Morning Spread

Morning Spread

Tuesday 21st July 2015
IndexLevelChg (%)
UK Market6781.63-0.10
Dow Indust Avg18100.41+0.08
S&P 5002128.28+0.08
Nasdaq Composite5218.86+0.17
Nikkei 22520841.97+0.93
Hang Seng25536.43+0.52
IndexLevelChg (%)
Nymex 1m49.77-0.76
Gold Spot1108.10+1.04
GBP/USD1.5577+0.02
GBP/EUR1.4357-0.10
EUR/USD1.0850+0.08
USD/JPY124.33-0.04

European stocks declined this morning as a decline in health care stocks outweighed gains in Norsk Hydro ASA and Faurecia SA. The ESTX 50 (-0.23%), UK markets (-0.10%), CAC 40 (-0.21%) and the Dax (-0.04%) all posted losses in early trading. Novartis AG fell -2.2% after reporting a 7% drop in second quarter earnings. Actelion Ltd slipped -0.8% after reporting lower than forecast first half core earnings. Norsk Hydro advanced +1.7% after second quarter underlying net income beat estimates. Faurecia added +2% after it was reported that the company is exploring a sale of its bumpers business. Zalando SE retreated -5.4% after indicating that second quarter earnings may have declined because of higher costs. Fresnillo Plc rallied +1.8%, rebounding from a three day slump. EasyJet fell -1.74% after Commerzbank AG reiterated its sell recommendation on the stock.

 

US stocks were slightly up as a better than expected start to corporate earnings season boosted investor confidence, but gains were curbed by a drop in commodities. The Dow Jones Industrial Average (+0.08%), S&P 500 (+0.08%) and the Nasdaq Composite (+0.17%) all increased. Gold prices plunged to their lowest in more than five years while copper prices hit their lowest in nearly two weeks. Oil prices fell on signs on a growing glut in refined products to pull the S&P energy index down 1.3%. IBM lost -3.6% in extended trade after reporting its quarterly results. Apple, Yahoo and Microsoft are due later this week. Morgan Stanley touched its highest level in seven years after reporting profit that beat expectations. However, it relinquished gains and closed down -0.4%.

 

Asian stocks rose as a weaker yen buoyed Japanese equities and consumer shares advanced. The Nikkei 225 (+0.93%), Hang Seng (+0.48%) and the S&P/ASX 200 (+0.35%) all increased. Japan Airlines Co added +2.3% and Mitsui O.S.K Lines Ltd climbed +4.4% on the outlook for lower fuel costs. Kikkoman Corp, which gets 41% of sales from North America, rose +1.5%. Toshiba Corp soared +6.1% before announcing after  the market closed that President Hisao Tanaka would resign over an accounting scandal. Giken Ltd fell -8.3% after announcing a public shares sale. Rastar Group and Top Resource Conservationa Engineering Co both surged by the 10% daily limit. PetroChina Co retreated -1.8%.