Morning Spread

Morning Spread

Wednesday 2nd December 2015
IndexLevelChg (%)
UK Market6421.22+0.40
Dow Indust Avg17888.35+0.95
S&P 5002102.63+1.07
Nasdaq Composite5156.31+0.93
Nikkei 22519938.13-0.37
Hang Seng22479.69+0.44
IndexLevelChg (%)
Nymex 1m41.50-0.84
Gold Spot1067.98-0.12
GBP/USD1.5043+0.20
GBP/EUR1.4161-0.27
EUR/USD1.0622+0.06
USD/JPY123.14-0.18

European shares pared early gains this morning, after initially being buoyed by expectations of new economic stimulus measures from the European Central Bank. The ESTX 50 (-0.76%), CAC 40 (-0.87%) and the Dax (-1.06%) all posted losses in early trading, while the UK markets (+0.21%) gained. RWE, which had surged nearly 17% in the previous session on plans to split off parts of its business, rose another +2% this morning as analysts at HSBC and Raymond James upgraded their views on the stock. Zodiac Aerospace fell -3.8% after Exane BNP Paribas downgraded the stock to “neutral” from “outperform”. Wirecard AG rose +4.6% after forecasting 2016 profit will be as much as €300 million. Hennes & Mauritz AB lost -1.2% as Bank of America Corp cut its rating on the shares to “sell” from “buy”.  

 

US stocks advanced as health and consumer shares bounced back while auto sales suggested upbeat growth in November. The Dow Jones Industrial Average (+0.95%), S&P 500 (+1.07%) and the Nasdaq Composite (+0.93%) all increased. Other data showed a sturdy increase in construction spending in October. Offsetting the upbeat economic news though, was a report showing US manufacturing contracted in November for the first time in three years. UnitedHealth Group Inc’s shares rose +3.1% after its chief executive defended the company’s possible withdrawal from Obamacare health insurance exchanges. Anthem was up +4.2%. Strong US car sales in November kept the industry on pace for a record year in 2015. Ford gained +1.6% and General Motors added +0.2%.

 

Asian stocks were mixed as an unexpected contraction in US manufacturing added to speculation that the pace of Federal Reserve rate increases will be gradual. The Nikkei 225 (-0.37%) and the S&P/ASX 200 (-0.15%) both declined, while the Hang Seng (+0.53%) was positive. Euglena Co jumped +8.8% after ANA Holdings Inc said it plans to use biofuel made by the company. Minebea Co sank -6.7% after sating sales of its liquid crystal display backlights shrank in November. China Life Insurance Co, China Vanke Co and China Citic Bank Corp all surged by the 10% daily limit on the prospect of more monetary stimulus.