Scalpuman
Admin
Posts : 1174
Join date : 2009-05-13
 |  Subject: ADVFN Morning Euro Markets Bulletin April 26th 2010  Mon Apr 26, 2010 9:11 am | |
| by ADVFN.comADVFN offer FREE streaming stocks and shares data form around the world. SEE | London Market Report |
Miners lift Footsie
Market Movers
techMARK 1,687.72 +0.67%
FTSE 100 5,777.11 +0.93%
FTSE 250 10,711.05 +1.03%
Mining stocks give London an early boost as metal prices make headway while a batch of upbeat trading statements has also boosted sentiment.
Xstrata, Antofagasta and ENRC are the top risers in the mining sector while Kazakhmys is also wanted after it sold a 49% stake in its copper project Aktogay to Chinese company Jinchuan Group for $120m. Kazakhmys said the estimated development cost of Aktogay is in the range of $1.5bn to $2bn.
Elsewhere in the resources sector oilfield support services firm Petrofac is wanted after its North Sea contract with Britannia Operator Limited was renewed for a five year period in a deal worth £35m.
Oil giant BP is preparing to use one third of the world's dispersant supplies to deal with the oil spill from its Mississippi Canyon Block 252 (MC252), off the coast of New Orleans. The company, which is also assisting the owner of the rig that sank last week with recovery operations, is attempting to secure more supplies of dispersant.
Two companies have upgraded profits guidance today. Carphone Warehouse has upgraded its earnings expectations for the third time this year after a good performance in the US from joint venture Best Buy Mobile US. “Best Buy Mobile US is out-performing even our expectations," chief executive Charles Dunstone said.
Engineer Weir Group expects profits for the first half to be ahead of expectations after a strong first quarter. It expects first half profits to be about £30m ahead of previous expectations.
Housebuilder Redrow was another with good news for shareholders. The company expects to return to profitability in the second half after being ‘encouraged’ by sales activity since the start of the year.
The firm said that house prices have remained stable since the start of the year, but that a planned change in Redrow’s mix has resulted in higher average prices. Sector peers Taylor Wimpey, Barratt Developments, Bellway and Bovis Home seem equally cheered by Redrow’s statement.
Plans for the transfer of the bulk of Norwegian company Det Norske Veritas’s Business Assurance division to Intertek have been abandoned. “We have concluded that a satisfactory transaction can not be executed in light of various unanticipated complexities within a reasonable time period,” the two companies said in a joint statement.
Infrastructure contractor Balfour Beatty has sold off stakes in two of its public/private partnership concessions for £24.1m.
Power peripherals supplier Chloride has received an indicative cash bid approach from US rival Emerson worth 275p per share and £723m in total.
British coal miner UK Coal said pre-tax annual losses widened as Hargreaves Services confirmed it was still committed to merger plans.
A decline in fourth quarter production and a subdued market price for coal hit full year results, UK Coal explained.
The disruption caused by the closure of airspace due to the volcanic could that enveloped Europe cost John Menzies about £2.5m, the aviation and newspaper distribution group estimates.
