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| Yesterday’s UK 100 Leaders | Close (p) | Chg (p) | % Chg | % YTD |
| GlaxoSmithKline | 1320.5 | 23 | 1.8 | 23.0 |
| GKN | 311.1 | 5 | 1.6 | 5.0 |
| Intertek | 5230 | 80 | 1.6 | 80.0 |
| easyJet | 1385 | 20 | 1.5 | 20.0 |
| Old Mutual | 195.2 | 2.6 | 1.4 | 2.6 |
| Yesterday’s UK 100 Laggards | Close (p) | Chg (p) | % Chg | % YTD |
| Micro Focus International | 2557 | -98 | -3.7 | -98.0 |
| Antofagasta | 945 | -33.5 | -3.4 | -33.5 |
| Anglo American | 1430 | -30.5 | -2.1 | -30.5 |
| Johnson Matthey | 3019 | -64 | -2.1 | -64.0 |
| Fresnillo | 1337 | -28 | -2.1 | -28.0 |
| Major World Indices | Mid/Close | Chg | % Chg | % YTD |
| UK UK 100 | 7,383.9 | -25.7 | -0.35 | 3.4 |
| UK | 19,881.3 | -63.5 | -0.32 | 10.0 |
| FR CAC 40 | 5,360.1 | -30.4 | -0.56 | 10.2 |
| DE DAX 30 | 13,000.2 | -59.6 | -0.46 | 13.2 |
| US DJ Industrial Average 30 | 23,580.8 | 22.8 | 0.10 | 19.3 |
| US Nasdaq Composite | 6,878.5 | -10.6 | -0.15 | 27.8 |
| US S&P 500 | 2,601.4 | -1.0 | -0.04 | 16.2 |
| JP Nikkei 225 | 22,486.2 | -9.8 | -0.04 | 17.6 |
| HK Hang Seng Index 50 | 29,493.9 | -192.3 | -0.65 | 34.1 |
| AU S&P/ASX 200 | 5,984.3 | -4.5 | -0.08 | 5.6 |
| Commodities & FX | Mid/Close | Chg | % Chg | % YTD |
| Crude Oil, West Texas Int. ($/barrel) | 57.75 | -0.04 | -0.06 | 7.2 |
| Crude Oil, Brent ($/barrel) | 63.62 | 0.33 | 0.53 | 11.9 |
| Gold ($/oz) | 1293.75 | -0.45 | -0.03 | 12.3 |
| Silver ($/oz) | 17.01 | 0.00 | 0.01 | 6.6 |
| GBP/USD – US$ per £ | 1.3340 | – | 0.14 | 8.0 |
| EUR/USD – US$ per € | 1.1910 | – | 0.05 | 13.2 |
| GBP/EUR – € per £ | 1.1200 | – | 0.09 | -4.5 |
Click graph to enlarge
UK 100 Index called to open +10pts at 7395, up off overnight lows of 7380, holding a trendline of intersecting rising support dating back to early May. Bulls need a break above 7400 to engineer a reversal. Bears require another test of overnight lows. Watch levels: Bullish 7400, Bearish 7380.
Calls for a positive open come in spite of a mixed close on Wall St that was echoed by Asia overnight where a Chinese sell-off moved to Hong Kong. London sentiment has been boosted this morning by the Bank of England giving the UK banks a clean bill of health and oil major Royal Dutch Shell both boosting guidance and restoring an all cash dividend.
In corporate news the Bank of England 2017 stress tests suggest UK banks have a sufficient capital buffer to withstand a "disorderly Brexit" and "continue to support the real economy”. AstraZeneca says EMA accepts Tagrisso submission for 1st-line NSCLC. Royal Dutch Shell upgrades organic free cash flow guidance by $5bn to $25-30bn by 2020, at $60/barrel.
Pets At Home Peter Pritchard (head of retail) to succeed Ian Kellett as CEO. Ocado announces international partnership with France’s Groupe Casino. Rolls-Royce searching for replacement for Airbus-bound Civil Aerospace boss Eric Schulz. British American Tobacco appoints Ricardo Oberlander (regional director for Americas) as President, CEO of subsidiary Reynolds American.
US equity markets returned from a Thanksgiving-shortened trading week mixed as Tech stocks underperformed the wider market, while Retailers outperformed following Black Friday. The Dow Jones closed just shy of a record high as 3M and Home Depot contributed the most gains, while DuPont underperformed. Tech was weak on the S&P 500 as it closed just shy of break even, while the Tech-heavy Nasdaq underperformed, closing 0.3% lower.
Crude Oil benchmarks are diverging in price, as global benchmark Brent Crude remains in touching distance of of last week’s highs, while US Crude, after recent outperformance, has continued to retreat from last week’s 29-month highs. Brent is trading within $0.25 of $64, a 2-week high, while US crude remains subdued below $58, $1.2 below Friday’s highs.
Gold has edged lower overnight, having traded a 6-week high of $1300 yesterday afternoon on a weaker US dollar, as the greenback recovers from a 2-month low. The dollar will continue to drive sentiment today as multiple key Federal Reserve speakers, including Trump Chair nominee Powell, are due to share thoughts today.
In focus today will be German GFK Consumer Confidence (12pm; forecast flat), US House Prices (2pm; HPI expected faster, S&P CS slower), US Consumer Confidence (3pm; seen higher) and the Richmond Fed (3pm, forecast lower, like many recent Fed prints).
Events/Speakers include Bank of England Governor Mark Carney discussing the results of the central bank’s bi-annual Banking stress tests (7:30am), the latest OECD Outlook (10am), comments the Fed’s Dudley (2.15pm), the Fed’s Powell speaks at the Senate Banking Committee hearing for his nomination (3pm), the Fed’s Harker (3.15pm) and US Treasury Secretary Mnuchin (8.45pm).
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