Morning Spread

Morning Spread

Friday 9th October 2015
IndexLevelChg (%)
UK Market6424.33+0.78
Dow Indust Avg17050.75+0.82
S&P 5002013.43+0.88
Nasdaq Composite4810.79+0.41
Nikkei 22518438.67+1.64
Hang Seng22458.80+0.46
IndexLevelChg (%)
Nymex 1m50.16+1.48
Gold Spot1153.33+1.26
GBP/USD1.5371-0.31
GBP/EUR1.3563-0.14
EUR/USD1.1334+0.45
USD/JPY120.15-0.20

European stocks followed US and Asian markets higher after minutes from the last Fed meeting reflected caution over raising interest rates. The ESTX 50 (+0.72%), UK markets (+0.62%), CAC 40 (+0.74%) and the Dax (+0.80%) all posted gains in early trading. Givaudan SA advanced +4.5% after reporting quarterly comparable sales growth that exceeded estimates. Roche Holding AG added +0.6% after saying patients who took its experimental multiple sclerosis treatment in a late stage test were less likely to experience worsening clinical disability than with a placebo. Glencore rose +6% after saying it would slash its annual output by a third.

 

US stocks rose as investors saw further signs of dovishness in the Federal Reserve’s September meeting minutes which shed light on its decision to keep interest rates near zero. The Dow Jones Industrial Average (+0.82%), S&P 500 (+0.88%) and the Nasdaq Composite (+0.41%) all increased. Investors are bracing themselves for the effect of slowing global growth and a strong dollar on third quarter earnings. Profits from companies in the S&P 500 are expected to fall 4.5% in the quarter, the biggest decline in six years, according to Thomson Reuters data. Alcoa officially started the earnings season after the market close, with a weak report that sent its shares down -4% in extended trading. Its quarterly sales fell 10.7% and missed expectations. Boeing Co and Honeywell International Inc rallied more than +1.4%, while Union Pacific Corp added +2% to a two month high to pace industrials advance.

 

Asian stocks rose, following US shares higher after minutes from the Federal Reserve’s latest meeting indicated the central bank won’t rush to raise interest rates. The Nikkei 225 (+1.64%), Hang Seng (+0.46%) and the S&P/ASX 200 (+1.33%) all advanced. Santos Ltd jumped +8.6% in Sydney, leading gains among the region’s energy producers, as oil climbed above $50 a barrel for the first time since July. Noble Group Ltd surged +16% in Singapore as the commodities trader was said to be overhauling its metals unit after vowing to focus on delivering immediate results. Fast Retailing Co slumped -9.8% in Tokyo after reporting earnings and forecasts that missed analyst estimates.