FTSE 100 - Risers
Xstrata (XTA) 1,202.50p +3.04%
Royal Bank of Scotland Group (RBS) 57.30p +2.69%
Antofagasta (ANTO) 1,020.00p +2.67%
Wolseley (WOS) 1,701.00p +2.59%
Eurasian Natural Resources (ENRC) 1,243.00p +2.39%
Invensys (ISYS) 333.80p +2.39%
Vedanta Resources (VED) 2,775.00p +2.29%
Petrofac Ltd. (PFC) 1,207.00p +2.29%
Kazakhmys (KAZ) 1,462.00p +2.24%
Anglo American (AAL) 2,923.00p +2.20%
FTSE 100 - Fallers
Intertek Group (ITRK) 1,502.00p -1.77%
Schroders NV (SDRC) 1,111.00p -0.71%
British Sky Broadcasting Group (BSY) 627.50p -0.40%
Reed Elsevier (REL) 545.00p +0.09%
Alliance Trust (ATST) 347.20p +0.12%
Imperial Tobacco Group (IMT) 1,956.00p +0.15%
Cable & Wireless Worldwide (CW.) 90.75p +0.17%
Smiths Group (SMIN) 1,122.00p +0.18%
Diageo (DGE) 1,142.00p +0.18%
AstraZeneca (AZN) 2,911.50p +0.21%
FTSE 250 - Risers
Chloride Group (CHLD) 295.60p +41.44%
Weir Group (WEIR) 1,014.00p +8.33%
Cookson Group (CKSN) 611.00p +7.48%
Taylor Wimpey (TW.) 46.17p +4.96%
FTSE 250 - Fallers
Imagination Technologies (IMG) 280.90p -1.44%
DS Smith (SMDS) 137.80p -1.36%
Euromoney Institutional Investor (ERM) 524.50p -1.04%
Domino Printing (DNO) 410.70p -1.04% |
|
|
| | Learn how to get started in the stock market |
IX Investor 2010 is a two day event for private investors – experienced or simply looking to get started. On offer are over 50 free presentations and seminars, an exhibition and £££’s worth of free information to help you profit. The event takes place on the 29th & 30th April at London ExCel. Book your free ticket today, Click Here |
| | UK event Calendar for today |
Week Ahead: BP, Shell, Glaxo
After a lull lasting a couple of weeks next week sees a heavily populated agenda of company results, with energy and pharmaceuticals companies dominating.
Among the oil companies due to announce next week BP is first out of the traps on Tuesday with first quarter figures. Net income is forecast to be around $4.8bn. Oil companies are among the best payers in the FTSE 100 so the dividend will be of interest to income investors. A quarterly dividend of around 14 cents is anticipated.
Royal Dutch Shell follows in BP’s footsteps on Wednesday. Net income is tipped to lag BP’s, at about $4.2bn. but the dividend will be far more generous, as the company has committed to paying quarterly dividends of 42 cents this year.
BG Group completes the triumvirate of oil majors releasing first quarter figures this week. Its net income is expected to fall back below the $1bn level to $950m, down from $1.01bn in the first quarter of 2009.
In the pharmaceuticals sector GlaxoSmithline releases first quarter figures on Wednesday, with pre-tax profit forecast to be £2.13bn, up from £1.93bn a year before. Broker Charles Stanley is forecasting a 10% increasse in group sales to £7.34bn, helped in part by demand for pandemic flu products, though unfavourable currency movements will hold the gain in check.
Pre-tax profit of $3.07bn is forecast for AstraZeneca’s first quarter figures, up from $3.00bn in the first quarter of last year. In Astra’s case sales are likely to get a forex boost, thanks to the rise in the value of the US dollar.
Also declaring on Thursday is Shire, with the announcement due at noon (BST). The consensus forecast for revenue is $757m. Earnings before interest and tax on a non-GAAP (Generally Agreed Accounting Principles) basis should be around $214m.
Monday April 26
INTERIMS
Lok'n Store Group, Nasstar
GMS
SSL International
FINALS
LiDCO, Pan Pacific Aggregates
ANNUAL REPORT
Nationwide Accident Repair Services, PV Crystalox Solar
IMSS
Telecity Group
EGMS
Prodesse Investment Ltd., Public Power GDR (Reg S)
AGMS
A&D Pharma Holding GDR (Reg S), GlobeOp Financial Services, IPSA Group, Marwyn Materials, TEO LT GDR (Reg S)
UK ECONOMIC ANNOUNCEMENTS
Nationwide House Price Index (07:00)
INTERNATIONAL ECONOMIC ANNOUNCEMENTS
Dallas Fed Manufacturing Activity (15:30) |
| | Open a Selftrade Dealing account... |
...and pay a flat £12.50 per trade. Deal in UK and International Equities, Funds, Bonds, Covered Warrants and Listed CFDs. Instant account funding via debit card. No dealing fee on fund purchases. Annual Management Fee of £35 + VAT. Click here |
| | European Market |
Positive start to the week
Europe’s main markets have made a good start to the week with banking shares among the best performers.
Commerzbank, BNP Paribas, Societe Generale and UBS are on the rise. Elsewhere in the sector, Bank of Ireland could see the stake owned by the Irish State rise slightly to 36% after it unveiled a well-flagged €3.4bn capital raising.
