for several major stocks. Our report will give you insight into 3 major companies that may have turned the corner. Click Here. |
| | Newspaper Round Up | | Wednesday newspaper round-up: Russia, OPEC, Federal Reserve... Russia has lost control of its economy and may be forced to impose Soviet-style exchange controls after "shock and awe" action by the central bank failed to stem the collapse of the rouble, according to The Telegraph. The paper quoted the central bank's vice-chairman Sergei Shvetsov as saying: "The situation is critical. What is happening is a nightmare that we could not even have imagined a year ago." According to The Times, OPEC members could be forced into "drastic action" to preserve their financial stability after the recent collapse in the oil prices. The paper says that members will cut domestic spending, raid foreign capital reserves and devalue their currencies to avoid defaulting on debts.
The Federal Reserve faces a "delicate communications challenge" on Wednesday with how potential changes to its forward guidance will affect the struggling emerging markets, writes the Financial Times. The paper warned of a rout in emerging markets if the Fed sends a "strong signal on rate rises".
"Profits at Britain's leading banks would collapse by £91bn in the event of a new financial crisis," The Times said, citing the Bank of England's stress tests. The paper said that in that scenario lenders would be forced to cut shareholder payments and implement "swingeing cost cuts".
Swiss online travel firm Bravofly Rumbo Group has made a $120m (£76m) final bid for lastminute.com, writes The Telegraph.
John Lewis expects a "bumper finish" to shopping in December, according to The Guardian. The paper cited retail director Andrew Murphy as saying that Saturday would start a "pretty intense" burst of trade in its stores.
Apple has won a $1bn trial over allegations that it breached competition laws when blocking songs from rival music stores from playing on its iPods, The Telegraph reports.
Retail veteran Paula Schneider has taken over a chief executive of US fashion retailer American Apparel after the dismissal of controversial founder Dov Charney, according to The Guardian. The previous boss had faced allegations over sexual misconduct and was put under suspension in June. | | |
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