Morning Spread

Morning Spread

Wednesday 11th November 2015
IndexLevelChg (%)
UK Market6319.52+0.70
Dow Indust Avg17758.21+0.16
S&P 5002081.72+0.15
Nasdaq Composite5083.25-0.24
Nikkei 22519691.39+0.10
Hang Seng22352.17-0.22
IndexLevelChg (%)
Nymex 1m43.79-0.95
Gold Spot1090.08+0.04
GBP/USD1.5146-0.24
GBP/EUR1.4081-0.24
EUR/USD1.0756+0.48
USD/JPY123.06+0.06

European shares rose this morning after several companies reported strong earnings, although political uncertainty continued to weigh on Portuguese stocks. The ESTX 50 (+0.29%), CAC 40 (+0.24%) and the Dax (+0.25%) all posted gains in early trading, while UK markets (-0.06%) were slightly negative. Vodafone rose +2.7% after reporting better than expected acceleration in second quarter revenue growth, helping it nudge its annual expectations towards the top of its guidance. Vallourec fell more than -6% after reporting a third quarter loss against a backdrop of falling demand from is oil and gas customers and said it did not expect market conditions to improve in the short term. Land Securities Group Plc fell -2.1% after reporting lower first half earnings. 

 

US stocks retreated as Wall Street braced for an interest rate hike and fretted about weak Chinese trade data. The Dow Jones Industrial Average (-1.00%), S&P 500 (-0.98%) and the Nasdaq Composite (-1.01%) all declined. US companies face the prospect of higher borrowing costs if the Federal Reserve raises rates next month, as is widely expected after Friday’s strong jobs report. Priceline slumped -9.6% after a weak fourth quarter profit forecast. Walt Disney gained +0.65%, while DuPont added +1% after the chemical and seeds producer said interim Chief Executive Ed Breen would stay on. Dean Foods rose +7.3% after reporting better than expected quarterly profit. After the bell, Lions Gate Entertainment posted second quarter revenue below analysts’ expectations and its stock dropped -12.2%.

 

 

Asian stocks joined a global selloff amid concern that US policy makers will end an unprecedented era of record low borrowing costs next month, and as investors awaited a Chinese inflation report. The Nikkei 225 (+0.15%) increased, while the Hang Seng (-1.43%) and the S&P/ASX 200 (-0.40%) both decreased. Hiroshima Bank Ltd surged +7.8%, leading gains among Japanese Banks, after raising its profit forecast by 25%. Joyo Bank Ltd gained +4.6% as SMBC Nikko upgraded its recommendation on the shares to “outperform” following an increase in first half earnings. Japan Display Inc climbed +7.7% as Mitsubishi UFJ Morgan Stanley analysts said earnings are faring reasonably well despite a sharp deterioration in the market for smaller LCDs, while Nomura Holdings Inc cited progress on management reforms.