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Morning Report - 26 August 2014

UK 100 Leaders Close (p) Chg (p) % Chg % YTD
Royal Mail Group PLC 449.8 9.5 2.2 0.0
Hargreaves Lansdown PLC 1154 21.0 1.9 14.1
Vodafone Group PLC 205.85 3.3 1.6 -14.3
Lloyds Banking Group PLC 76.25 1.0 1.3 1.6
London Stock Exchange Group PLC 2029 24.0 1.2 30.3
ARM Holdings PLC 952 11.0 1.2 8.9
Travis Perkins PLC 1740 20.0 1.2 12.0
Reckitt Benckiser Group PLC 5265 60.0 1.2 17.3
UK 100 Laggards Close (p) Chg (p) % Chg % YTD
Fresnillo PLC 921.5 -16.5 -1.8 -18.1
CRH PLC 1379 -22.0 -1.6 -4.2
SSE PLC 1497 -23.0 -1.5 -3.2
Rolls-Royce Group PLC 1022 -15.0 -1.5 -9.0
BHP Billiton PLC 1944 -27.0 -1.4 -1.6
Rio Tinto PLC 3392.5 -40.5 -1.2 9.3
Mondi PLC 1007 -11.0 -1.1 -1.4
Anglo American PLC 1556.5 -17.0 -1.1 4.1
Major World Indices Mid/Close Chg % Chg % YTD
UK UK 100 6,775.3 -2.4 -0.04 0.4
UK 15,881.0 42.5 0.27 -0.3
FR CAC 40 4,342.1 89.3 2.10 1.1
DE DAX 30 9,510.1 171.0 1.83 -0.4
US DJ Industrial Average 30 17,077.0 75.7 0.45 3.0
US Nasdaq Composite 100 4,557.4 18.8 0.41 9.1
US S&P 500 1,997.9 9.5 0.48 8.1
JP Nikkei 225 15,525.5 -87.7 -0.56 -4.7
HK Hang Seng Index 48 25,113.5 -53.5 -0.21 7.8
AU S&P/ASX 200 5,636.2 1.3 0.02 5.3
Commodities & FX Mid/Close Chg % Chg % YTD
Crude Oil, US Light Sweet ($/barrel) 93.64 0.16 0.17 -5.3
Crude Oil, Brent ($/barrel) 102.79 0.56 0.54 -7.7
Gold ($/oz) 1283.05 6.15 0.48 6.0
Silver ($/oz) 19.42 0.09 0.45 -0.5
Platinum ($/oz) 1418.40 -3.90 -0.27 3.2
GBP/USD – US$ per £ 1.659 0.1 0.1
EUR/USD – US$ per € 1.320 0.11 -4.1
GBP/EUR – € per £ 1.257 -0.01 4.2
UK Index called to open -6pts at 6810

1 Week, 5 Min

Click graph to enlarge

Today's Main Events

  • 13:30     US          Durable Goods Orders
  • 14:00     US          House Price Purchase Index
  • 15:00     UK          Consumer Confidence Index

 

See Live Macro Calendar for full data line-up, incl. consensus expectations

Markets Overview: (Source: Bloomberg, FT, Reuters, DJ Newswires)

UK 100 Index is called to open lower by 3pts at 6815, having closed unchanged on Friday and enjoyed a day off yesterday.

Friday's session was somewhat subdued as traders refrained from transacting ahead of the Jackson Hole Economic Symposium with Federal Reserve Chairwoman, Janet Yellen speaking late in the day followed by European Central Bank President, Mario Draghi.

The Symposium proceedings are closely followed by market participants, as unexpected remarks emanating from central bankers and finance ministers have the potential to affect global stock and currency markets. That said Janet Yellen was somewhat non-committal saying the Fed might raise rates soon but then again might not, depending on economic health the Fed would remain "accommodative".

UK 100 stocks failed to deviate more than 2% from their starting prices on Friday.

Vodafone (VOD.L) shares rose 1.60% after the Daily Mail financial pages covered a story suggesting U.S. peer AT&T could be preparing an offer of over 300p per share. Shares closed at 205.85p.

Lloyds Banking Group (LLOY.L) and Barclays (BARC.L) continued inching forward as traders looked for discounted stocks. From their highest levels in 2014, Lloyds shares had fallen 20% while Barclays shares had fallen over 30%. Since then shares have increased 7.5% and 11% respectively in just the last six weeks.

Fresnillo (FRES.L) was again among the worst performers, down 1.76% as the price of gold struggled to recover from its sub-$1300 level of $1280.

U.S. stocks welcomed Yellen's comments at the Economic Symposium in Jackson Hole, interpreted as 'if the economy is in good shape, normalisation of monetary policy will return, but if required, support is here'.

The Dow Jones added 75pts to close at 17,076pts while the S&P 500 topped 2,000pts for the first time before finally coming to rest at 1,998pts.

Asian Markets swung between gains and losses after valuations on the regional gauge climbed to the highest level this year as concern eased about conflicts in Iraq, Israel and Ukraine.

For any help you may require placing trades or in terms of market information, put a call in to our trading floor – it’s all part of the service.

 

Key Overnight Macro Data: (Source: Reuters/DJ Newswires)

  • CH          Conference Board Leading Economic Index         Improved

 

See Live Macro Calendar for full data line-up, incl. consensus expectations

 

UK Company Headlines: (Source: Reuters/DJ Newswires)

  • Riverstone Energy to invest in new Norway-UK oil explorer
  • Antofagasta H1 core profit falls 11.5 pct as rising costs bite
  • Stagecoach says on track to meet expectations
  • Regus first-half revenue rises 8.1 pct
  • Bunzl H1 profits rise on international markets growth
  • Petrofac H1 profit down 44 pct

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This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.

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