The proposals include an institutional placing to raise €0.5bn, a placing to the Irish government worth €1.04bn and a rights issue of up to €1.89bn. The fund raising will see State ownership rise to a maximum 36%, compared with the current fully diluted level of 34%.
Across the markets, the Dax in Frankfurt is up 68 points at 6,328 and the Cac in Paris is 53 points higher at 4,005. The Swiss market has dropped 45 points to 6,813.
Air Liquide was on the rise after the French industrial gases firm saw first-quarter sales rise 5.2% to €3.15bn, better than analysts had expected.
Dutch navigation device maker TomTom rallied after it swung to a €3m net profit from a loss of €37m on revenues up 26% to €268m.
CAC 40 - Risers
ArcelorMittal SA (MT) € 32.37 +2.97%
Dexia (DEXB) € 4.48 +2.94%
BNP Paribas (BNP) € 54.42 +2.76%
Societe Generale (GLE) € 44.23 +2.62%
Technip (TEC) € 63.65 +2.20%
L'Oreal (OR) € 83.46 +2.13%
Lafarge (LG) € 58.31 +2.03%
EADS (EAD) € 14.81 +2.00%
Alcatel-Lucent (ALU) € 2.58 +1.94%
Cap Gemini (CAP) € 40.02 +1.87% |
| | Learn how to make money with VectorVest – free seminars with Alpesh Patel |
VectorVest is holding a series of free investment workshops in London during April and May. By attending you will learn how to use VectorVest to pick growing stocks and time our entry and exits points. London seminars will include two talks on stock selection and spread betting from guest speaker Alpesh Patel. For dates and more information Click Here. |
| | US Market |
Dow rises again
Signs of an economic recovery in the US and rises in European markets sparked a late rally by US blue chips, with the Dow closing at a new 18-month high.
Across the markets, the Dow Jones gained 69 points to close at 11,204 with Nasdaq 11 points higher at 2,530. The S&P 500 added 8 at 1,217.
Purchases of new homes in the US during March were sharply higher. The 27% rise was the biggest since April 1963. It appears that most of the sales are at the lower priced end of the market.
There was a 2.8% increase in durable goods orders excluding aircraft in March. This was much higher than forecast. There was a 67% decline in aircraft orders during the month.
Greek Prime Minister George Papandreou has asked for the €45bn aid package from the EU and IMF. He said it was a ‘national and pressing necessity’ to access the aid package. Investors have been concerned that Greece's financial situation would hold back the global economic recovery.
Housebuilders are rising on the back of the positive new home sales news. Pulte Group, Lennar Corp and Beazer Homes USA are all well up on the day.
Printer manufacturer Xerox Corp forecast better than expected second quarter profits.
In contrast, online retailer Amazon.com missed its second half estimates.
Credit card firm American Express reported doubled first quarter profits.
Schools operator DeVry has been hit by enrolment declines.
King Pharmaceuticals was hit by the FDA’s decision not to approve non-addictive painkiller Acurox because it is not effective enough.
Mobile phone chips maker Qualcomm continued to fall after yesterday’s announcement that sales and profits will be below expectations. |
| | Traders International |
Watch us trade “Live”!
Watch our Top Tier Traders make ($500 - $2000) a day
in “real time” and learn how to easily duplicate the process! Click Here for more information |
| | Monday's newspaper round-up: Tesco, Goldman Sachs, Gartmore |
Tesco, the supermarket chain, plans to develop four “mini-villages” in the South East along with “mixed-use living and leisure” schemes in Ipswich and northeast England.
The schemes feature scores of homes, all near a Tesco store. The plans raise the prospect of people finding a home in a “mini-village” through the company’s estate agent service, securing a mortgage through its banking arm and fitting it out with Tesco products bought on one of the company’s credit cards, the Times reports.
The next government will have to cut public sector pay, freeze benefits, slash jobs, abolish a range of welfare entitlements and take the axe to programmes such as school building and road maintenance – or make a set of equally politically perilous choices, according to an analysis by the Financial Times. The spending choices are so difficult that senior officials believe that an incoming chancellor may be forced to resort to additional tax increases.
