Morning Spread

Morning Spread

Thursday 16th June 2016
IndexLevelChg (%)
UK Market5925.08-0.70
Dow Indust Avg17640.17-0.20
S&P 5002071.50-0.18
Nasdaq Composite4834.93-0.18
Nikkei 22515434.14-3.05
Hang Seng20038.42-2.10
IndexLevelChg (%)
Nymex 1m47.32-1.44
Gold Spot1307.90+1.25
GBP/USD1.4173-0.04
GBP/EUR1.2580-0.22
EUR/USD1.1267+0.26
USD/JPY104.15+1.72

European stocks fell this morning as an oil decline deepened and concerns over monetary policy grew as central banks in Japan and the US kept their policies unchanged. The ESTX 50 (-0.89%), CAC 40 (-0.79%), Dax (-0.72%) and the UK markets (-0.59%) all posted losses in early trading. UBS Group AG fell -1.4% and Credit Suisse Group AG dropped -2.3% after the Swiss National Bank said the banks need to take further measures to meet Switzerland’s new capital requirements. Volkswagen AG lost -1.2% as its European market share contracted the most since December and it is at a five year low. Randgold Resources Ltd advanced +3.8% as gold climbed to its highest price in nearly 2 years.

US stocks fell after the Federal Reserve left interest rates unchanged and investors considered the impending vote in the UK on whether to leave the European Union. The Dow Jones Industrial Average (-0.20%), S&P 500 (-0.18%) and the Nasdaq Composite (-0.18%) all retreated. US stock indexes spent most of the day with gains but abruptly fell late in the session, bringing the S&P 500’s loss in the past week to 2.2%, in large part because of fears that a fractured EU could critically damage an already feeble global economy. Intel fell -1.65% and provided the biggest drag on the S&P 500.

Asian stocks fell as Japanese shares tumbled after the Bank of Japan disappointed investors by refraining from expanding monetary stimulus. The S&P/ASX 200 (-0.02%) was flat, while the Hang Seng (-2.10%) and the Nikkei 225 (3.05%) both dropped. Japanese exporters led losses across the region with Toyota Motor Corp and Yokohama Rubber Co sinking at least -3.3% on concern the stronger yen will crimp earnings from overseas. CIMB Group Holdings Bhd fell -2.5% in Kuala Lumpur after the CEO said the banks goal of 15% return on equity by the end of 2018 looks very challenging to meet.