Morning Euro Markets Bulletin

ADVFN  Morning Euro Markets Bulletin Daily world financial news Friday, 17 February 2017 09:58:21 Monitor Quote Charts News CFD's Compare Brokers Free BB   Are Your Savings Enough to Retire? Ready to retire? If you have a £250,000 portfolio, download "The 15-Minute Retirement Plan" written by Forbes columnist and money manager Ken Fisher's firm. Don't miss it! Click Here to Download Your Guide! Fisher Investments UK London Market Report FTSE 100 Euronext Dax perf CAC 40 Please click on the images to view our interactive charts London open: Stocks flat as investors eye retail sales London stocks were little changed in early trade as investors awaited the release of UK retail sales figures. At 0825 GMT, the FTSE 100 was down 0.1% to 7,270.85. Meanwhile, oil prices were steady, with West Texas Intermediate and Brent crude up 0.2% to $53.44 a barrel and $55.73, respectively. Mike van Dulken at Accendo Markets said: "In focus today - another light one for macro data - will be UK retail sales growth, forecast to have rebounded to positive in January although the annual pace likely continued to slow from October's 10-year peak. This would add to hotter inflation data and slower wages growth earlier in the week, suggestive of a weaker GBP beginning to bite via higher import prices." The retails sales data is due at 0930 GMT. In corporate news, AstraZeneca edged higher after the pharmaceuticals giant reported positive results from its Phase III OLYMPIAD trial of its breast cancer treatment Lynparza (olaparib). Millennium & Copthorne Hotels gained ground after it reported a dip in 2016 pre-tax profit but said group revenue per available room rose 6.6% to £76.71. Segro rallied after its full-year earnings per share and net asset value came in ahead of analysts' expectations. Paper and packaging company Mondi got a boost as JPMorgan Cazenove upgraded its stance on the stock to 'overweight' from 'neutral'. On the downside, manufacturer Morgan Advanced Materials ticked lower after saying it will sell its Europe-based rotary transfer systems business to Moog, a US manufacturer of motion and fluid control systems, for about €40m on a cash and debt free basis. Essentra slid after the plastic and fibre products manufacturer issued a profit warning for 2017. Hansteen nudged lower as it announced it has made an offer for Industrial Multi Property Trust, valuing the group at £25.2m. Satellite communications provider Inmarsat slumped as UBS downgraded the stock to 'sell' from 'neutral'. Ethical Bond Don't miss this opportunity? Earn 9% p.a Fixed Rate Ethical Bond An alternative investment product generating electricity from used cooking oil. Download your free report today! Market Movers FTSE 100 (UKX) 7,270.85 -0.10% FTSE 250 (MCX) 18,748.93 0.23% techMARK (TASX) 3,341.28 0.14% FTSE 100 - Risers Coca-Cola HBC AG (CDI) (CCH) 1,964.00p 2.72% Mondi (MNDI) 1,872.00p 1.74% Next (NXT) 3,902.00p 1.30% Pearson (PSON) 667.00p 1.06% Dixons Carphone (DC.) 305.40p 0.89% AstraZeneca (AZN) 4,562.00p 0.83% Legal & General Group (LGEN) 247.30p 0.69% Schroders (SDR) 3,066.00p 0.69% Standard Life (SL.) 369.90p 0.63% Taylor Wimpey (TW.) 177.90p 0.57% FTSE 100 - Fallers Standard Chartered (STAN) 791.60p -2.05% Barclays (BARC) 234.95p -1.28% Rio Tinto (RIO) 3,604.00p -1.18% Anglo American (AAL) 1,354.50p -1.10% Antofagasta (ANTO) 841.50p -0.82% BHP Billiton (BLT) 1,403.50p -0.74% Rolls-Royce Holdings (RR.) 689.00p -0.65% BT Group (BT.A) 310.60p -0.61% Royal Bank of Scotland Group (RBS) 242.40p -0.45% Royal Dutch Shell 'B' (RDSB) 2,215.50p -0.45% FTSE 250 - Risers CLS Holdings (CLI) 1,670.00p 3.47% SEGRO (SGRO) 499.40p 3.40% Ultra Electronics Holdings (ULE) 1,962.00p 2.99% AO World (AO.) 158.60p 2.39% Bankers Inv Trust (BNKR) 756.00p 1.89% Euromoney Institutional Investor (ERM) 1,107.00p 1.75% P2P Global Investments (P2P) 816.00p 1.68% Daejan Holdings (DJAN) 6,625.00p 1.53% OneSavings Bank (OSB) 383.70p 1.37% TR Property Inv Trust (TRY) 298.90p 1.32% FTSE 250 - Fallers Inmarsat (ISAT) 619.50p -4.77% Essentra (ESNT) 402.20p -4.58% Cobham (COB) 111.30p -2.96% Acacia Mining (ACA) 521.00p -2.07% Kaz Minerals (KAZ) 561.00p -1.75% Nostrum Oil & Gas (NOG) 462.20p -1.64% Vedanta Resources (VED) 1,051.00p -1.59% Rank Group (RNK) 206.60p -0.72% CYBG (CYBG) 276.50p -0.58% UK Event Calendar Friday 17 February INTERIM DIVIDEND PAYMENT DATE Consort Medical, Fletcher King INTERNATIONAL ECONOMIC ANNOUNCEMENTS Current Account (EU) (09:00) FINALS Essentra, Kingspan Group, SEGRO SPECIAL DIVIDEND PAYMENT DATE Halfords Group, Scottish Inv Trust UK ECONOMIC ANNOUNCEMENTS Public Sector Net Borrowing (09:30) Retail Sales (09:30) FINAL DIVIDEND PAYMENT DATE Blackrock Frontiers Investment Trust, Catco Reinsurance Opportunities Fund Ltd (DI), Catco Reinsurance Opportunities Fund Ltd (DI) C shares, Scottish Inv Trust, Shaftesbury, Victrex plc Join City Index for competitive commissions and spreads, including FX from just 0.5 points. We’ve been executing quality trades for over 30 years. Trade shares, indices, commodities and FX across 12,000 markets today from 50p a point with an award-winning Spread Betting service that’s on your side. Losses can exceed deposits. Find out more US Market Report US close: S&P takes a breather after seven-day run Some steam escaped from the S&P 500 and Nasdaq after their seven-day winning spree, though the Dow was lifted by a handful of tech stocks while the dollar fell. The Dow