| | | | | | | | | |
| | London Market Report |  | | FTSE 100 | Euronext | Dax perf | CAC 40 |  |  |  |  | | Please click on the images to view our interactive charts | | | London open: M&A hopes boost UK stocks as BG Group soars on Shell takeover A takeover offer for BG Group and hopes for more M&A activity were giving UK stocks a big lift on Wednesday morning, with the FTSE 100 retesting the key 7,000 level. BG Group had soared by nearly 40% in early deals after oil major Shell offered £47bn in cash and shares for the natural gas outfit, sparking speculation that further industry consolidation will soon follow.
Accendo Markets senior trader Marc Kimsey said "we're just getting started" with M&A in the oil sector. "The decline in oil price over the past year has battered some stocks which are clearly now looking attractive," he said.
Meanwhile, press reports were also highlighting the possibility of an approach by French media giant Vivendi for Sky and a Google takeover of Twitter.
The Footsie was trading 0.45% higher at 6,993.15, extending gains after a 1.9% surge the previous session. The index has not closed above the 7,000 level since 24 March.
Aside from corporate newsflow and M&A rumours, the focus of Wednesday's session is likely to be on the Federal Reserve which releases minutes from its policy meeting on 17-18th March at 18:00.
"Any hawkish comments on rates will likely be tempered by Friday's weak payroll numbers so the minutes are a little behind the curve but interesting nevertheless," said analysts at Deutsche Bank.
The release of Alcoa's first-quarter results later on also marks the unofficial start of quarterly earnings season in the States.
Oil stocks rise on M&A hopes
BG Group was the standout riser of the morning in London, up 38.5% after its board recommended a takeover offer from Shell, though shares in the latter dipped into the red. The bid values BG at around 1,350p per share, a 50% premium to its closing price of 910.4p on Tuesday. If the transaction completes, BG Group shareholders will be left with a 19% stake in the enlarged group.
Others in the sector were making gains on hopes that the deal will spark a new round of industry M&A. BP, BHP Billiton, Ophir Energy, Tullow Oil, Premier Oil and Soco International were all on the rise.
Sky was in demand amid bid speculation that France's media giant Vivendi could table a bid for the UK listed TV and broadband operator. Though Vivendi representatives denied Sky is an acquisition, market participants piled into Sky stock on an earlier Reuters report citing sources, that Vivendi could pay up to £28bn for the company.
Vodafone shares were pulling back slightly. The stock advanced on Tuesday after UBS highlighted the possibility of a bid for the telecoms group from US cable operator Liberty Global.
Mining stocks were making decent gains early on, including Rio Tinto, Anglo American and Antofagasta.
Leading the fallers were insurers Friends Life, Aviva and Prudential. |
| | Market Movers
techMARK 3,201.63 +0.04%
FTSE 100 6,993.15 +0.45%
FTSE 250 17,580.25 +0.34%
FTSE 100 - Risers
BG Group (BG.) 1,260.50p +38.46%
BP (BP.) 473.90p +4.19%
Sky (SKY) 1,060.00p +3.62%
Experian (EXPN) 1,179.00p +2.52%
Anglo American (AAL) 1,037.50p +1.17%
Aberdeen Asset Management (ADN) 470.80p +1.16%
Aggreko (AGK) 1,606.00p +0.94%
Intertek Group (ITRK) 2,624.00p +0.92%
Mondi (MNDI) 1,362.00p +0.89%
Centrica (CNA) 261.50p +0.77%
FTSE 100 - Fallers
Friends Life Group Limited (FLG) 405.40p -5.81%
Royal Dutch Shell 'B' (RDSB) 2,100.00p -4.91%
Aviva (AV.) 548.00p -2.32%
Royal Dutch Shell 'A' (RDSA) 2,047.00p -2.24%
Barratt Developments (BDEV) 523.50p -1.32%
Wolseley (WOS) 3,989.00p -1.24%
Hikma Pharmaceuticals (HIK) 2,193.00p -1.22%
Associated British Foods (ABF) 2,928.00p -1.21%
Persimmon (PSN) 1,661.00p -1.19%
TUI AG Reg Shs (DI) (TUI) 1,216.00p -1.14%
FTSE 250 - Risers
Tullow Oil (TLW) 332.40p +10.69%
Ophir Energy (OPHR) 160.40p +10.16%
Go-Ahead Group (GOG) 2,546.00p +4.82%
Premier Oil (PMO) 157.90p +4.71%
Soco International (SIA) 180.30p +4.46%
Fidelity China Special Situations (FCSS) 159.00p +4.33%
Lonmin (LMI) 124.00p +2.48%
Vedanta Resources (VED) 521.50p +2.46%
Michael Page International (MPI) 544.00p +2.45%
Hays (HAS) 161.20p +2.28%
FTSE 250 - Fallers
JD Sports Fashion (JD.) 470.00p -2.06%
Acacia Mining (ACA) 276.60p -1.71%
National Express Group (NEX) 289.00p -1.53%
Dignity (DTY) 1,907.00p -1.45%
Bellway (BWY) 1,964.00p -1.26%
Provident Financial (PFG) 2,769.00p -1.25%
Millennium & Copthorne Hotels (MLC) 581.50p -1.19%
Berkeley Group Holdings (The) (BKG) 2,645.00p -1.16%
Infinis Energy (INFI) 180.00p -0.94% |
| | The fastest growing market in London... | | Introducing The Oratory Apartments in London's regeneration programme.
