Morning Spread

Morning Spread

Monday 12th October 2015
IndexLevelChg (%)
UK Market6385.67-0.48
Dow Indust Avg17084.49+0.20
S&P 5002014.89+0.07
Nasdaq Composite4830.47+0.41
Nikkei 22518438.67+1.64
Hang Seng22724.78+1.18
IndexLevelChg (%)
Nymex 1m49.99+0.73
Gold Spot1164.30+0.61
GBP/USD1.5360-0.25
GBP/EUR1.3504+0.12
EUR/USD1.1375+0.15
USD/JPY120.18+0.08

European shares advanced, supported by a surge in German utilities. The ESTX 50 (+0.38%), CAC 40 (+0.22%) and the Dax (+0.78%) all posted gains in early trading, while the UK markets (-0.26%) declined. RWE and E.ON rose +10% and 8% respectively after the German Economy Ministry said on Saturday that the operators of German nuclear power plants had set aside enough funds to pay for decommissioning the country’s reactors. Glencore rose +1% after announcing plans to sell copper mines in Australia and Chile to reduce its debt. Rolls-Royce fell -3.4% after the Financial Times reported that European regulators have started a probe into whether airlines are being forced to enter anti-competitive service contracts with component manufacturers.

 

US stocks closed slightly higher on Friday, ending the S&P 500’s best week for 2015 on a quiet note as investors waited for US companies to report third quarter earnings. The Dow Jones Industrial Average (+0.20%), S&P 500 (+0.07%) and the Nasdaq Composite (+0.41%) all increased. After recent weal performance, financial stocks will be in focus this week as Goldman Sachs Group, Bank of America Corp and other big banks post quarterly results. Information technology was the strongest S&P sector with 0.5% gain. Its biggest driver was Apple Inc with a 2.4% increase, its best day in a month. Alcoa, one of the first S&P components to report earnings, fell -6.8% to $10.26 and was the S&P’s biggest percentage decliner after it reported disappointing results.

 

Asian shares rose, extending an October rally, as investors hunted for bargains in industrials and basic materials, fuelled by a rebound in commodities while the dollar struggled as hopes of a Fed rate rise this year faded. The Nikkei 225 (+1.64%) and Hang Seng (+0.89%) both advanced, while the S&P/ASX 200 (-0.89%) decreased. Japanese investors continued to shift out of retail and inbound tourism-related shares and into cyclicals and commodities. Fast Retailing lost -9.8% after missing its annual profit target, dragging down the retail sector which edged down -0.2%. Yonyou Network Technology Co jumped +7.4% while Yunnan Chihong Zinc & Germanium Co surged by the 10% daily limit.