Jones Industrial Average inched back from early losses to rise 7.9 points to extend its record to 20,619.77 at the close, while the S&P 500 dipped 2 points to 2,347.22 and the Nasdaq lost 4.5 points to end at 5,814.9. Meanwhile, oil prices were somewhat mixed, with a choppy West Texas Intermediate up 0.6% to $53.44 per barrel and Brent crude flat at $55.75. In currency markets, the greenback was having a tough time, down 0.2% against the pound at 1.2489, 0.7% versus the euro at 1.0675 and 0.8% weaker against the yen at 113.26. With Thursday's US economic data being mostly positive, the US dollar's was difficult to pinpoint, said analyst Michael Hewson at CMC Markets. However he suggested it stemmed from Federal Reserve Vice Chair Stanley Fischer's comments to Bloomberg in the morning that the FOMC was moving closer to the central bank's target rate for inflation, and as such the time was getting closer to the optimum level for another hike. "While these comments were broadly in line with Janet Yellen's they still don't chime with the prospect of a move in March, and that may well be behind today's US dollar weakness. That may change if [personal consumption expenditure], the Fed's preferred inflation measure hits 2%, it is currently at 1.7%." Looking further into the day's data, the Philadelphia Fed manufacturing index surged to 43.3 from 23.6 in January, remaining in positive territory for seven consecutive months and smashing expectations for a decline to 18.0. Meanwhile, the index for current new orders increased 12 points from January, while the shipments index was up eight points. US housing starts fell 2.6% in January to a seasonally-adjusted annual rate of 1.25m from December's rate, which was revised up to 1.28m from 1.23m. Analysts had expected starts to come in at 1.23m. On the year, housing starts were up 10.5%. On the data front, US initial jobless claims were up 5,000 to 239,00 from the previous week's unrevised level. Analysts had expected claims to jump to 245,000. The four-week moving average came in at 245,250, up 500 from the previous week's average, which was revised up from 244,250. In corporate news, Cisco Systems was 3.24% higher after it reported better-than-expected results late on Wednesday. Coca-Cola was higher as its Greek bottling affiliate CHBC impressed with final results in London. On the downside, media company CBS Corp shaved off 1.27% and food giant Kraft Heinz was 4.29% weaker after beating analysts' expectations. Dean Foods dipped 8.02% after quarterly profit missed expectations and it posted a downbeat outlook for 2017. Wendy's fell 5.72% after the fast food company's fourth quarter sales rose but profit fell. Fourth-quarter earnings for S&P 500 companies were up roughly 7.3%, the strongest growth since the third quarter of 2014, according to Reuters. Snap, holding company for Snapchat, set out that it expected a valuation of up to $22.2bn for when it makes its Wall Street initial public offer. Dow Jones - Risers Cisco Systems Inc. (CSCO) $33.60 2.38% Coca-Cola Co. (KO) $41.20 1.88% Intel Corp. (INTC) $36.41 1.00% 3M Co. (MMM) $183.43 0.94% Boeing Co. (BA) $170.80 0.89% Verizon Communications Inc. (VZ) $48.47 0.79% Johnson & Johnson (JNJ) $118.08 0.75% Travelers Company Inc. (TRV) $121.79 0.67% Walt Disney Co. (DIS) $110.71 0.48% General Electric Co. (GE) $30.45 0.33% Dow Jones - Fallers Chevron Corp. (CVX) $110.67 -1.68% Exxon Mobil Corp. (XOM) $82.30 -1.03% Caterpillar Inc. (CAT) $98.26 -0.77% Nike Inc. (NKE) $56.29 -0.62% Home Depot Inc. (HD) $141.54 -0.46% Goldman Sachs Group Inc. (GS) $249.44 -0.44% Unitedhealth Group Inc. (UNH) $163.65 -0.39% Procter & Gamble Co. (PG) $90.79 -0.36% E.I. du Pont de Nemours and Co. (DD) $77.78 -0.19% Visa Inc. (V) $87.41 -0.15% S&P 500 - Risers Stericycle Inc. (SRCL) $83.35 7.70% NetApp Inc. (NTAP) $40.56 4.19% International Flavors & Fragrances Inc. (IFF) $124.00 4.09% Entergy Corp. (ETR) $72.77 2.83% Duke Energy Corp. (DUK) $78.90 2.76% Cisco Systems Inc. (CSCO) $33.60 2.38% American International Group Inc. (AIG) $62.27 2.33% Laboratory Corporation of America Holdings (LH) $139.13 2.02% NiSource Inc. (NI) $22.67 1.98% Coca-Cola Co. (KO) $41.20 1.88% S&P 500 - Fallers TripAdvisor Inc. (TRIP) $46.92 -10.97% Range Resources Corp. (RRC) $31.24 -5.33% Mondelez International Inc. (MDLZ) $43.20 -4.78% Southwestern Energy Co. (SWN) $8.61 -4.65% Zoetis Inc (ZTS) $52.78 -4.30% Nordstrom Inc. (JWN) $44.18 -4.21% Kraft Heinz Co. (KHC) $87.28 -4.19% Chesapeake Energy Corp. (CHK) $6.08 -3.80% Alcoa Corporation (AA) $36.46 -3.72% Williams Companies Inc. (WMB) $27.99 -3.45% Nasdaq 100 - Risers Liberty Global Plc Lilac Class C (LILAK) $25.50 16.81% Liberty Global Plc Lilac Class A (LILA) $25.89 16.15% NetEase Inc. Ads (NTES) $298.73 14.08% Shire Plc Ads (SHPG) $178.70 2.58% Cisco Systems Inc. (CSCO) $33.60 2.38% Walgreens Boots Alliance, Inc. (WBA) $85.65 1.66% Xilinx Inc. (XLNX) $59.61 1.17% Broadcom Limited (AVGO) $208.18 1.06% Intel Corp. (INTC) $36.41 1.00% Cerner Corp. (CERN) $55.61 0.98% Nasdaq 100 - Fallers TripAdvisor Inc. (TRIP) $46.92 -10.97% Mondelez International Inc. (MDLZ) $43.20 -4.78% Kraft Heinz Co. (KHC) $87.28 -4.19% Tesla Inc (TSLA) $268.95 -3.86% Regeneron Pharmaceuticals Inc. (REGN) $372.91 -2.89% Tractor Supply Company (TSCO) $70.85 -2.58% Liberty Interactive Corporation QVC Group (QVCA) $19.24 -1.96% Vertex Pharmaceuticals Inc. (VRTX) $87.70 -1.87% Nvidia Corp. (NVDA) $107.25 -1.61% Banking