With Zone 3 prices 41% lower than Zone 2, this exclusive off-market Crossrail investment opportunity is one not to be missed. Click here to find out more and see why Canning Town is about to boom! |
| | UK Event Calendar | | Wednesday 08 April
INTERIM DIVIDEND PAYMENT DATE
Galliford Try, Haynes Publishing Group, Hays, Stewart & Wight
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Crude Oil Inventories (US) (15:30)
Factory Orders (GER) (11:00)
FOMC Interest Rate Minutes (US) (19:00)
MBA Mortgage Applications (US) (12:00)
PMI Construction (GER) (08:30)
PMI Retail (EU) (09:10)
PMI Retail (GER) (09:10)
Retail Sales (EU) (10:00)
FINALS
Amerisur Resources
ANNUAL REPORT
Stock Spirits Group
EGMS
Zambeef Products
AGMS
Allianz Technology Trust, Daniel Stewart Securities
TRADING ANNOUNCEMENTS
Atkins (WS)
UK ECONOMIC ANNOUNCEMENTS
BRC Shop Price Index (00:01)
New Car Registrations (09:00)
FINAL DIVIDEND PAYMENT DATE
Avesco Group, Crest Nicholson Holdings, Safestore Holdings
FINAL EX-DIVIDEND DATE
Aviva
|
| | 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: Stocks mostly higher after BG and Shell merger deal European stocks outside of Germany were in positive territory as BG Group gained after Royal Dutch Shell agreed to purchase the UK oil and gas company. Royal Dutch Shell will buy BG Group in a deal that values the business at £47bn, a 50% premium on the share price at 7 April. It marks the first big merger between energy companies in a decade.
"The deal between Royal Dutch Shell and BG Group will prompt sector consolidation," according to Marc Kimsey, senior trader at Accendo Markets. "The decline in oil price over the past year has battered some stocks which are clearly now looking attractive."
Brent crude fell 1.2% to $58.38 per barrel in morning trade, data from the ICE revealed.
Meanwhile, Germany's DAX declined after a report showed factory orders in Europe's biggest economy fell 1.3% year-on-year, compared to analysts' estimates for a 0.5% increase.
Elsewhere in the euro-area, Greek Prime Minister Alexis Tsipras has arrived in Moscow for talks with Russian President Vladimir Putin. Greece is fast running out of cash and must cough up €448m in debt repayments to the International Monetary Fund on Thursday. The IMF and the EU are in negotiations with Greece to unlock further aid.
"As Greece's financial situation worsens, it looks like it is trying to use its relationship with Russia as leverage for some kind of movement from its creditors, who have been very quiet so far this week," said Connor Campell, financial analyst at Speadex.
"After claims that funds will run out on Thursday appear to have receded into the background, and the country's reparations claims being largely laughed off by the Eurozone community, it remains to be seen whether this latest attempt to ruffle the feathers of its creditors will have the desired effect."
The euro was up 0.46% to $1.0864 at the open.
