Morning Spread

Morning Spread

Tuesday 9th June 2015
IndexLevelChg (%)
UK Market6786.09-0.06
Dow Indust Avg17766.55-0.46
S&P 5002079.28-0.65
Nasdaq Composite5021.627-0.92
Nikkei 22520096.30-1.76
Hang Seng27061.54-0.93
IndexLevelChg (%)
Nymex 1m58.43+0.50
Gold Spot1175.92+0.16
GBP/USD1.5278-0.19
GBP/EUR1.3552+0.55
EUR/USD1.1275+0.37
USD/JPY124.57+0.40

US  equities were down once again in Monday trading, with investors mulling interest rate rises and the ongoing saga in Greece. Interestingly the VIX measure of volatility rose to a two month high and the Dow Jones is now negative for the calendar year to date. The semiconductor sector was poor, with capacity issues cited, Avago lost 2.5%, Broadcom lost 2% and Intel declined 1.7%. Airlines were also negative with JetBlue down 7.2%, American Airlines lost 4.5% and Delta fell 4.3%. Other fallers included Dow Chemical down 1.3%, Texas Instruments was down 1.8% and Alcoa fell 1.4%.

Asia markets declined across the board overnight with Japan down for the third straight session, negatively impacted by the stronger Yen. Amongst the biggest fallers, Nissan lost 3.2%, Dai-ichi Life dropped 4.5% and Bridgestone declined 2.6%. Chinese stocks also came off their recent highs, with Financials and Industrials leading the fall. Industrial Bank fell 3%, Haitong Securities fell 4.4% and China Railway dropped 7.6%. In Australia, the broadcaster, Nine, fell by 16% to a record low on a major profit warning and a bearish free to air TV outlook.

Europe is trying to rally today after several weak days, with attention in the UK focussed on the HSBC investor update. The bank has announced that 25,000 global jobs will be lost with the aim to achieve annual cost savings of $4-5 bn. The shares are currently down 0.36%, whereas Barclays is up 0.88% and Lloyds Banking is up 0.76%. Miners are generally weak with Rio Tinto down 1.7%, Anglo American down 1.9% and Antofagasta is down 0.5%. In Germany, the threat of a postal strike will impact on Deutsche Post and the shares are down 0.9%. Technology is also weak with Infineon down 1.8%, SAP down 1.1% and Dialog Semiconductor down 2.1%.