Sector Outlook for 2017 In the first of a two-part series, this report covers the sector and its main players ahead of a barrage of full year results releases. We take an in-depth look at how US & UK Banks fared during 2016, reporting dates and forecasts for 2017, and what early US results have shown us. Get your copy of the Banking Sector Outlook for 2017 today! Losses can exceed deposits Newspaper Round Up Friday newspaper round-up: Vauxhall, Donald Trump, Alcohol Business Secretary Greg Clark is travelling to Paris this evening for urgent talks with Peugeot executives and the French government about the future of thousands of Vauxhall employees in Britain. General Motors - the parent company of the Vauxhall and Opel - is in negotiations about a sale of the marques to PSA Groupe, the French owner of Peugeot. - The Daily Telegraph The scandal-hit bank that loaned hundreds of millions of dollars to Donald Trump has conducted a close internal examination of the US president's personal account to gauge whether there are any suspicious connections to Russia, the Guardian has learned. - The Guardian Spending on alcohol and cigarettes has almost halved in 15 years as Britain becomes a more clean-living nation. The amount spent by families on alcoholic drinks, tobacco and recreational drugs fell to its lowest level since modern records began, costing the typical household £11.40 a week last year compared with nearly £20 in 2001-02, according to the Office for National Statistics. - The Times Argos is to stump up more than £3m in back pay and fines after an investigation revealed that thousands of workers at the catalogue retailer had been paid less than the minimum wage. One day after Debenhams was "named and shamed" by the government for underpaying staff, Argos said it had discovered that 37,000 workers had been underpaid over four years. - The Times Nearly three-quarters of small companies in London say business rates are the most important issue they face, piling further pressure on the government over the controversial tax. The Federation of Small Businesses (FSB) warned that London was in "serious danger of losing its vital support system of micro and small businesses". The average micro business, which employs fewer than 10 people, will have to pay £17,000 to cover business rates from April, it added. - The Guardian   To advertise in the Euro Markets Bulletin please contact [email protected]     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

Evening Euro Markets Bulletin

ADVFN III Evening Euro Markets Bulletin Daily world financial news Thursday, 16 February 2017 17:30:43 Monitor Quote Charts News CFD's Compare Brokers Free BB   How to Know When You Can Stop Working If you have a £250,000 portfolio, download the guide by Forbes columnist and money manager Ken Fisher's firm. It's called "The Definitive Guide to Retirement Income." Click Here to Download Your Guide! Fisher Investments UK London Market Report FTSE 100 Euronext Dax perf CAC 40 Please click on the images to view our interactive charts London close: FTSE falls on dollar dip, ex-divs and tendency to gold safety London equities limped to a lower close Thursday, pulled down by a trinity of factors including dollar weakness, a tendency to safe-haven gold and ex-dividend stocks. These combined to see the FTSE 100 down 0.34% to 7,277.92, and the FTSE 250 down -0.65%% to 18,705.72. Both ladders were lower from the get-go, with ample evidence to suggest at least some profiteers were scooping their gains. Falls of more than 1% by the FTSE 350 indices for aerospace & defence, oil & gas producers and automobiles & parts more than offset by gains from food producers and fixed-line telecoms. More broadly, on Wall St the Dow Jones Industrial Average, S&P 500 and Nasdaq Composite were all retreating, as were the Euro Stoxx 50, DAX and CAC 40 in Europe. "At some points investors need to ask themselves how much the 'Trump Trade' is actually worth," said Michael Hewson, chief market analyst at CMC Markets UK. "Is today the day when investors look at the gains seen since the 9th November and make a calculation as to how much is priced in relative to what President Trump can deliver?" It was a factor also being mulled by FXTM vice president of market research Jameel Ahmad. He noted investors were being enticed towards gold up 0.74% to $1242.2 an ounce at 16:16 GMT regardless of US stock markets maintaining their positions around record levels. "Of course dollar weakness helps gold, but I am just wondering if investors are hedging towards the precious metal as a result of questions remaining in the background as to whether this stock-market rally can really continue," Ahmad pondered. Oanda's Craig Erlam said the recent highs seen in equities markets appeared to be the trigger for some profit taking. "There's also been a lot of economic data to take on board over the last couple of days but in the main, this has supported the hawkish argument with CPI inflation exceeding expectations and being above the Fed's inflation target and retail sales also outperforming," he said. Also at 16:16 GMT, West Texas Intermediate was down 0.4% to $52.90 a barrel, while Brent was down 0.65% to $55.39 a barrel. In terms of UK blue chips, AstraZeneca led the fallers as it, BP, Shell and Imperial Brands were among those ex-dividend. Several banks and insurers eased, too, with both residential and commercial property outfits retreating throughout the course of the session. Among these stocks were Standard Chartered, Royal Bank of Scotland, RSA Insurance, Legal & General, British Land and Barratt Developments. There were no major UK data releases due on Thursday. In the US, data showed that US housing starts fell in January, while other numbers revealed manufacturing conditions in the Philadelphia region unexpectedly improved in February. Finally, US initial jobless claims were up a less-than-expected 5000 to 239,00 last week, from the previous week's unrevised level. Analysts had expected claims to jump to 245,000. Ethical Bond Don't miss this opportunity? Earn 9% p.a Fixed Rate Ethical Bond An alternative investment product generating electricity from used cooking oil. 