Morning Spread

Morning Spread

Wednesday 17th February 2016
IndexLevelChg (%)
UK Market5936.49+1.27
Dow Indust Avg16196.41+1.39
S&P 5001895.58+1.65
Nasdaq Composite4435.96+2.27
Nikkei 22515836.36-1.36
Hang Seng18924.57-1.03
IndexLevelChg (%)
Nymex 1m29.28+0.83
Gold Spot1202.07+0.14
GBP/USD1.4291+0.08
GBP/EUR1.2835-0.07
EUR/USD1.1135-0.02
USD/JPY114.07-0.15

European stocks climbed as miners and car manufacturers rallied, and investors assessed better than estimated earnings from several companies. The ESTX 50 (+1.03%), UK markets (+1.05%), CAC 40 (+1.15%) and the Dax (+0.97%) all posted gains in early trading. Credit Agricole gained +7.8% after also saying it will sell back stakes in regional banks to shore up capital. Schneider Electric jumped +8.2% after saying it will buy back €1.5 billion in shares. Glencore Plc climbed +6.2% after saying it signed new loan commitments. RWE AG tumbled -8.8% after suspending its dividend for holders of ordinary shares. ABN Amro Group NV lost -2.4% after its quarterly profit missed analysts’ projections as regulatory costs rose.

US stocks advanced as investors bought beaten down consumer discretionary, industrial and tech shares. The Dow Jones Industrial Average (+1.39%), S&P 500 (+1.65%) and the Nasdaq Composite (+2.27%) all increased. Morgan Stanley climbed +1.9% and Goldman Sachs Group Inc added +1.6% after JPMorgan Chase & Co raised its rating on the two banks to “overweight”. Pfizer Inc gained +0.9%, shaking off claims that the company’s Wyeth unit agreed to pay $784.6 million to settle claims over Medicaid rebates, prompting the company to revise its fourth quarter results downward. Hormel Foods Corp surged +6.7% after the company boosted its guidance and posted a rise in profit.

Asian shares dropped after two sessions of good gains, while oil prices gained as the market reconsidered the chances of a meaningful deal to restrict supply later in the year. The Nikkei 225 (-1.36%), Hang Seng (-1.03%) and the S&P/ASX 200 (-0.57%) all decreased. A measure of mining companies and oil and coal producers fell the most in Japan. Inpex Corp and Japan Petroleum Exploration Co tumbled at least -5.5%, while Nittetsu Mining Co lost -1.7%. SoftBank Group Corp surged +5.8% in Tokyo, extending yesterday’s 16% gain, after saying it will spend $4.4 billion buying back its shares. Woodside Petroleum Ltd fell -6.9% in Sydney after saying full year profit declined 99% after the company wrote down the value of its assets.