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| UK 100 Leaders | Close (p) | Chg (p) | % Chg | % YTD |
| Fresnillo PLC | 915.5 | 14.5 | 1.6 | 22.8 |
| Tesco PLC | 288.65 | 3.7 | 1.3 | -13.7 |
| Antofagasta PLC | 815.5 | 10.0 | 1.2 | -1.0 |
| AstraZeneca PLC | 4390 | 50.0 | 1.2 | 22.8 |
| ITV PLC | 204.3 | 1.8 | 0.9 | 5.3 |
| Severn Trent PLC | 1943 | 17.0 | 0.9 | 14.0 |
| Randgold Resources Ltd | 5105 | 40.0 | 0.8 | 34.7 |
| Marks & Spencer Group PLC | 439.1 | 3.4 | 0.8 | 1.5 |
| UK 100 Laggards | Close (p) | Chg (p) | % Chg | % YTD |
| Barratt Developments PLC | 354.2 | -9.4 | -2.6 | 1.5 |
| Morrison (Wm) Supermarkets PLC | 173.7 | -4.3 | -2.4 | -33.5 |
| Persimmon PLC | 1246 | -29.0 | -2.3 | 0.6 |
| International Consolidated Airlines Group SA | 323.1 | -6.8 | -2.1 | -19.5 |
| Meggitt PLC | 530.5 | -11.0 | -2.0 | 0.6 |
| Sainsbury (J) PLC | 318.3 | -6.4 | -2.0 | -12.8 |
| Pearson PLC | 1106 | -22.0 | -2.0 | -17.5 |
| Carnival PLC | 2098 | -41.0 | -1.9 | -16.1 |
| Major World Indices | Mid/Close | Chg | % Chg | % YTD |
| UK UK 100 | 6,728.4 | -21.0 | -0.31 | -0.3 |
| UK | 15,486.0 | -70.7 | -0.45 | -2.8 |
| FR CAC 40 | 4,304.7 | -30.6 | -0.71 | 0.2 |
| DE DAX 30 | 9,612.1 | -108.0 | -1.11 | 0.6 |
| US DJ Industrial Average 30 | 17,051.7 | -48.5 | -0.28 | 2.9 |
| US Nasdaq Composite 100 | 4,424.7 | -7.5 | -0.17 | 5.9 |
| US S&P 500 | 1,973.6 | -4.6 | -0.23 | 6.8 |
| JP Nikkei 225 | 15,364.8 | 149.1 | 0.98 | -5.7 |
| HK Hang Seng Index 48 | 23,697.0 | 309.9 | 1.32 | 1.7 |
| AU S&P/ASX 200 | 5,539.9 | 0.0 | 0.00 | 3.5 |
| Commodities & FX | Mid/Close | Chg | % Chg | % YTD |
| Crude Oil, US Light Sweet ($/barrel) | 103.15 | 0.32 | 0.31 | 4.2 |
| Crude Oil, Brent ($/barrel) | 107.86 | 0.73 | 0.68 | -3.3 |
| Gold ($/oz) | 1308.45 | -3.25 | -0.25 | 8.9 |
| Silver ($/oz) | 20.92 | -0.04 | -0.18 | 7.9 |
| Platinum ($/oz) | 1490.80 | -0.50 | -0.03 | 8.5 |
| GBP/USD – US$ per £ | 1.708 | – | 0.04 | 3.1 |
| EUR/USD – US$ per € | 1.352 | – | 0 | -1.6 |
| GBP/EUR – € per £ | 1.263 | – | 0.04 | 4.7 |
Click graph to enlarge
See Live Macro Calendar for full data line-up, incl. consensus expectations
UK 100 called to open +20pts at 6755, after US markets recovered from to close with smaller losses than in Europe after no aggressive rhetoric on Ukraine from Obama and helped by Asia trading largely positive (towards a 6yr high) as investors bet that current geopolitical uncertainty wont derail the economic recovery.
There has also been rising speculation of a ceasefire in Gaza being agreed today as US Secretary of State Kerry arrives in the region, while after far too long a wait the black boxes from downed flight MH17 have been handed over to the Ukrainian government/Malaysian experts.
Japan stocks higher after a long weekend helped by a weaker JPY while both China and Hong Kong outperforming thanks to the PBOC suspending money market operations amid signs of tighter liquidity and better economic data. Note Australia is flat after RBA governor comments maintained the status quo.
Overnight data showed an improvement in Aussie Weekly Consumer Confidence and China’s Conference Board Leading Economic Index rebounding in June helped by government stimulus, accelerating to its fastest pace since December while Japan’s All Industry Activity rebounded even if Supermarket Sales remained under pressure and Economic Indices were mixed.
Japan’s Economy Minister said the BoJ won’t hesitate to adjust monetary policy of risk factors lead to changes in forecasts, while the government cuts its 2014 GDP and inflation estimates from 1.4% to 1.2%. Australia’s RBA head Stevens said they were doing all that can be reasonably expected but if policy could do more, it would be considered.
In Europe, the IMF raised its German economic growth forecast to 1.9% (from 1.7%0 this year and 1.7% (from 1.6%) in 2015, while calling for the Eurozone heavyweight to boost public investment. Q2 results from Texas Instruments beat forecasts with a big rise in gross margin and included a Q3 outlook that may also top consensus while Swiss investment bank Credit Suisse has just reported its biggest loss since 2008 after paying a $2.6bn US fine.
In focus today we have UK Public Borrowing seen improving in June but CBI Trends mixed. EU foreign ministers also meet with the additional Russian sanctions likely to be the major topic of discussion.
In the afternoon, US Consumer Price Inflation is seen slightly cooler in June, but with an unchanged annual rate from May. US House Prices should have edged higher in May with Existing Home Sales still growing but slower than in May. The Richmond Fed Manufacturing Index is expected to have climbed.
US Q2 results are coming through thick and fast this week, and today we have Coca Cola, McDonalds, Verizon Communications before the US open and Tech giants Apple and Microsoft after the market close.
In commodities, Gold has fallen back again from another foray higher, this time only getting as far as $1320 as the USD strengthened amid the outlook for higher US borrowing costs countering safehaven demand linked to Ukraine/Gaza. Support still possible around $1305. Geopolitical risk still see-sawing and any developments along with US inflation data this afternoon may influence things.
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See Live Macro Calendar for full data line-up, incl. consensus expectations
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Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance. Prepared by Michael van Dulken, Head of Research