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Market Movers FTSE 100 (UKX) 7,277.92 -0.34% FTSE 250 (MCX) 18,705.72 -0.65% techMARK (TASX) 3,336.52 -0.63% FTSE 100 - Risers Coca-Cola HBC AG (CDI) (CCH) 1,912.00p 4.88% Shire Plc (SHP) 4,763.00p 3.79% Smurfit Kappa Group (SKG) 2,203.00p 2.04% Associated British Foods (ABF) 2,568.00p 1.62% Capita (CPI) 515.00p 1.48% GlaxoSmithKline (GSK) 1,617.00p 1.41% Hikma Pharmaceuticals (HIK) 2,015.00p 1.36% Experian (EXPN) 1,597.00p 1.27% Compass Group (CPG) 1,448.00p 1.12% InterContinental Hotels Group (IHG) 3,875.00p 1.07% FTSE 100 - Fallers AstraZeneca (AZN) 4,524.50p -3.41% Royal Dutch Shell 'A' (RDSA) 2,123.00p -2.19% Royal Dutch Shell 'B' (RDSB) 2,225.50p -2.15% Antofagasta (ANTO) 848.50p -2.02% BP (BP.) 448.40p -2.00% Anglo American (AAL) 1,369.50p -1.83% Rolls-Royce Holdings (RR.) 693.50p -1.56% Hargreaves Lansdown (HL.) 1,362.00p -1.38% Johnson Matthey (JMAT) 3,072.00p -1.35% Convatec Group (CTEC) 233.20p -1.31% FTSE 250 - Risers Lancashire Holdings Limited (LRE) 740.00p 8.74% OneSavings Bank (OSB) 378.50p 3.05% Shawbrook Group (SHAW) 267.50p 2.88% Acacia Mining (ACA) 533.00p 2.60% Aldermore Group (ALD) 233.50p 2.32% Pets at Home Group (PETS) 185.10p 2.04% Hochschild Mining (HOC) 274.30p 1.74% Daejan Holdings (DJAN) 6,565.00p 1.55% Electrocomponents (ECM) 494.90p 1.41% Card Factory (CARD) 253.40p 1.16% FTSE 250 - Fallers Cobham (COB) 114.70p -15.29% IP Group (IPO) 168.60p -7.31% Drax Group (DRX) 359.00p -5.28% SIG (SHI) 107.90p -4.34% CLS Holdings (CLI) 1,617.00p -3.58% PayPoint (PAY) 965.00p -3.50% Brewin Dolphin Holdings (BRW) 305.80p -3.38% Millennium & Copthorne Hotels (MLC) 428.50p -3.14% Kaz Minerals (KAZ) 571.00p -3.06% Join City Index for competitive commissions and spreads, including FX from just 0.5 points. We’ve been executing quality trades for over 30 years. Trade shares, indices, commodities and FX across 12,000 markets today from 50p a point with an award-winning Spread Betting service that’s on your side. Losses can exceed deposits. Find out more US Market Report US open: Stocks largely unchanged as investors mull potential March rate hike US equity markets struggled to find direction on Thursday, unable to maintain yesterday's record highs as investors mulled a potential interest rate hike by the Federal Reserve in March and the dollar weakened. The Dow Jones Industrial Average and the Nasdaq were both flat at 20,605.61 and 5,819.17, respectively and the S&P 500 was down 0.15% to 2,345.73 at 1519 GMT. Meanwhile, oil prices were mixed, with West Texas Intermediate up 0.18% to $53.21 per barrel and Brent crude down 0.05% to $55.72. The main indices gained on Wednesday after Donald Trump said "massive" tax plans would be announced in the "not-too-distant future". In a meeting with retail executives, the US President said his plans would lower rates "substantially" for both individuals and businesses. Jasper Lawler, senior market analyst at London Capital Group, said: "If investors were looking for signals of extreme sentiment, perhaps they needn't look any further than the US president himself. Trump tweeted about the confidence and optimism behind the new high in the stock market on Thursday, perhaps incidentally calling a short-term top in doing so." While Craig Erlam, senior market analyst at Oanda, said rate hike expectations have become much more hawkish over the last couple of days, with expectations of a March hike rising to 31% on Wednesday from around 13%, and chances of a hike in May now above 50%. Lawler added: "Odds of a US rate rise have improved to about 50/50 since Fed Chair Janet Yellen's testimony to congress. Nonetheless, the dollar looks a little top heavy and has rolled over in the past two days. Vice Chair Stanley Fischer was on the wires on Thursday, stating the US economy is headed toward the Fed's 2% target. US rate-setters haven't quite dispelled the idea that they are in wait-and-see mode over Trump's fiscal plans. "So far so 2016; the Fed hikes in December, skips March, market volatility spoils plans to go in June, there are elections in autumn and another year has gone by." In currency markets, the dollar was down 0.26% against the pound to 0.8003, fell 0.57% versus the euro to 0.9380 and was 0.59% weaker against the yen to 113.49. In corporate news, Cisco Systems was 3.24% higher after it reported better-than-expected results late on Wednesday. On the down side, media company CBS Corp shaved off 1.27% and food giant Kraft Heinz was 4.29% weaker after beating analysts' expectations. Dean Foods dipped 8.02% after quarterly profit missed expectations and it posted a downbeat outlook for 2017. Wendy's fell 5.72% after the fast food company's fourth quarter