Morning Spread

Morning Spread

Friday 18th September 2015
IndexLevelChg (%)
UK Market6161.47-0.41
Dow Indust Avg16674.74-0.39
S&P 5001990.20-0.26
Nasdaq Composite4893.95+0.10
Nikkei 22518070.21-1.96
Hang Seng21920.83+0.30
IndexLevelChg (%)
Nymex 1m46.85-0.11
Gold Spot1136.34+0.42
GBP/USD1.5645-0.82
GBP/EUR1.3668-0.45
EUR/USD1.1447+1.26
USD/JPY119.16+1.49

European shares fell this morning as the US Federal Reserve’s downbeat comments on the state of the global economy overshadowed its decision to keep interest rates on hold. The ESTX 50 (-1.62%), UK markets (-0.69%), CAC 40 (-1.54%) and the Dax (-1.85%) all posted losses in early trading. Deutsche Bank AG fell -2.1% as a person with knowledge of the discussions said the bank plans to close its Russian corporate banking and securities business to cut costs and deploy less capital. RWE AG lost -2.4% after saying it won’t sell a stake to an outside investor. HSBC Holdings Plc and Barclays Plc dropped -1.2% or more. BP Plc and Royal Dutch Shell Plc also fell at least -1%. Randgold Resources Ltd and Fresnillo Ltd each rose more than +3%.

 

US stocks ended lower after swinging between gains and losses, as the Federal Reserve’s decision to keep interest rates near zero percent raised questions about the strength of the global economy. The Dow Jones Industrial Average (-0.39%) and the S&P 500 (-0.26%) both decreased, while the Nasdaq Composite (+0.10%) gained. Cablevision Systems Corp soared +14% after Altice NV agreed to but the company in a $17.7 billion deal. Airlines rallied after Barclays said the latest leg lower for oil is a positive ongoing catalyst for the industry. United Continental Holdings Inc jumped +6.2%, American Airlines Group Inc gained +2.2% and Spirit Airlines Inc rose +6.7%. Oracle Corp declined +4% after reporting first quarter revenue that fell short of analysts’ projections. Verizon Communications Inc slid -2.1% after it said 2016 earnings could plateau at 2015.

 

Asian stocks outside Japan rose after the Federal Reserve’s decision not to raise interest rates eased the risk of capital outflows from developing nations. The Nikkei 225 (-1.96%) dropped, while the Hang Seng (+0.30%) and the S&P/ASX 200 (+0.46%) both increased. Hanmi Pharm Co surged +11% in Seoul. Newcrest Mining Ltd jumped +6.9% as bullion headed for its first weekly advance in four weeks. Sumitomo Mitsui Financial Group Inc and Mizuho Financial Group inc fell at least -1.9% in Tokyo after the lender’s credit rating was cut by Standard & Poor’s following its downgrade of Japan.