1. From The Floor
26 September 2011
Key Global Indices
UK Market Snapshot
Last 1D % 5D % 1M% 1Y%
Cl ose Chg Chg Chg Chg UK markets finished mixed on Friday, with the FTSE 100 rebounding to close
FTSE 100 5,066.8 0.5% -5.6% -2.7% -8.7% higher, led by a rally in banking sector stocks. Barclays, the top gainer on the
DJSTOXX 50 2,050.1 1.1% -5.2% -6.3% -18.5% FTSE 100 index, gained 5.2%, while Royal Bank of Scotland and Lloyds
FTSEurofirst 300 882.2 0.8% -5.9% -5.8% -17.2% Banking rallied 3.5% and 5.0%, respectively, amid speculation that the Bank
German DAX 30 5,196.6 0.6% -6.8% -8.5% -16.0%
of England may initiate another round of quantitative easing and ECB might
French CAC 40 2,810.1 1.0% -7.3% -10.5% -24.3%
cut rates. Among retailers, Tesco gained 2.5%, after Evolution Securities
Russia RTS Index 1,316.0 -5.2% -16.4% -17.8% -10.9%
S&P 500 1,136.4 0.6% -6.5% -3.5% 1.0%
upgraded the stock to “Neutral” from “Sell”, citing a £500million price
Dow Jones Industrials 10,771.5 0.4% -6.4% -4.9% 1.0%
repositioning programme. MAN Group rallied 4.7%, ahead of release of
Nasdaq Composite 2,483.2 1.1% -5.3% 0.6% 6.7% trading statement, amid hopes that it would post robust result. Tullow Oil
Brazil Bovespa 53,230.4 -0.1% -7.0% -1.1% -22.6% climbed 2.1%, after it successfully extended its resource base in South
Nikkei 225* 8,374.3 -2.2% -3.4% -0.9% -10.5% America. However, mining stocks, Randgold Resources, Fresnillo, Kazakhmys
Shanghai Composite* 2,421.1 -0.5% -2.0% -4.2% -6.1% and Xstrata, shed between 2.8% and 4.7%, tracking a fall in metal prices.
Sensex* 16,105.5 -0.3% -4.6% -0.8% -18.6% FTSE 100 added 0.5% or 25.2 points to settle at 5,066.8, while FTSE 250
*Time - BST 5:24:05 AM slipped 0.7% or 72.8 points to close at 9,815.5.
5,105
European Market Snapshot
Other European markets closed in the positive territory on Friday, on
5,060 optimism that European and international policy makers would take actions
to prevent the escalation of Eurozone debt crisis. Banking stocks, Societe
5,015 Generale, BNP Paribas and Commerzbank, soared between 4.7% and 9.8%,
as risk appetite increased among investors, on hopes of an interest rate cut
4,970 in the Eurozone. Drug maker, Bayer, surged 7.1%, after the company got
approval from European drug advisory panel for the use of its Xarelto drug
4,925 with patients with irregular heartbeat. Adidas advanced 2.8%, after its US
8:00 9:45 11:30 13:15 15:00 16:35 peer Nike reported a rise in its first-quarter earnings. Truck-maker, MAN,
rallied 5.0%, after UBS upgraded the stock to “Buy” from “Neutral”.
However, gains were restricted by losses in carmakers stocks. FTSEurofirst
10,800
300 index advanced 0.8% to 882.2. German DAX Xetra 30 rose 0.6% or 32.4
points to 5,196.6. French CAC-40 added 1.0% or 28.4 points to 2,810.1.
10,765
US Market Snapshot
10,730
US markets ended higher on Friday, amid hopes that policy makers would
act to arrest the unfolding debt crisis in Europe. Morgan Stanley advanced
10,694
5.1% and led the banking sector higher, after Bernstein Research indicated
that worries over the bank’s exposure to French financials were exaggerated.
10,659
9:30 10:45 12:00 13:15 14:30 15:45 Nike surged 5.3%, after posting robust first quarter result. Specialty
pharmaceutical, Hospira surged 8.6% and emerged as the top gainer on the
S&P 500 index, following FDA’s decision to release guidelines for biosimilars,
which the company expected to launch in the US between 2013 and 2015.
8,545
Medical-device provider, American Medical Alert soared 47.6%, after it
agreed to be acquired by Tunstall Healthcare Group. DJIA edged up 0.4% or
8,498
37.7 points to close at 10,771.5. NASDAQ gained 1.1% or 27.6 points to
settle at 2,483.2. S&P 500 added 0.6% or 6.9 points to end at 1,136.4.