sales rose but profit fell. On the data front, US initial jobless claims were up 5,000 to 239,00 from the previous week's unrevised level. Analysts had expected claims to jump to 245,000. The four-week moving average came in at 245,250, up 500 from the previous week's average, which was revised up from 244,250. US housing starts fell 2.6% in January to a seasonally-adjusted annual rate of 1.25m from December's rate, which was revised up to 1.28m from 1.23m. Analysts had expected starts to come in at 1.23m. On the year, housing starts were up 10.5%. Banking Sector Outlook for 2017 In the first of a two-part series, this report covers the sector and its main players ahead of a barrage of full year results releases. We take an in-depth look at how US & UK Banks fared during 2016, reporting dates and forecasts for 2017, and what early US results have shown us. Get your copy of the Banking Sector Outlook for 2017 today! Losses can exceed deposits Broker Tips Broker tips: Qinetiq, challenger banks Canaccord Genuity downgraded defence technology specialist Qinetiq to 'hold' from 'buy' as it noted the company's solid third-quarter update on Wednesday but said shares were up with events. The brokerage said that following recent strong trading, which saw the shares rise 17% over the last three months, Qinetiq is now valued in line with the sector on an EV/EBITDA basis and at a premium of around 10% on a price-to-earnings valuation. "Given the company's solid track record, order visibility, balance sheet strength, and investment optionality we think a premium rating to peers is deserved. We also think there is further upside potential to our current forecasts with bolt-on M&A, increased capex, and contract extensions - all of which have been demonstrated recently - and view the more positive outlook for Global Products as encouraging." However, Canaccord said another major earnings accretive M&A transaction is less likely in the near term given the likely focus on successfully integrating the Meggitt Target Systems business. The brokerage expressed confidence that QinetiQ will continue delivering margins above the baseline profit rate, but said there is still some uncertainty as to the degree the Single Source Regulations Office will revise margins. Canaccord maintained its 285p price target on the stock. Challenger banks Panmure Gordon initiated coverage on several challenger banks on Thursday, highlighting a preference for specialist lenders as they have avoided direct competition with large UK banks and offer high growth and returns at attractive valuations. The brokerage started Aldermore, OneSavings, Shawbrook and Virgin Money at 'buy' with price targets of 285p, 390p, 355p and 400p, respectively. It initiated coverage of CYBG and Metro Bank at 'sell' with 245p and 2,700p price targets, respectively Shawbrook is the brokerage's top pick as it is the most specialised of the lenders and already operates as a major player in more niche markets, including structured & asset finance and consumer lending focused on home improvement loans. "The bank focuses on lending to SMEs through a bespoke offering and has bucked the trend towards using intermediaries. Instead, around 75% of lending in Asset Finance is originated directly, enabling it to leverage on early investment and monitor underwriting closely." It likes Aldermore for its relatively low risk diverse mix of mortgage and SME lending which serves a significant, structural market need and is supported by a scalable operating platform driven by a strong intermediary distribution channels. The brokerage said the stock offers good value relative to the sector and its peers. As far as OneSavings is concerned, Panmure said it reckons that despite buy-to-let market concerns, changing demographics and a focus on professional landlords will lead to continued strong loan growth. It added that the stock is undervalued. Panmure argued that Virgin Money is more of a true challenger bank given its Northern Rock origin with its business model mirroring the high street banks. "However, already generating double digit returns and a focus on higher margin credit cards, we believe that the market undervalues its return potential due to concerns about higher RWAs but we mitigate this by assuming low dividends and high capital buffers." Panmure said it is not keen on CYBG as it reminds it of the low growth and returns and continual restructuring costs recently seen at large UK banks, or Metro Bank for its exorbitant 2017E P/TBV of 3.9 for no profits.   To advertise in the Euro Markets Bulletin please contact [email protected]     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

Morning Euro Markets Bulletin

