Morning Spread

Morning Spread

Monday 9th December 2013
IndexLevelChg (%)
UK Market6551.27-0.01
Dow Indust Avg16020.20+1.26
S&P 5001805.09+1.12
Nasdaq Composite4062.52+0.73
Nikkei 22515650.21+2.29
Hang Seng23811.17+0.29
IndexLevelChg (%)
Nymex 1m97.91+0.27
Gold Spot1230.80+0.14
GBP/USD1.6368+0.17
GBP/EUR1.1934-0.01
EUR/USD1.37160
USD/JPY103.12+0.25

US equities were in positive territory on Friday after a very strong jobs report, it would appear that investors are now more comfortable with any potential taper. The improvement in the level of employment combined with faster wage gains and more hours worked is very positive for the US economy. Financials were unsurprisingly positive with Invesco up 3.11%, Wells Fargo was up 1.99% and Ameriprise gained 2.59%. Intel climbed 2.3% after Citigroup raised the stock to Buy, on the back of more positive consumer electronics. Other gainers included General Motors up nearly 3%, Campbell Soup rallied nearly 6% and Procter & Gamble rose 2.21%.

In Asia there was a boost for Japan as the Yen fell further, as a result of the US jobs report. Exporters such as Mazda were positive up nearly 3%, Casio Computer was up just over 6% and Hitachi was up nearly 3%. In Australia there was an awful profit warning from QBE Insurance which saw 22% wiped from the market capitalisation. The company announced a surprise loss on unexpected writedowns at the US operations. Political focus was in Thailand where the Prime Minister announced plans to dissolve parliament and hold fresh elections. Hong Kong was positive after some good news on Chinese exports, for instance, China Merchants Holdings, the large port operator rose 5.5%.

Europe is relatively quiet in early trade with most focus on HSBC, which is the subject of rumours that it will IPO the UK operations, in a move that would help meet the company meet the new regulations. The stock is up 0.58%, with RBS up 0.89% and Lloyds Banking is 0.36% higher. Others stocks that are up include Nokia which is up 2.45%, Alstom is up 1.91% and Italcementi is up nearly 2.5%. Weak stocks include Anheuser Inbev down 1.5%, Danone down 2.02% and Carrefour is 1.15% lower. Miners are also weaker with Rio Tinto down 0.85%, Glencore is 0.93% weaker and BHP Billiton is down 0.60%.