8,450
8,403
Asian Market Snapshot
Asian markets are trading lower this morning, led by losses in exports, as
8,355
investors remained concerned over the pace of global economic recovery,
9:00 9:45 10:30 11:15 13:00
and after the Chinese Central Bank Governor stated that inflation remains
the nation’s “top concern”. In Japan, exporters, Sony, Nissan Motor and
Manoj Ladwa 0207 392 1487
Sharp lost values, as the yen appreciated against the dollar. Commodity
Index and Equity Desk 0207 392 1479
trading firms, Mitsui & Co, Mitsubishi and Itochu paced declines, tracking a
Institutional Equities 0207 392 1477 fall in commodity prices on Friday. Nippon Electric Glass traded lower, after
Commodities 0207 392 1403 the company trimmed its half-year earnings estimates. In Hong Kong,
Options 0207 392 1472 homebuilders, China Vanke and Gemdale Corp lost values, after China
Currencies 0207 392 1455 Business News reported that the city of Chongqing would start imposing a
Internet Dealing Desk 0207 392 1434 property tax on existing villas. In South Korea, oil stocks, S-Oil and SK
Innovation paced declines, as crude oil prices declined on Friday. Nikkei 225
index is trading 2.2% lower, at 8,374.3. Hang Seng index is 1.7% lower, at
17,362.0, while the Kospi index is trading 1.0% lower, at 1,680.7.
ETX Capital, Beaufort House, 15 St Botolph Street, London EC3A 7DT Tel+44 (0) 207 392 1453
customerservice@etxcapital.co.uk www.etxcapital.com Refer to the last page for disclaimer
2. 26 September 2011
Commodities
82.0
1760.0 9,090 2,370
81.0 1726.3 8,620 2,315
$/ M T
$/ b b l
8,150 2,260
$ /OZ
79.9 1692.5
7,680 2,205
78.9
1658.8
7,210 2,150
77.8
0:00 5:30 11:00 16:30 22:40 1625.0 9-Sep 14-Sep 19-Sep 22-Sep
0:00 5:40 11:50 17:30 0:10 Copper - LHS Aluminium - RHS
In Asia, crude oil for November delivery is trading 0.2% or $0.14 higher at $79.99 per barrel. On Friday, crude oil for November
delivery fell 0.8% or $0.66 to end at $79.85 per barrel, as the dollar gained against the euro, decreasing the demand for the
commodities as an alternative investment, and amid concern that slowing global economic growth would undercut demand for
energy.
Gold for immediate delivery is trading 1.3% lower today, at $1,635.96 per ounce. Gold for December delivery sank 5.9% or
$101.90 to settle at $1,639.80 per ounce on Friday, as demand for the safe haven asset received a hit, as finance ministers and
G-20 central bankers stated that they would coordinate action in a bid to stop Europe’s sovereign debt crisis.
Currencies
1.1535 1.5500 1.3580
1.1490 1.5469 1.3534
1.1445 1.5438 1.3488
1.1400 1.5406
1.3441
1.1355 1.5375
1.3395
0:00 6:40 13:20 20:00 23:40 0:00 6:40 13:50 20:30
0:00 6:40 13:50 20:30
At 0400 BST today, the GBP is trading marginally higher against the USD at $1.54615, 0.5% higher against the EUR at €1.1511,
and 0.1% lower against the JPY at ¥ 118.171.
The EUR is trading 0.5% lower against the USD at $1.34323.
The EUR is trading 0.7% lower against the JPY at ¥102.662.
The EUR is trading lower against its major peers, ahead of a decision on Greece’s next round of rescue funding, and amid
speculation that German business confidence might fell to a 15-month low, adding to signs the region’s economy would falter.
The JPY is trading higher against the USD, as a retreat in Asian equities increased the demand for low yielding assets.
The NZD is trading lower against the USD, following report that New Zealand’s trade deficit was wider than market
expectations.
On Friday, the GBP ended higher against the USD, after the G20 nations pledged to make a “strong” response to challenges
facing the global economy.
The EUR closed higher against the JPY, after European Central Bank governing council members stated that the central bank
might step up efforts to address the renewed challenges facing the global economy, increasing the demand for high yielding
assets. The CAD ended lower against the USD, as decline in commodity prices decreased the demand for the commodity linked
currency.
