Morning Spread

Morning Spread

Wednesday 9th July 2014
IndexLevelChg (%)
UK Market6701.73-0.54
Dow Indust Avg16906.62-0.69
S&P 5001963.71-0.70
Nasdaq Composite4391.46-1.35
Nikkei 22515302.65-0.08
Hang Seng23176.07-1.55
IndexLevelChg (%)
Nymex 1m103.35-0.05
Gold Spot1322.41+0.24
GBP/USD1.7115+0.08
GBP/EUR1.2572-0.13
EUR/USD1.3614+0.05
USD/JPY0.00984+0.08

European stocks were little changed as investors awaited minutes from the Federal Reserve’s most recent meeting. The ESTX 50 (+0.32%), CAC 40 (+0.05%) and the Dax (+0.09%) all posted gains in early trading, while the UK markets (-0.40%) declined. Sodexo dropped -2.6% after reporting nine month sales that missed the median analyst estimate. Seadrill Ltd climbed +6% after the biggest drilling rig company cancelled a $1 billion convertible bond sale. Admiral Group Plc lost -3.4% after saying margin expectations on business earned this year are lower than in recent years.

 

US stocks retreated as concern grew that equities have rallied too far too fast amid an uneven global economic recovery. The Dow Jones Industrial Average (-0.69%), S&P 500 (-0.70%) and the Nasdaq Composite (-1.35%) all declined. Twitter Inc and Pandora Media Inc, which both trade at more than 150 times projected earnings, plunged at least -7% to lead declines in internet stocks. Netflix Inc fell -3.4% while Facebook Inc dropped -3.9%. TripAdvisor Inc sank -5.5%. Alcoa Inc jumped +1.7% in late trading after reporting second quarter earnings and sales that beat analysts’ estimates.

 

Asian stocks fell after equity valuations touched the highest this year and China inflation data missed estimates. The Nikkei 225 (-0.08%), Hang Seng (-1.55%) and the S&P/ASX 200 (-1.06%) all retreated. Toyota Motor Corp, which gets 75% of sales outside Japan, lost -1.1%. Nomura Holdings Inc slipped -2.5% as securities firms accounted for some of the biggest drops in the region. Navitas Ltd slumped -31% in Sydney as the education provider said it will take an impairment charge of as much as $38 million. Shandong Weigao Group Medical Polymer Co rose -3.2% as JPMorgan advised buying the shares.