Morning Spread

Morning Spread

Friday 21st August 2015
IndexLevelChg (%)
UK Market6322.64-0.42
Dow Indust Avg16990.69-2.06
S&P 5002035.73-2.11
Nasdaq Composite4877.49-2.82
Nikkei 22519435.83-2.98
Hang Seng22409.62-1.53
IndexLevelChg (%)
Nymex 1m41.07-0.61
Gold Spot1151.80-0.03
GBP/USD1.5706-0.17
GBP/EUR1.3952-0.40
EUR/USD1.1258+0.57
USD/JPY122.95+0.41

European stocks retreated this morning following US and Asian equities lower amid concerns over global growth after a measure of Chinese manufacturing tumbled to a six year low. The ESTX 50 (-0.35%), UK markets (-0.42%), CAC 40 (-0.51%) and the Dax (-0.32%) all posted losses in early trading. Technology stocks sensitive to China were among the worst performers. Dialog Semiconductor Plc and ARM Holdings Plc led the drop, falling at least -2.7%. Novartis AG fell -1.3% after agreeing to buy the rights to an experimental drug from GlaxoSmithKline Plc for as much as $1 billion. Royal Vopak NV plunged a record -15% after posting second quarter earnings that missed forecasts.

 

US stocks tumbled on Thursday on concern a decelerating Chinese economy will translate into slower global growth. The Dow Jones Industrial Average (-2.06%), S&P 500 (-2.11%) and the Nasdaq Composite (-2.82%) all dropped. Disney slumped -6% and Time Warner fell -5%, leading a rout in media stocks after a Bernstein downgrade that cited a massive structural upheaval in the industry. Disney shares have fallen -17.8% since the company reported earnings earlier this month. Apple fell -2.1% after a Gartner report said China smartphone sales fell in the second quarter for the first time ever on a quarterly basis. Apple counts China as key growth market. NetApp gained +3.4% after reporting results that beat expectations.

 

Asian stocks dropped as a rout in global equities deepened and the weakest Chinese manufacturing data since the financial crisis added to concerns about the world economy. The Nikkei 225 (-2.98%), Hang Seng (-1.53%) and the S&P/ASX 200 (-1.40%) all retreated. Cheung Kong Property Holdings Ltd tumbled -3.6%. Tencent Holdings Ltd fell -3.4% and China Construction Bank Corp slid -2.2%, giving the most impetus to the Hang Seng’s decline. The financial sector led the decline in Japan, with Mitsubishi UFJ FG dropping -4.1%. Shares in Japanese exporters were also hard it as the yen strengthened against the dollar, with Bridgestone losing -3.2% and Toyota shares falling -3%.