Morning Spread

Morning Spread

Monday 19th January 2015
IndexLevelChg (%)
UK Market6562.95+0.19
Dow Indust Avg17511.57+1.10
S&P 5002019.42+1.34
Nasdaq Composite4634.38+1.39
Nikkei 22517014.29+0.89
Hang Seng23738.49-1.51
IndexLevelChg (%)
Nymex 1m48.04-1.33
Gold Spot1276.10-0.34
GBP/USD1.5167-0.11
GBP/EUR1.3058-0.28
EUR/USD1.1615+0.41
USD/JPY117.27+0.20

European stocks advanced, lifted by growing expectations that the European Central Bank is about to embark on a bond buying programme to support the euro zone economy. The ESTX 50 (+0.40%), UK markets (+0.31%), CAC 40 (+0.19%) and the Dax (+0.61%) all posted gains in early trading. Schindler Holdings AG added +3.9% after raising its profit estimate for 2014 to about 900 million francs from as much as 865 million francs previously. Telefonica SA rose +1.6% after it was reported that Hutchinson Whampoa is exploring a purchase of the company’s wireless O2 unit in the UK. Julius Baer gained +2.7% after saying it did not suffer any losses following the Swiss National Bank’s decision to abandon a three year old cap on the franc. Tesco Plc climbed +2% as Morgan Stanley upgraded its rating on the stock. Balfour Beatty Plc rose +1.5% after winning a £1.5 billion contract for public works.

 

US stocks rallied as gains in energy shares and a jump in consumer confidence overshadowed fallout from the Swiss currency shock. The Dow Jones Industrial Average (+1.10%), S&P 500 (+1.34%) and the Nasdaq Composite (+1.39%) all advanced. Exxon jumped +2.4%, Chevron added +2.4%, Newfield Exploration Co soared +10% and Cimarex Energy Co surged +7.7% after crude jumped +5.3% as the International Energy Agency lowered forecasts for supplies from outside OPEC and said prices could recover. Goldman Sachs dropped -0.7% after reporting fourth quarter net income was 7.1% lower than a year earlier. Home Depot Inc rose +3.1% after saying its CEO will add chairman role to his duties next month when Frank Blake retires on February 2nd.

 

Asian stocks rose after US confidence jumped to an 11 year high. However Chinese equities slumped after three of the nation’s biggest brokerages were stopped from adding margin trading accounts. The Nikkei 225 (+0.89%) and the S&P/ASX 200 (+0.19%) both increased, while the Hang Seng (-1.51%) dropped. BHP Billiton Ltd advanced +2.4% in Sydney. Energy explorer Inpex Corp climbed +2.4% in Tokyo after oil prices rebounded at the end of last week. Haitong Securities Co and Citic Securities Co both dropped by the 10% daily limit in Shanghai as financial shares led a broad retreat. Macquarie Group Ltd jumped +5.3% in Sydney after saying full year profit could grow as much as 20% due to weaker currency and improved trading conditions.