Morning Spread

Morning Spread

Friday 6th May 2016
IndexLevelChg (%)
UK Market6094.37-0.37
Dow Indust Avg17660.71+0.05
S&P 5002050.63-0.02
Nasdaq Composite4717.09-0.18
Nikkei 22516106.72-0.25
Hang Seng20109.87-1.66
IndexLevelChg (%)
Nymex 1m44.14-0.41
Gold Spot1278.39+0.05
GBP/USD1.4496-0.06
GBP/EUR1.2699+0.03
EUR/USD106.96+0.30
USD/JPY21.77-0.86

European stocks fell in early trading as investors await the US April payrolls report for more clues about the interest rate outlook in the world’s largest economy. The ESTX 50 (-0.60%), CAC 40 (-0.66%), Dax (-0.55%) and the UK markets (-0.50%) all posted losses this morning. ArcelorMittal fell -2% after its first quarter core profit fell by about a third, while Man Group fell -6.9% after being downgraded to “sell” by Citi. Monte dei Paschi rose +5% after first quarter net profit beat forecasts due to lower loan loss charges, an increase in commissions and falling costs.  Tullow Oil Plc and Royal Dutch Shell Plc each lost more than -1.9%. Gamesa Corp Tecnologica SA added +2.8% after reporting better than expected net income.

 

US stocks were mixed as oil failed to hold much of its intraday gains and investors awaited the key employment report due Friday. The Dow Jones Industrial Average (+0.05%) was slightly positive, while the S&P 500 (-0.02%) and the Nasdaq Composite (-0.18%) were slightly negative. US crude oil futures settled +1.2% up, as initial gains were supported by concerns of a near term supply shortage due to a huge wildfire near Canada’s oil sands and escalating tensions in Libya. Tesla fell -5% after analysts’ expressed doubts about the company’s ability to deliver vehicles ahead of schedule. Kraft Heinz jumped +3.7% after its quarterly profit smashed analysts’ estimates. After the bell, Yelp rose +8.5% and Tableau Software was down -13.7% after releasing their results.

 

Asian shares declined as investors awaited the US April payroll report after jobless claims data raised doubts over the employment picture. The Hang Seng (-1.66%) and Nikkei (-0.25%) both declined, while the S&P/ASX 200 (+0.25%) increased. The number of Americans filing for unemployment benefits rose more than expected last week, posting the biggest gain in more than a year, although its four week average, often seen as a better gauge of the underlying trend, still stood near a four decade low. Sharp Corp sank -8.5% after the Nikkei newspaper reported the company will post a net loss of 300 billion yen. Takata Corp tumbled -8.6% after the US widened recalls of the company’s faulty airbags. Nissan Motor Co and Honda Motor Co both gained at least +2.3%.