Turning to the US after the close, the Federal Reserve publishes the minutes of its March meeting amid speculation the central bank will delay its first interest rate hike further after Friday's worse-than-expected non-farm payrolls report.
Among stocks, Easyjet advanced after reporting a 7.5% increase in passenger growth for March.
Centamin edged higher after reporting first-quarter production that beat analysts' estimates. |
| | 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: Dow and S&P flat after erasing gains US stocks finished flat on Tuesday, after erasing gains from earlier in the session as oil prices staged a solid rebound. The Dow Jones Industrial Average closed down 5.43 points to 17,875.42, while the S&P 500 and the Nasdaq fell 4.30 and 6.90 points respectively.
On Monday, stocks were boosted by New York Fed's president William Dudley, who reiterated that any decision to hike interest rates will be strictly linked to economic data.
US job openings rose to a 14-year high in February, the Job Openings and Labour Turnover Survey (JOLTS) showed.
According to figures released by the Labor Department, the number of new jobs available in the market rose to 5.13m in February from a reading of 4.97m in the previous month, a figure that was approximately 100,000 higher than analysts' expectations.
"Once again there is an inconsistency in the US jobs data," said Spreadex's financial analyst Connor Campbell.
"This JOLT figure joins the latest unemployment claims number in countering the dismal non-farm figure seen last Friday, further muddying the jobs picture that is so essential to the Federal Reserve's rate hike debate."
Meanwhile, consumer credit grew at a seasonally adjusted annual rate of 5.6%, for a gain of $15.5bn in February, the Federal Reserve said Tuesday.
It was the fastest pace of growth since October, driven from an increase in non-revolving debt - such as car loans or student loans - which grew at a 9.4% rate up from a 5.8% rate in January, the fastest pace since February 2013.
Revolving, or credit-card, debt fell at a 5% rate in the period, after a 1.4% decline January, marking the biggest decline in credit card loans since April 2011.
In company news, delivery giant FedEx rose 2.69% on news it had agreed to buy Dutch logistics company TNT Express as it seeks to expand its European operations.
Consultancy firm Accenture gained 0.73% after announcing a four-year deal with tech company Alcatel-Lucent, which rose 0.78%, and telecoms group Telefonica.
Under the deal, Alcatel's Motive Customer Experience Management software will available for Telefonica residential customers in European and Latin American countries.
Informatica Corp climbed 4.28% on the news the company has been taken private by Permira Advisors LLC and the Canada Pension Plan Investment Board for $5.3bn.
The dollar gained 0.76% against the yen after a quiet session in Asia and jumped over 1% against the euro. The greenback also gained 0.47% against the pound, while gold futures fell 0.67% to $1,210.40.
Oil prices rebounded, with West Texas Intermediate gaining 3.16% to $53.84 a barrel, while Brent crude rose 1.56% to $59.04 a barrel.
S&P 500 - Risers
Peabody Energy Corp. (BTU) $5.33 +5.54%
Juniper Networks Inc. (JNPR) $23.42 +3.17%
Alexion Pharmaceuticals Inc. (ALXN) $176.00 +3.15%
QEP Resources Inc (QEP) $22.93 +2.92%
Range Resources Corp. (RRC) $56.26 +2.91%
Diamond Offshore Drilling Inc. (DO) $29.81 +2.83%
Molson Coors Brewing Co. Class B (TAP) $78.24 +2.72%
FedEx Corp. (FDX) $171.17 +2.70%
CONSOL Energy Inc. (CNX) $29.41 +2.55%
Carnival Corp. (CCL) $48.72 +2.01%
S&P 500 - Fallers
T. Rowe Price Group Inc. (TROW) $79.05 -3.74%
Halliburton Co. (HAL) $44.50 -3.01%
