Morning Spread

Morning Spread

Tuesday 7th January 2014
IndexLevelChg (%)
UK Market6753.08+0.33
Dow Indust Avg16425.10-0.27
S&P 5001826.77-0.25
Nasdaq Composite4113.68-0.44
Nikkei 22515814.37-0.59
Hang Seng22712.78+0.13
IndexLevelChg (%)
Nymex 1m93.75+0.34
Gold Spot1239.27+0.10
GBP/USD1.6398+0.09
GBP/EUR1.2036+0.03
EUR/USD1.3625-0.10
USD/JPY

European stocks were little changed ahead of data that may show German unemployment fell for the first time in five months and as investors weighed China’s tighter rules to control its shadow banking industry. The ESTX 50 (-0.01%), UK Markets(-0.01%), CAC 40 (-0.15%) and the DAX (-0.01%) were all flat in early trading. Swedish Match AB dropped -6.5% after Citigroup Inc advised investors to sell the shares. Hugo Boss slid -2.4% after Societe Generale downgraded the shares to “hold” from “buy”. BASF SE rose +2.9% after UBS AG recommended buying the stock. Deutsche Boerse AG dropped -1.4% for the biggest decline in the DAX. Commerzbank AG and Deutsche Bank climbed more than +1.3% each. The Ashtead Group Plc (+1.08%), ITV Plc (+0.71%) and Barclays Plc (+0.58%) were the biggest gainers in the UK this morning, while Fresnillo Plc (-1.97%), Rio Tinto Plc (-1.07%) and the Royal Mail Plc (-0.87%) were the biggest drags.

 

US stocks fell after slower than forecast growth in service industries. The Dow Jones Industrial Average (-0.27%), S&P 500 (-0.25%) and the NASDAQ Composite (-0.44%) all declined. Twitter Inc fell -3.9% after Morgan Stanley said investors should sell the shares because it may lose online advertising revenue to larger rivals like Facebook Inc. Whole Foods Market Inc fell -3.5% after an analyst report cited risks from increased competition. Verizon Communications Inc climbed +0.6% after T-Mobile US Inc agreed to buy airwaves from Verizon Wireless for about $2.4 billion. EBay Inc slid -2.8% after Morgan Stanley cut the shares to “equalweight” from “overweight”. First Solar Inc lost -9.7% for the biggest drop in the S&P 500 after Goldman Sachs cut the stock to “sell” from “buy”, saying the company’s valuation may contract as earnings decline.

 

Asian stocks fell as a report showed US service industries expanded less than expected. The Nikkei 225 (-0.59%) and the S&P/ASX 200 (-0.15%) both retreated, while the Hang Seng (+0.13%) increased. Oversea-Chinese Banking Corp fell -0.8% in Singapore amid concern it may pay too much to take over Hong Kong’s Wing Hang Bank Ltd. Li & Fung Ltd gained +8.5% in Hong Kong as the company called its 2013 performance solid. Shanghai Petrochemical lost -5.9%, leading raw material shares lower. Fortescue Metals Group Ltd declined -4.7%. Samsung Electronics Co fell -0.2% after posting its first profit decline in nine quarters.