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| UK 100 Leaders | Close (p) | Chg (p) | % Chg | % YTD |
| Standard Chartered PLC | 549.9 | 37.2 | 7.3 | -40.0 |
| Inmarsat PLC | 1130 | 45.0 | 4.2 | 41.3 |
| Old Mutual PLC | 171.8 | 6.8 | 4.1 | -9.8 |
| Hikma Pharmaceuticals PLC | 2217 | 69.0 | 3.2 | 12.0 |
| Capita PLC | 1210 | 37.0 | 3.2 | 11.9 |
| UK 100 Laggards | Close (p) | Chg (p) | % Chg | % YTD |
| Anglo American PLC | 263.55 | -14.7 | -5.3 | -78.1 |
| Berkeley Group Holdings (The) PLC | 3585 | -172.0 | -4.6 | 44.6 |
| Glencore PLC | 80.86 | -3.5 | -4.1 | -72.9 |
| Randgold Resources Ltd | 3977 | -143.0 | -3.5 | -9.2 |
| Fresnillo PLC | 654.5 | -19.0 | -2.8 | -14.6 |
| Major World Indices | Mid/Close | Chg | % Chg | % YTD |
| UK UK 100 | 6,102.5 | 41.4 | 0.68 | -7.1 |
| UK | 17,177.3 | 101.4 | 0.59 | 6.8 |
| FR CAC 40 | 4,677.5 | 52.9 | 1.14 | 9.5 |
| DE DAX 30 | 10,738.0 | 268.8 | 2.57 | 9.5 |
| US DJ Industrial Average 30 | 17,495.8 | -253.3 | -1.43 | -1.8 |
| US Nasdaq Composite | 5,002.6 | -68.6 | -1.35 | 5.6 |
| US S&P 500 | 2,041.9 | -31.2 | -1.50 | -0.8 |
| JP Nikkei 225 | 18,986.8 | -366.8 | -1.90 | 8.8 |
| HK Hang Seng Index 48 | 21,847.8 | -24.2 | -0.11 | -7.4 |
| AU S&P/ASX 200 | 5,106.7 | 4.7 | 0.09 | -5.6 |
| Commodities & FX | Mid/Close | Chg | % Chg | % YTD |
| Crude Oil, West Texas ($/barrel) | 34.83 | 0.07 | 0.13 | -35.2 |
| Crude Oil, Brent ($/barrel) | 37.09 | -0.08 | -0.22 | -35.6 |
| Gold ($/oz) | 1056.40 | 4.30 | 0.41 | -10.7 |
| Silver ($/oz) | 13.79 | 0.06 | 0.46 | -12.1 |
| GBP/USD – US$ per £ | 1.495 | – | 0.12 | -4.1 |
| EUR/USD – US$ per € | 1.086 | – | 0.12 | -10.3 |
| GBP/EUR – € per £ | 1.377 | – | -0.01 | 6.9 |
Click graph to enlarge
UK 100 Index called to open -25pts at 6075, having retreated from intersecting 3-month resistance at 6170 and broken down from this week’s steep rising channel. A pause to digest the 5% rebound from December 3-month lows, or further backtracking to be had in a new falling corridor? While a bounce from 6050 overnight is no surprise, falling highs from yesterday’s peak puts resistance around 6090. Watch levels: Bullish 6110, Bearish 6040.
The negative opening call comes after Asian bourses followed their US counterparts lower amid a fading of the Fed relief rally as the USD continued to try higher to the cost of the already troubled commodities/energy space (Oil <$35) and other central banks reacted to the Fed's rate rise. While a stronger USD should have benefited Japan’s Nikkei, some disappointing tweaks to the BoJ’s stimulus programme actually saw the JPY strengthen to erase earlier gains by exporter equities. Kuroda’s done a Draghi!
Add to this a ‘disturbing’ Chinese Beige book update and global growth fears have returned to counter US optimism following the Fed’s rate hike. However, Chinese stocks are higher and bringing Australia’s ASX up with them ((despite still being hindered by commodities/energy price weakness) after further currency devaluation by Beijing post the Fed rate rise revived hopes of more stimulus to give a fillip to the slowing and transitioning economy.
US bourses sold off yesterday after a nice Fed-inspired rally - one that proved short lived as concerns certainly remained about whether or not the US economy was actually ready for it. Markets haven’t quite worked out why interest rates were put up - to shore up credibility or as an indication of confidence in the economy? A still tumbling oil price had a lot to do with it too, however.
In focus today will be the US PMI Services data this afternoon, seen remaining in a strong position, along with the Kansas City Fed Manufacturing Activity index ticking up a notch. The Baker Hughes US Rig count will surely be of interest to those with bets on the price and outlook for oil. After the US rate rise, the 2016 economic outlook from the Fed’s Lacker could influence markets after the European close while Europe will want to keep an eye on the Spanish General Election result on Sunday.
More US Crude stockpile indicators are keeping up the pressure on oil, the latest being the Genscape estimate that looks at the Cushing, Oklahoma storage hub. That agreed with prior readings from the EIA and API to confirm yet again that the US is oversupplied. Persistent Saudi pumping simply allows us to replace the abbreviation ‘US’ with the word ‘global.’
Gold has steadied overnight after posting losses post-Fed, with said losses being held rather than recouped this morning. An uptrending USD is compounding woes for the yellow metal, although if Wall St’s losses were due to risk aversion, that could provide some support for gold on safe haven grounds.
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