ADVFN  Morning Euro Markets Bulletin Daily world financial news Thursday, 16 February 2017 09:36:13 Monitor Quote Charts News CFD's Compare Brokers Free BB   How to Know When You Can Stop Working If you have a £250,000 portfolio, download the guide by Forbes columnist and money manager Ken Fisher's firm. It's called "The Definitive Guide to Retirement Income." Click Here to Download Your Guide! Fisher Investments UK London Market Report FTSE 100 Euronext Dax perf CAC 40 Please click on the images to view our interactive charts London open: Stocks nudge lower as investors mull corporate news London equities nudged lower in early trade as several big income stocks went ex-dividend and investors sifted through corporate news, awaiting fresh catalysts. At 0837 GMT, the FTSE 100 was down 0.1%. Meanwhile, oil prices were fairly steady, with West Texas Intermediate and Brent crude up 0.2% to $53.20 a barrel and $55.88, respectively. Spreadex's Connor Campbell said: "After the UK data drama of the past two days things look a bit duller this Thursday morning, with the markets reversing some of yesterday's movement. "The FTSE fell around 20 points after the bell, taking the index back under the 7300 it has been flirting with for much of the week. A splash of red across the oil and mining sectors has been the main catalyst for the drop, though the pound's early gains haven't helped either. In currencies, sterling rose 0.4% against the dollar, pushing it back towards 1.25, though was only flat against the euro close to the 1.175 mark. "The UK doesn't really have anything new to process this Thursday, so investors will likely to continue to trade in the light of those inflation and wage growth readings from Tuesday and Wednesday respectively," Campbell added. On the corporate front, electricity generation company Drax Group was in the red after it posted its preliminary results for the 2016 calendar year, with core down to £140m from £169m, and underlying earnings less than half what they were in 2015. Aerospace and defence group Cobham tanked after it issued a profit warning for 2016 and said it will be hard to meet expectations for this year. AstraZeneca, BP, Shell and Imperial Brands went ex-dividend. International Consolidated Airlines and easyJet flew higher as peer Air France KLM reported strong results for 2016. Drinks bottler Coca-Cola HBC nudged up as it upped its dividend 10% after a calendar year that saw flat volumes and a dip in sales due to currency but much improved profits thanks to improved costs and efficiencies. Vectura Group edged up after saying hit its royalty cap on sales of GlaxoSmithKline´s Ellipta range of products in 2016, one year ahead of forecasts. The cap was equivalent to £9.0m. Eastern European budget airline Wizz Air was in focus after announcing it will open its first UK airport with base operations at London Luton Airport in June, creating over 30 direct jobs. Electra Private Equity was on the front foot after the buyout fund's portfolio manager Epiris said its portfolio company AXIO Group has sold aviation intelligence group OAG, to funds managed by Vitruvian Partners for around $215m. Electra has received proceeds from AXIO of £104m, an uplift of £28m or 37%. Lancashire Holdings was higher after its final results came in ahead of analysts' expectations, while drug maker Shire gained ground ahead of its full-year numbers later in the day. There are no major UK data releases due, but in the US, housing starts and jobless claims are at 1330 GMT, along with the Philadelphia Fed manufacturing survey. Ethical Bond Don't miss this opportunity? Earn 9% p.a Fixed Rate Ethical Bond An alternative investment product generating electricity from used cooking oil. 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Market Movers FTSE 100 (UKX) 7,293.81 -0.12% FTSE 250 (MCX) 18,817.95 -0.05% techMARK (TASX) 3,330.54 -0.81% FTSE 100 - Risers International Consolidated Airlines Group SA (CDI) (IAG) 517.50p 2.78% easyJet (EZJ) 969.50p 1.57% Shire Plc (SHP) 4,656.50p 1.47% Next (NXT) 3,898.00p 1.33% Dixons Carphone (DC.) 308.50p 1.21% Burberry Group (BRBY) 1,659.00p 1.04% GlaxoSmithKline (GSK) 1,610.50p 1.00% Experian (EXPN) 1,592.00p 0.95% Reckitt Benckiser Group (RB.) 6,955.00p 0.88% ITV (ITV) 211.10p 0.86% FTSE 100 - Fallers AstraZeneca (AZN) 4,558.00p -2.69% Johnson Matthey (JMAT) 3,054.00p -1.93% Anglo American (AAL) 1,370.00p -1.79% Rolls-Royce Holdings (RR.) 693.50p -1.56% Standard Chartered (STAN) 807.00p -1.33% Antofagasta (ANTO) 854.50p -1.33% Royal Dutch Shell 'B' (RDSB) 2,248.00p -1.17% Royal Dutch Shell 'A' (RDSA) 2,145.50p -1.15% Imperial Brands (IMB) 3,661.50p -1.04% BAE Systems (BA.) 602.50p -0.99% FTSE 250 - Risers Lancashire Holdings Limited (LRE) 727.50p 6.91% Aldermore Group (ALD) 236.80p 3.77% Shawbrook Group (SHAW) 269.60p 3.69% Wizz Air Holdings (WIZZ) 1,673.00p 1.70% OneSavings Bank (OSB) 373.50p 1.69% Inmarsat (ISAT) 653.50p 1.55% AO World (AO.) 157.30p 1.55% JPMorgan Indian Investment Trust (JII) 668.00p 1.52% Mitchells & Butlers (MAB) 257.50p 1.38% Hochschild Mining (HOC) 273.30p 1.37% FTSE 250 - Fallers Cobham (COB) 106.00p -21.71% Drax Group (DRX) 364.20p -3.91% Brewin Dolphin Holdings (BRW) 309.90p -2.09% QinetiQ Group (QQ.) 271.60p -1.91% Elementis (ELM) 305.50p -1.39% Senior (SNR) 194.90p -1.32% Vedanta Resources (VED) 1,086.00p -1.27% Meggitt (MGGT) 429.70p -1.22% UK Commercial Property Trust (UKCM) 82.00p -1.15% UK Event Calendar Thursday 16 February INTERIMS Avation INTERIM DIVIDEND PAYMENT DATE OPG Power Ventures INTERIM EX-DIVIDEND DATE Henderson Smaller Companies Inv Trust, Mattioli Woods, Motorpoint Group, Mountview Estates, Puma VCT 10 , Puma Vct 8, Puma VCT 9, PZ Cussons QUARTERLY EX-DIVIDEND DATE BP, M Winkworth, MedicX Fund Ltd., Raven Russia Ltd. Cum Red Pref Shares, Royal Dutch Shell 'A', Royal Dutch Shell 'B' INTERNATIONAL ECONOMIC ANNOUNCEMENTS Building Permits (US) (13:30) Continuing Claims (US) (13:30) Housing Starts (US) (13:30) Initial Jobless Claims (US) (13:30) Wholesale Price Index (GER) (07:00) Q4 Lancashire Holdings Limited, OMV Petrom S.A. GDR (REG S) FINALS Coca-Cola HBC AG (CDI), Drax Group, Lancashire Holdings Limited, Primary Health