2 From The Floor Refer to the last page for disclaimer
3. 26 September 2011
Key Economic Releases Today
Country BST E c onomi c Indi c a tor Conse nsus P re vi ous Fre que nc y
Germany 9:00 IFO - Business Climate (Sep) 106.50 108.70 Monthly
Germany 9:00 IFO - Current Assessment (Sep) 115.70 118.10 Monthly
Germany 9:00 IFO - Expectations (Sep) 97.30 100.10 Monthly
France 17:00 Total Jobseekers Change (Aug) 33.30 36.10 Monthly
France 17:00 Total Jobseekers (Aug) 2900.0 2756.5 Monthly
US 13:30 Chicago Fed Nat Activity Index (Aug) -0.40 -0.06 Monthly
US 13:30 Fed's Raskin Speaks on Loan Servicing in Washington - - -
US 14:30 Fed's Bullard Speaks in New York - - -
US 15:00 New Home Sales (Aug) 294.00 K 298.00 K Monthly
US 15:00 New Home Sales (MoM) (Aug) -1.30% -0.70% Monthly
US 15:30 Dallas Fed Manufacturing Activity (Sep) -8.00 -11.40 Monthly
Re a l G D P - YoY CP I - YoY 10 Ye a r Bond Yi e l d 48.00
UK 0.7% 4.5% 2.3%
US 1.6% 3.6% 1.9% 42.75
Japan -1.0% 0.2% 1.0%
37.50
France 1.6% 2.2% 2.5%
Germany 2.7% 2.4% 1.8%
32.25
Brazil 3.1% 7.2% 4.0%
Russia 3.4% 9.0% 6.0% 27.00
Sep-09
Nov-09
Jan-10
Mar-10
May-10
Jul-10
Sep-10
Nov-10
Jan-11
Mar-11
May-11
Jul-11
India 7.7% 8.4% 8.3%
China 9.7% 6.2% 4.1%
3 From The Floor Refer to the last page for disclaimer
4. 26 September 2011
Key Corporate Releases Today
UK
Compa ny N a me Re sul ts Curre nc y Ful l Ye a r Conse nsus
E sti ma te d E P S E sti ma te d Re ve nue (Mn)
Ricardo Plc Prelim GBP 26.92 217.66
Finsbury Food Group Prelim GBP 8.26 194.00
Netcall Prelim GBP 1.75 14.40
DDD Group Interim GBP 1.40 3.60
Roxi Petroleum Interim GBP (0.62) -
Qihang Equipment Company Interim GBP - -
Hambledon Mining Interim GBP - -
Lighthouse Group Interim GBP - -
Note: All Estimates are for Full Year
Gitanjali Gems Ltd. GDR (Reg S), Goldman Sachs Dynamic Opportunities Ltd (GBP Shares), Hidong Estate, Imaginatik,
MBL Group, Worthington Group, Eco Animal Health Group Plc
Hals-Development JSC GDR (Reg S)
African Barrick Gold, Communisis, Evolution Group, Fidessa Group, GKN, Stanley Gibbons Group, Frontline Ltd.
Europe
Compa ny N a me Re sul ts Curre nc y Ful l Ye a r Conse nsus
E sti ma te d E P S E sti ma te d Re ve nue (Mn)
Aryzta Ag Final CHF 3.35 4,117.32
Trigano Sa Q4 Sales EUR 1.83 808.55
Immofinanz Ag Q1 EUR 0.25 747.17
Dane Elec Memory Sa Q2 EUR - -
Newlead Holdings Ltd Q2 USD - -
Note: All Estimates are for Full Year
US
Compa ny N a me Re sul ts Curre nc y Ful l Ye a r Conse nsus Re l e a se
E sti ma te d E P S E sti ma te d Re ve nue (Mn) T i me
Ferrellgas Partners LP Q4 USD 0.74 2,460.00 D
Cal-Maine Foods Inc Q1 USD 2.25 1,040.00 D
Legacy Bancorp Inc Q2 USD - - U
4 From The Floor Refer to the last page for disclaimer
5. 26 September 2011
What’s Hot & What’s Not
Weir Group -6.3%
5.2% Barclays
5.0% Lloyds Banking Group Randgold Resources Ltd -4.7%
Fresnillo -4.3%
4.7% Man Group
3.5% Royal Bank of Scotland Kazakhmys -3.8%
3.4% Imperial Tobacco Group Aggreko -2.8%
Admiral Group Xstrata -2.8%
3.3%
3.3% Standard Life ENRC -2.7%
Inmarsat Rexam -2.6%
3.2%
2.5% Tesco GKN -2.5%
2.5% ITV IMI -2.5%
0.0% 1.5% 3.1% 4.6% 6.1% -7.0% -5.3% -3.5% -1.8% 0.0%
Major Movers & Shakers
Banks, Barclays, Lloyds Banking Group and RBS, rallied between 3.5% and 5.2%, following report that the Bank of England
might bring about another round of quantitative easing within the next two month.
Inmarsat rose 3.2%, after HSBC reiterated its “Overweight” rating on the stock.
Weir Group tumbled 6.3%, as a slowdown in global economy raised worries about future demand for metals, fuel and food.
Precious metal stocks, Randgold Resources and Fresnillo, plummeted 4.7% and 4.3% respectively, tracking lower gold and silver
prices.
Miners, Kazakhmys, Xstrata and ENRC, dropped between 2.7% and 3.8%, as base metal prices retreated.
5 From The Floor Refer to the last page for disclaimer
6. 26 September 2011
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6 From The Floor