Morning Spread

Morning Spread

Monday 2nd November 2015
IndexLevelChg (%)
UK Market6339.88-0.33
Dow Indust Avg17663.54-0.52
S&P 5002079.36-0.48
Nasdaq Composite5053.75-0.40
Nikkei 22518683.24-2.10
Hang Seng22370.04-1.19
IndexLevelChg (%)
Nymex 1m46.06-1.14
Gold Spot1139.17-0.26
GBP/USD1.5453-0.16
GBP/EUR1.4012-0.06
EUR/USD1.1028+0.20
USD/JPY120.63+0.01

European stocks were mixed as investors considered mixed earnings results and disappointing Chinese output data. The ESTX 50 (-0.07%), CAC 40 (-0.06%) and UK markets (-0.29%) all posted losses in early trading, while the Dax (+0.22%) increased. HSBC Holdings Plc fell -1.3% as RBC Capital said that banks decline in income will lead analysts to downgrade their estimates. Ryanair Holdings Plc dropped -0.7% after warning of a tough winter as rivals add capacity and competition intensifies. Commerzbank AG rose +4.8% after saying quarterly earnings increased by 25%, while Chief Executive Officer Martin Blessing prepares to leave the company.

 

US stocks declined after a mixed bag of earnings reports. The Dow Jones Industrial Average (-0.52%), S&P 500 (-0.48%) and the Nasdaq Composite (-0.40%) all retreated. CVS Health fell -4.8% after a disappointing profit forecast for 2016. AbbVie jumped +10.1%, the biggest positive driver for the S&P 500, after better than expected profit and a strong long term outlook. Valeant Pharmaceuticals dropped -15.9% to $93.77, its lowest since July 2013, after cutting all ties with speciality pharmacy Philidor. LinkedIn jumped +11% and Expedia gained +7.3% after results beat estimates.

 

Asian stocks dropped as industrial companies declined following data signalling a contraction in Chinese manufacturing. The Hang Seng (-1.19%), Nikkei 225 (-2.10%) and the S&P/ASX 200 (-1.41%) were all negative. Kobe Steel Ltd tumbled -6.5% in Tokyo after its net income forecast. China Mengniu Dairy Co slid -8.5% in Hong Kong after JPMorgan Chase & Co cut its investment rating on the stock. Westpac Banking Corp lost -2.5% in Sydney after reporting its slowest profit growth since 2009.