Tensions between Goldman Sachs and the US Senate have reached breaking point as the two sides wage a public war over whether the investment bank hoodwinked clients by betting against the sub-prime mortgage market. The two sides have been battling for the moral high ground ahead of tomorrow's (Tuesday) Senate testimony by Lloyd Blankfein, the investment bank's chief executive, the Telegraph reports.
Germany's finance minister Wolfgang Schauble has raised fresh obstacles to the €40bn (£35bn) aid package for Greece, warning that Berlin will not transfer funds until Athens agrees to tougher terms. Mr Schauble said no decision had yet been taken by Berlin or the European Union and that the outcome may yet be "negative". "It depends entirely on whether Greece goes through with the strict austerity in coming years," he told Bild Zeitung, the Telegraph reports.
HSBC is seeking support for a plan to direct any industry-wide bank levy into government-sponsored venture capital agencies, as part of a rearguard mission to change the terms of the ongoing bank regulation debate. The bank has toured Europe seeking support for its ideas that include varying the capital buffers that banks are required to hold, depending on economic conditions. It believes banks should hold higher capital cushions in good times to absorb losses when conditions decline, the FT reports.
Gartmore fired one of its senior traders for breaching rules just weeks before the suspension of its star fund manager, Guillaume Rambourg, in the latest revelation surrounding the embattled investment house. Mark Widowson, who executed trades on behalf of Gartmore's managers including its award-winning duo of Mr Rambourg and Roger Guy, was dismissed at the beginning of March for irregular trading activities, the Telegraph reports.
A "no mercy" strategy by HM Revenue & Customs since 2005 has resulted in a significant uplift in revenues clawed back from tax evaders, but concerns have been raised over its "draconian powers" and a "disproportionate" amount of resources being spent investigating smaller companies. The accountancy firm UHY Hacker Young said that HMRC had managed to collect some £39.5bn through its tax enquiries and other compliance work since the organisation came into existence five years ago, following the merger between HM Customs & Excise and the Inland Revenue, the Independent reports.
The British company whose futuristic designs led to the reinvention of the vacuum cleaner is planning to push the boundaries still further by hiring 350 engineers and scientists to work on new products. Dyson will double the number of people employed in its UK-based research and development department, the Times reports.
Royal Bank of Scotland will tighten the performance targets on a multimillion-pound bonus scheme for its chief executive as the state-controlled bank tries to avert more public anger over pay.Sir Philip Hampton will admit to shareholders at the bank’s annual meeting this week that the previous level at which the scheme would pay out — the share price reaching 50p — was too low, the Times reports.
British companies brought forward more than £840m in dividend payments this year so that wealthy shareholders could avoid the new higher tax rate. Forty companies shifted their payments to squeeze them in before the April 6 deadline, according to a report published today by Capita Registrars, a research group, the Times reports. |
| | If you want stock market excitement nothing beats emerging markets. |
From its low, the Russian RTC has tripled from 500 to 1607. Since Putin pulling the plug on the market, Russian stocks are quickly approaching their lofty highs above the 2000 mark.
You would have thought the crash would have made investors a little wary - an 80% drop should be enough to put everyone off, but apparently not.
Meanwhile Bovespa is back to all time highs. From 70,000 to 30,000 to 70,000 in less than two years is the kind of ride that doesn’t seem so wild in the emerging markets. After all since 2006 it’s been 30000 to 70000 to 30000 to 70000; it’s almost natural volatility.
In China, the government seems to be nailing the index at around the 600 level. The Chinese government fears speculation as a potential spark to the touch paper of the powder keg that is China. This is smart. Crazy volatility in the market often has turned into crazy social volatility.
Back in Europe it’s a lot drier. The crash halved the market in France on the CAC 40 and it has bounced a third. Germany’s halving of the Dax in the crash has seen a fifty percent retracement. This is significant if you like Fibonacci, but for the rest of us it seems tame in comparison to the emerging markets.
Italy on the other hand seems to have had the worst of both worlds. It fell like China - 75% - but has only recovered 25% of the fall. While Italy appears to have escaped the vast budget problems of other countries from the crash, its markets have not come roaring back.
It is perhaps an indicator of the fate of the markets when the printing presses of other markets are turned off. |
| |
|
