Morning Spread

Morning Spread

Tuesday 27th May 2014
IndexLevelChg (%)
UK Market6852.54+0.54
Dow Indust Avg16606.27+0.38
S&P 5001900.53+0.42
Nasdaq Composite4185.81+0.76
Nikkei 22514636.52+0.23
Hang Seng22944.30-0.08
IndexLevelChg (%)
Nymex 1m104.26-0.09
Gold Spot1283.39-0.72
GBP/USD1.6851-0.05
GBP/EUR1.2349+0.05
EUR/USD1.36450.00
USD/JPY

European stocks were little changed as investors awaited US data on durable goods order and consumer confidence. The ESTX 50 (-0.10%) and CAC 40 (-0.17%) both declined, while the UK Markets (+0.47%) and the DAX (+0.04%) both posted gains in early trading. Aveva Group Plc jumped +11% after reporting profit that beat analysts’ estimates. InterContinental Hotels Group Plc added +5.6% after a report that it rejected a takeover bid. Accor SA climbed +1.3% after agreeing to buy hotels in Europe. AstraZeneca Plc slipped -2.3% after Pfizer Inc abandoned its effort to buy the company. Lloyds Banking Group Plc rose +0.9% after saying it will sell a 25% stake in its TSB bank in an initial public offering next month.

 

US stocks rose amid better than estimated data that boosted confidence in the strength of the US economy. The Dow Jones Industrial Average (+0.38%), S&P 500 (+0.42%) and the Nasdaq Composite (+0.76%) all advanced. Of the 489 S&P 500 listed companies that have released results this season, 75% have beaten estimates for profit, while 53% have exceeded projections for revenue. Seven out of 10 main S&P 500 industries rose for the week. Technology and consumer-discretionary shares rallied the most, with gains of more than 2%. Retailers climbed 1.8% as a group. Tiffany surged +6.8% and Best Buy increased +6%. Both companies exceeded earnings expectations by more than 25%. TripAdvisor  rallied +15% for the week. Netflix surged +15%, recovering some of its 31% retreat. Google Inc and Facebook Inc surged more than +5.7%. NetApp Inc and Intuit Inc rose at least +5.4% as quarterly earnings beat estimates. D.R.Horton Inc soared +6.2%, Lennar Corp added +5.2% and KB Home increased +4.3% amid better than estimated home sales data.

 

Asian stocks outside Japan slipped for the first time in four days amid light trading. The Nikkei 225 (+0.23%)  was up, while the Hang Seng (-0.08%) and the S&P/ASX 200 (-0.02%) both had modest losses. CSPC Pharmaceutical Group Ltd slumped -6.7% in Hong Kong after a stakeholder agreed to sell the company’s shares at a discount. Inspur International Ltd soared +9.4% in Hong Kong after it was reported that banks may try servers made by the company’s parent as the Chinese government pushes for the removal of those made by International Business Machines Corp.