Properties, Shire Plc, Societatea Nationala De Gaze Naturale Romgaz S.A. GDR (Reg S) SPECIAL EX-DIVIDEND DATE EIH Plc AGMS Watkin Jones, Zytronic, Zytronic FINAL DIVIDEND PAYMENT DATE Baring Emerging Europe, Cardiff Property, easyHotel FINAL EX-DIVIDEND DATE Avon Rubber, Blackrock Income And Growth Investment Trust, Blackrock Throgmorton Trust, Brewin Dolphin Holdings, CC Japan Income & Growth Trust, Henderson Opportunities Trust, Impax Asset Management Group, Imperial Brands , Mobeus Income & Growth 4 Vct, Treatt, Zytronic Join City Index for competitive commissions and spreads, including FX from just 0.5 points. We’ve been executing quality trades for over 30 years. Trade shares, indices, commodities and FX across 12,000 markets today from 50p a point with an award-winning Spread Betting service that’s on your side. Losses can exceed deposits. Find out more Europe Market Report FTSE 100 Euronext Dax perf CAC 40 Europe open: Stocks start day off on a mixed note European stocks began the day on a mixed note despite a seventh straight session of gains overnight on Wall Street. As of 0827 GMT the Stoxx 600 was off by 0.04% or 0.16 points to 371.31, the German Dax was edging higher by 0.05% or 5.31 points at 11,803.23 and France's Cac-40 was lower by 0.07% or 3.54 points to 4,921.32. Wall Street extended its streak of gains to seven days overnight, with the benchmark S&P 500 closing at 2,349 - a fresh record high. "Whatever political problems President Trump maybe having on the staffing front with resignations and the like financial markets remain largely ambivalent, choosing to focus on last week's promise to deliver something 'phenomenal' in a couple of weeks' time, as US markets hit new record highs for the fifth day in a row, driven by banks and financials," said Michael Hewson, chief market analyst at CMC UK. After the close of trading in Europe the previous day, US Boston Federal Reserve president Eric Rosengren told an audience in New York the central bank might need to hike interest rates more than three times over the course of 2017. "It is my view that it will likely be appropriate to raise short-term interest rates at least as quickly as suggested by the Fed's current...median forecast, and possibly even a bit more rapidly than that forecast," Rosengren said. In Thursday's data, French unemployment dropped from 10.1% in the third quarter of 2016 to 10.0% in the fourth quarter, but worse than the consensus forecast of 9.8%, according to INSEE. Elsewhere, car registrations in the European Union jumped 10.2% to reach 1,170,220 units in January, according to ACEA. "Persistently high unemployment remains a key story in the French economy. Worryingly, unemployment also rose over the quarter for the prime working age group, people aged 25-to-49, which are likely to be the most productive workers in the worker. The rise in joblessness was strongest among male workers. The upshot is that unemployment for younger workers fell sharply. Overall, we think the unemployment in France will fall further this year, but it remains stubbornly high," said Claus Vistesen, chief eurozone economist at Pantheon Macroeconomics. Company-wise, airlines and banks were in focus. French carrier Air France-KLM SA saw net profits rocket as a sharp drop in its fuel costs straight through to the bottom line. Full-year 2016 net profit jumped from €118.0m the year before to €792.0m - despite a negative impact from FX. Operating income on the other hand was ahead by 34.5% to €1.05bn. Without currency headwinds operating profits would have been €558.0m higher. IAG and EasyJet were also lifted in its wake. In other news, Unicredit said its adjusted 2016 cost/income ratio was 61.1%, higher than the 58.8% it had mistakenly included in an English-language full-year pre-close statement. Banking Sector Outlook for 2017 In the first of a two-part series, this report covers the sector and its main players ahead of a barrage of full year results releases. We take an in-depth look at how US & UK Banks fared during 2016, reporting dates and forecasts for 2017, and what early US results have shown us. Get your copy of the Banking Sector Outlook for 2017 today! Losses can exceed deposits US Market Report US close: Trump tax pledge sends shares soaring US shares ended higher again on Wednesday as investors reacted positively to President Donald Trump's pledge to take an axe to business and personal taxes along with a set of positive economic data. The S&P 500 made it seven gains in a row with the Down Jones notching a fifth successive positive session. The Nasdaq 100 also closed the day in the black. Shares were boosted immediately after Trump's remarks on his "massive tax plan", made in a meeting with retail executives. "We're going to provide tax relief for families, we're going to simplify very greatly the tax code, it's too complicated. We're going to bring down the number of alternatives. It's going to be a much much simpler tax code," he said. US airline shares soared as billionaire investor Warren Buffett's Berkshire Hathaway increased its investment in the sector. American Airlines, Delta Air Lines, United Continental Holdings and Southwest Airlines were all gainers on the back of the news. Shares in Fortress Investment Group were up 28% after Japan's SoftBank agreed to buy the asset manager for $3.3bn. Procter & Gamble rose on news that activist investor Trian Fund Management revealed a new stake in the consumer-products