Morning Spread

Morning Spread

Wednesday 3rd June 2015
IndexLevelChg (%)
UK Market6928.83+0.02
Dow Indust Avg18011.94-0.16
S&P 5002109.60-0.10
Nasdaq Composite5076.52-0.13
Nikkei 22520473.51-0.34
Hang Seng27657.47+0.69
IndexLevelChg (%)
Nymex 1m60.53-1.19
Gold Spot1188.54-0.37
GBP/USD1.5271+0.57
GBP/EUR1.3735-0.06
EUR/USD1.1119-0.50
USD/JPY124.33-0.24

European shares advanced this morning as investors focused on Greece’s debt talks and a policy meeting of the ECB later today. The ESTX 50 (+0.38%), UK markets (+0.02%), CAC 40 (+0.30%) and the Dax (+0.62%) all posted gains in early trading. Shares in Ahold and Delhaize rose +2.6% and +5.1% respectively. The two companies are in talks to create a top 20 global retailer with a major presence in the US. A deal would see a combined retailer worth around €23 billion. Syngenta AG climbed +1.6% after it was reported that it is working with Monsanto Co to iron out regulatory concerns that could stymie the US company’s proposed takeover of its Swiss rival. Credit Suisse Group AG advanced +2.2% after RBC Capital Markets upgraded its rating on the bank to “buy”, citing the possibility of strategic changes when Tidjane Thiam takes over as CEO next month. Altice SA slid -2.7% as rivals Telefonica SA and Bouygues SA joined forces to offer telecommunication services to multinational companies.

 

US stocks declined as a jump in bond yields hit utilities and other dividend payers, but energy gains and optimism Greece is near a deal with creditors limited losses. The Dow Jones Industrial Average (-0.16%), S&P 500 (-0.10%) and the Nasdaq Composite (-0.13%) all retreated. Worries about when the Federal Reserve will raise interest rates added to caution in the market. A fed board member said the economy’s recent poor performance may be more than transitory, as the full impact of weak consumer spending, low investment and the strong dollar become apparent. Macy’s rose +2.5% after Reuters reported several hedge funds have asked the US company to consider options for its real estate, including selling some major sites and then leasing them back. General Motors was up +0.1% after it forecast US industry sales to finish May at the strongest pace since January 2006. US steel was up +7.9% as shares of steel companies gained.

 

Most Asian stocks fell as Japanese shares declined on a stronger yen and investors awaited the outcome of talks between Greece and its creditors. The Nikkei 225 (-0.34%) and the S&P/ASX 200 (-0.93%) both dropped, while the Hang Seng (+0.64%) increased. Nitto Denko Corp, which gets more than 70% of sales abroad, dropped -2%. Lida Group Holdings Co slumped -7.1% after it was reported that the construction firm was preparing to issue convertible debt. Nisshin Seifun Group Inc jumped +6.2% after Nomura Holdings Inc upgraded its rating on the manufacturer. China Construction Bank Corp dropped -1.4% and Shanghai Pudong Development Bank Co declined -1% after the Chinese government said it will allow them to issue certificates of deposits, raising concern the cost of attracting deposits will increase.