Morning Spread

Morning Spread

Thursday 25th August 2016
IndexLevelChg (%)
UK Market6782.49-0.78
Dow Indust Avg18481.48-0.35
S&P 5002175.44-0.52
Nasdaq Composite5217.70-0.81
Nikkei 22516555.95-0.25
Hang Seng22826.87+0.03
IndexLevelChg (%)
Nymex 1m46.84+0.15
Gold Spot1326.82+0.20
GBP/USD1.3227+0.07
GBP/EUR1.1717-0.25
EUR/USD1.1288+0.17
USD/JPY100.32+0.14

European shares fell this morning as investors assessed recent gains ahead of Janet Yellen’s address in Jackson Hole this Friday. The ESTX 50 (-1.00%), CAC 40 (-1.08%), Dax (-1.11%) and the UK markets (-0.76%) all posted losses in early trading. Playtech Plc rose +3.6% after reporting an increase in first half revenue and announced a special dividend. Jimmy Choo Plc jumped +6.2% after posting higher first half revenue and earnings and said it remains optimistic on this year’s prospects. Seadrill Ltd climbed +2% after reporting better than forecast second quarter profit as it cut costs. CRH Plc rose +3.7% after posting higher than expected first half sales and profit.

US stocks retreated, dragged lower by weakness in materials and healthcare sectors as investors continued to consider the possibility of an interest rate hike in the coming months. The Dow Jones Industrial Average (-0.35%), S&P 500 (-0.52%) and the Nasdaq Composite (-0.81%) all decreased.  Mylan dropped -5.4% as political pressure mounted on the company in the wake of price increases for its EpiPen allergy treatment. Newmont Mining and Freeport-McMoRan both dropped more than -7% after gold fell to a one month low on a firmer dollar. Express Inc plunged -25.5% after slashing its full year earnings outlook.

Asian stocks fell as commodity shares slumped with oil ahead of a speech tomorrow from Federal Reserve Chair Janet Yellen that may provide further clues to the path of US interest rates. The S&P/ASX 200 (-0.36%) and the Nikkei 225 (-0.25%) both retreated, while the Hang Seng (+0.03%) was slightly up. Recruit Holdings slid -5.1% after it major shareholders including Dentsu Inc said they would sell 6.1 million shares. Recruit also agreed to buyback as many as 8.5 million of its own shares. Toho Zinc Co and Sumitomo Metal Mining Co lost -4.3% and -4.9% respectively, as non-ferrous metal shares slumped. Japan Airlines Co added +2.2% after crude prices fell.