Avon Products Inc. (AVP) $8.18 -2.97%
Macerich Co (MAC) $77.40 -2.82%
Lennar Corp. Class A (LEN) $50.74 -2.54%
Ventas Inc. (VTR) $74.97 -2.51%
D. R. Horton Inc. (DHI) $28.01 -2.44%
ProLogis (PLD) $43.34 -2.32%
PulteGroup Inc. (PHM) $22.16 -2.25%
Masco Corp. (MAS) $26.28 -2.20%
Dow Jones I.A - Risers
Chevron Corp. (CVX) $108.54 +1.52%
Johnson & Johnson (JNJ) $100.12 +0.97%
Visa Inc. (V) $65.80 +0.92%
Boeing Co. (BA) $152.27 +0.89%
Exxon Mobil Corp. (XOM) $85.73 +0.70%
Intel Corp. (INTC) $31.25 +0.68%
JP Morgan Chase & Co. (JPM) $60.85 +0.63%
Cisco Systems Inc. (CSCO) $27.39 +0.62%
Merck & Co. Inc. (MRK) $57.45 +0.47%
3M Co. (MMM) $166.15 +0.40%
Dow Jones I.A - Fallers
American Express Co. (AXP) $78.32 -1.65%
Caterpillar Inc. (CAT) $80.54 -1.17%
Apple Inc. (AAPL) $126.00 -1.06%
Procter & Gamble Co. (PG) $82.37 -0.81%
Travelers Company Inc. (TRV) $107.34 -0.73%
Verizon Communications Inc. (VZ) $49.27 -0.73%
General Electric Co. (GE) $25.01 -0.68%
Wal-Mart Stores Inc. (WMT) $80.48 -0.63%
Home Depot Inc. (HD) $114.26 -0.60%
E.I. du Pont de Nemours and Co. (DD) $71.67 -0.46%
Nasdaq 100 - Risers
Alexion Pharmaceuticals Inc. (ALXN) $176.00 +3.15%
Seagate Technology Plc (STX) $53.75 +1.92%
Vertex Pharmaceuticals Inc. (VRTX) $120.47 +1.88%
Mylan Inc. (MYL) $59.57 +1.86%
Vimpelcom Ltd Ads (VIP) $5.86 +1.74%
Autodesk Inc. (ADSK) $60.69 +1.63%
Check Point Software Technologies Ltd. (CHKP) $83.99 +1.39%
Amgen Inc. (AMGN) $157.28 +1.29%
F5 Networks Inc. (FFIV) $113.14 +1.25%
Biogen Inc (BIIB) $418.29 +1.18%
Nasdaq 100 - Fallers
Wynn Resorts Ltd. (WYNN) $127.88 -2.17%
Micron Technology Inc. (MU) $26.87 -2.04%
Viacom Inc. Class B (VIAB) $67.28 -1.92%
Fastenal Co. (FAST) $40.35 -1.91%
Garmin Ltd. (GRMN) $45.88 -1.78%
Charter Communications Inc. (CHTR) $189.76 -1.78%
Liberty Interactive Corp (QVCA) $28.76 -1.44%
Cerner Corp. (CERN) $72.45 -1.29%
Ross Stores Inc. (ROST) $102.82 -1.09% |
| | Will you be able to retire in comfort? | | Download the 15-Minute Retirement Plan by Fisher Investments.
Click here to download! |
| | Newspaper Round Up | | Wednesday newspaper round-up: Shell/BG Group, Vivendi/Sky, Google/Twitter Oil major Royal Dutch Shell is reportedly in "advanced talks" to snap up natural gas outfit BG Group for £46bn, according to the Financial Times. "Acquiring BG would give Shell access to significant reserves of oil and gas and spare it the cost of trying to boost its reserve base through exploration, which is becoming increasingly expensive," the paper said. French media group Vivendi is looking at a possible acquisition of pay-TV and broadband group Sky, according to sources cited by The Guardian. Sky could fetch a price tag of as much as £28bn including debt.
Twitter shares jumped on Tuesday on the back of reports that Google is looking at a potential takeover of the social network, writes The Telegraph. Google was identified as one of the two companies believed to have contacted Twitter with "serious" interest.
Samsung has predicted a first-quarter operating profit in excess of 5.9trn won (£3.6bn), well ahead of the consensus forecast of 5.5trn won, reports The Scotsman.
As Greece races to meet Thursday's deadline to pay back a €450m loan to the IMF, Greek prime minister Alexis Tsipras has flown to Moscow to hold talks with Russian president Vladimir Putin, The Guardian writes. Athens officials described the visit as being "politically friendly and economically promising".
"Consumers are expected to increase their spending in the next few weeks following new figures today showing shop prices fell for the 23rd month in a row," the Daily Mail reports. Deflation in the retail industry picked up from 1.7% to 2.1% in March. | | |
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