Morning Spread

Morning Spread

Friday 24th July 2015
IndexLevelChg (%)
UK Market6680.00+0.38
Dow Indust Avg17731.92-0.67
S&P 5002102.15-0.57
Nasdaq Composite5146.41-0.49
Nikkei 22520544.53-0.67
Hang Seng25128.51-1.06
IndexLevelChg (%)
Nymex 1m48.64+0.39
Gold Spot1084.62-0.55
GBP/USD1.5490+0.15
GBP/EUR1.4162+0.35
EUR/USD1.0937-0.50
USD/JPY123.99-0.16

European stocks were little changed as commodity stocks extended declines, while several companies rose on results. The ESTX 50 (-0.12%), UK markets (-0.01%), CAC 40 (+0.02%) and the Dax (-0.11%) all posted small changes in early trading. Antofagasta Plc and BHP Billiton Ltd dropped more than -1% after preliminary July data showed Chinese manufacturing unexpectedly weakened, dragging gold and copper to multi-year lows. Vodafone Group plc climbed +2.2% after service revenue increased more than projected . Air France-KLM rose +2.2% after announcing cost cuts and reporting a smaller than forecast decline in operating profit. Anglo American Plc advanced +1.2% after unexpectedly maintaining its interim dividend. Aggreko Plc tumbled -16% after saying it expects full year profit to fall short of estimates. Lonmin Plc slid -7.4% after saying it may cut as many as 6,000 jobs.

 

US stocks fell after disappointing corporate results and forecasts added to concerns about the US profit outlook. The Dow Jones Industrial Average (-0.67%), S&P 500 (-0.57%) and the Nasdaq Composite (-0.49%) all decreased. Union Pacific was down -5.7% after posting a lower quarterly profit, leading a decline in transportation shares and was among the S&P 500’s biggest drags. Caterpillar shares fell -3.6% after reporting sales declines in key markets in a sluggish global economy. American Express was down -2.5% after its revenue missed expectations. 3M dropped -3.8% after cutting its full year forecast. After the bell, Amazon jumped +18% following positive results. Visa advanced +7% following results.

 

Asian stocks fell as the commodities rout deepened with oil entering a bear market. The Nikkei 225 (-0.67%), Hang Seng (-1.12%) and the S&P/ASX 200 (-0.43%) all retreated. A preliminary private survey showed that China’s factory sector contracted by the most in 15 months in July as shrinking orders depressed output. China Life Insurance Co, the nation’s biggest insurer, lost -3.3% in Hong Kong. BYD Co, the car manufacturer partially owned by Warren Buffett’s Berkshire Hathaway Inc, retreated -3.2%. Shin-Etsu Chemical Co Ltd rose +4.2%, Casio Computer Co Ltd added +2.78% and Sumitomo Chemical added +2.47%. Asahi Glass Co fell -3.8%, Maruha Nichiro Corp declined -3.53% and Unitika Ltd dropped -3.33%.