company worth more than $3bn. On the economic front, U.S. retail sales rose more than expected in January as households bought electronics and a range of other goods, in an indicator of strong domestic demand. Retail sales rose 0.4% in January and December's figures revised upwards to 1% from the previous figure of 0.6%, the Commerce Department said. US consumer prices also sped past forecasts in January, with a key measure of 'core' inflation coming in significantly ahead of market forecasts. Headline consumer prices rose by 0.6% over the month, according to the Bureau of Labor Statistics. Economists had pencilled in a gain of 0.3% on the month. Dow Jones - Risers Procter & Gamble Co. (PG) $91.11 3.70% Pfizer Inc. (PFE) $33.47 2.18% Cisco Systems Inc. (CSCO) $32.74 1.32% JP Morgan Chase & Co. (JPM) $90.60 1.16% Caterpillar Inc. (CAT) $98.95 0.88% International Business Machines Corp. (IBM) $181.64 0.84% Visa Inc. (V) $87.50 0.74% Unitedhealth Group Inc. (UNH) $164.29 0.71% Johnson & Johnson (JNJ) $117.16 0.69% Home Depot Inc. (HD) $142.21 0.60% Dow Jones - Fallers Merck & Co. Inc. (MRK) $65.20 -0.70% Verizon Communications Inc. (VZ) $48.07 -0.41% E.I. du Pont de Nemours and Co. (DD) $77.90 -0.19% Microsoft Corp. (MSFT) $64.49 -0.13% Walt Disney Co. (DIS) $110.21 -0.11% Wal-Mart Stores Inc. (WMT) $68.63 -0.04% Chevron Corp. (CVX) $112.50 -0.02% 3M Co. (MMM) $181.60 -0.00% Coca-Cola Co. (KO) $40.53 0.00% American Express Co. (AXP) $79.52 0.14% S&P 500 - Risers FLIR Systems Inc. (FLIR) $36.97 8.05% Endo International Plc (ENDP) $13.65 7.91% Analog Devices Inc. (ADI) $81.60 4.83% Wyndham Worldwide Corp. (WYN) $85.69 4.76% NRG Energy Inc. (NRG) $17.50 4.23% Mylan Inc. (MYL) $42.44 4.15% Procter & Gamble Co. (PG) $91.12 3.71% Southwest Airlines Co. (LUV) $57.29 3.47% Perrigo Company plc (PRGO) $84.90 3.37% Gilead Sciences Inc. (GILD) $69.81 3.35% S&P 500 - Fallers American International Group Inc. (AIG) $60.90 -9.03% CF Industries Holdings Inc. (CF) $34.47 -5.09% Devon Energy Corp. (DVN) $44.23 -3.52% Diamond Offshore Drilling Inc. (DO) $17.63 -3.37% Freeport-McMoRan Inc (FCX) $15.36 -3.36% Helmerich & Payne Inc. (HP) $68.72 -2.73% Kimco Realty Corp. (KIM) $24.15 -2.07% Martin Marietta Mtrl (MLM) $221.79 -2.04% Chesapeake Energy Corp. (CHK) $6.32 -1.94% Hess Corp. (HES) $51.03 -1.82% Nasdaq 100 - Risers Analog Devices Inc. (ADI) $81.60 4.83% Mylan Inc. (MYL) $42.44 4.15% Gilead Sciences Inc. (GILD) $69.81 3.35% Sirius XM Holdings Inc (SIRI) $4.89 3.06% Celgene Corp. (CELG) $120.48 2.96% Biogen Inc (BIIB) $292.63 2.63% JD.com, Inc. (JD) $30.15 2.45% NetEase Inc. Ads (NTES) $261.85 2.24% Amgen Inc. (AMGN) $171.79 2.23% Electronic Arts Inc. (EA) $87.95 2.20% Nasdaq 100 - Fallers Incyte Corp. (INCY) $120.94 -1.93% Verisk Analytics Inc. (VRSK) $83.77 -1.55% CSX Corp. (CSX) $47.34 -1.38% Dollar Tree Inc (DLTR) $78.74 -1.33% Tractor Supply Company (TSCO) $72.74 -0.90% Illumina Inc. (ILMN) $163.28 -0.72% Liberty Global Plc Lilac Class A (LILA) $22.32 -0.71% Symantec Corp. (SYMC) $28.51 -0.59% Western Digital Corp. (WDC) $76.01 -0.52% Newspaper Round Up Thursday newspaper round-up: Debenhams, Amazon, Tata Steel High street retailer Debenhams has been "named and shamed" as the worst offender in the Government's biggest ever list of companies that have paid their staff below the national minimum and living wage. The department store chain has been found to have failed to pay £134,894.83 to some 11,858 workers in a move that will heighten tensions around retailers and the rising costs of the living wage. - Telegraph Amazon is close to launching its own fashion label in the UK as part of the online giant's efforts to corner the $3 trillion global fashion market. The foray into fashion has been highly anticipated by analysts ever since Amazon launched a photography studio in Shoreditch, east London, in order to lure shoppers away from online retailers Asos, Zalando and Yoox. - Telegraph Tata Steel UK workers have voted in favour of proposals to turn around the struggling business, potentially saving 8,000 jobs but also leading to cuts to their pension benefits. Workers from the Community, Unite, and GMB unions all backed the plan in separate ballots. Approximately three-quarters of votes supported the proposals, which involve saving the Port Talbot steelworks in south Wales. - Guardian Lingerie brand Agent Provocateur could be headed for administration after the appointment of restructuring firm AlixPartners to lead a sale process. Private equity firm 3i has been exploring options for the future of the company - founded by the son of designer Vivienne Westwood, Joe Corré, and his ex wife Serena Rees in 1994 - since late last year. - Guardian Theresa May is facing her first big Brexit industrial crisis after workers' leaders demanded the government save 3,500 British jobs in danger of being lost in PSA Peugeot Citroën's proposed takeover of the European division of General Motors. Union leaders said that the prime minister must offer the French group incentives to keep the Ellesmere Port and Luton plants open, replicating the deal that she made with Nissan behind closed doors that prompted the Japanese car group to increase investment at its Sunderland works. - The Times   To advertise in the Euro Markets Bulletin please contact [email protected]     To unsubscribe from this news bulletin or edit your mailing list settings click here. 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