At
0500 BST today, FTSE 100 futures are trading 5.5 points higher.
At
0500 BST today, German DAX Xetra 30 futures are trading 16.4 points up, while
French CAC-40 futures are trading 8.0 points higher.
At
0500 BST today, DJIA futures are trading 18.0 points up.
Nikkei
225 is trading 1.7% lower, at 8,935.7.
In
Asia, crude oil for November delivery is trading 0.2% or $0.15 lower at $91.22
per barrel.
At
0400 BST today, the GBP is trading marginally lower against the USD at $1.6190,
slightly lower against the EUR at €1.2549, and marginally higher against the
JPY at ¥125.90.
US Market
Snapshot
At
0500 BST today, DJIA futures are trading 18.0 points up.
Yesterday,
DJIA shed 0.8% to end at 13,457.5. NASDAQ slipped 1.4% to settle at 3,117.7.
S&P 500 slumped 1.1% to close at 1,441.6.
US
stocks accelerated losses yesterday, as worries over global economic growth
coupled with Spain’s funding problem overshadowed upbeat reports on the US
housing market and consumer confidence. A Fed official criticized the central
bank’s recent stimulus efforts, further weighing on investor sentiment.
Caterpillar
fell 4.3%, as it slashed its long-term profit forecasts, amid concerns over
capital expenditure by large commodity producers. Peer, Joy Global lost 5.5%,
weighed down by Caterpillar’s profit warning.
Advanced
Micro Devices slipped 5.2%, after FBR Capital Markets cut its price target on
the stock. Tesla Motors and Forward Air tumbled 9.8% and 11.4%, respectively,
as they lowered their third-quarter guidance.
Red
Hat dropped 4.3%, as its second- quarter profit trailed market expectations.
Apple lost 2.5%, as it sold out its initial inventories of the latest
smart-phone, raising concern about keeping up with the demand.
After
the closing bell, Yahoo edged up 0.2%, as it named Ken Goldman as its CFO, effective
from 22 October.
Asian Market
Snapshot
Asian
stock markets are trading lower this morning, tracking Wall Street overnight
and as a raft of Japanese stocks traded ex-dividend.
In
Japan, Toyota and Nissan Motor logged losses, as both the stocks traded
ex-dividend and amid reports that both would slash production in China.
In
Hong Kong, BYD tumbled as CLSA Asia Pacific Markets slashed its price target on
the stock, citing worsening outlook for its products. Hong Kong-listed Glencore
International lost values, as it revised its offer to boost its stake in
Kazakhstan's biggest zinc producer, Kazzinc.
In
South Korea, POSCO and Hyundai Steel recorded losses, amid mounting concerns
over sluggish global growth.
Nikkei
225 is trading 1.7% lower, at 8,935.7. Hang Seng index is trading 0.9% down, at
20,521.7, while the Kospi index is trading 0.6% lower, at 1,980.3.
UK Market
Snapshot
At
0500 BST today, FTSE 100 futures are trading 5.5 points higher.
AAR, a consortium formed by BP’s Russian
billionaire partners in TNK-BP are preparing an all-cash offer for the
company’s 50% holding in the Russian oil venture.
Schroders’
more than 50-year-old auditing relationship with PwC is at risk after the
company put its contract out to tender.
European Market
Snapshot
At
0500 BST today, German DAX Xetra 30 futures are trading 16.4 points up, while
French CAC-40 futures are trading 8.0 points higher.
According
to “Handelsblatt”, ThyssenKrupp might have to offer incentives to possible
buyers of its loss-making steel mills in Brazil and the US. Chief Executive
Heinrich Hiesinger mulls to sell the mills separately for at least the book
value of €7.0 billion.
S&P
has assigned a rating of ‘BB-’ to CGGVeritas with negative outlook, a day after
the group acquired the seismic data division of Dutch engineering company Fugro.
Commodities
In
Asia, crude oil for November delivery is trading 0.2% or $0.15 lower at $91.22
per barrel.
Yesterday,
crude oil for November delivery dropped 0.6% or $0.56 to $91.37 per barrel,
after the Federal Reserve Bank of Philadelphia President Charles Plosser
criticized the Federal Reserve’s decision to launch QE3, and stated that the
central bank might have to raise short term interest rates "well
before" the current forecast of mid-2015.
However,
earlier in the session, crude was trading higher, on the back of ongoing
geopolitical tensions in the Middle East, and after the release of
better-than-expected housing and consumer confidence data from the US. Later in
the day, the American Petroleum Institute (API) reported that US crude
inventories had risen by 335,000 barrels to 361.8 million barrels in the week ended September 21, marking the
highest level since the week ended 24 August.
Gold
for immediate delivery is trading 0.2% higher today, at $1,764.55 per ounce.
Gold
for December delivery settled up 0.1% or $1.80 at $1,766.40 per ounce
yesterday, supported by a positive US housing and consumer confidence data.
Gold futures were also boosted on a report from the IMF that indicated global
central banks have been adding to their gold reserves. However, gains were
capped as negative comments from the Philadelphia Fed president helped the
dollar trim some of its earlier losses weighing on the yellow metal.
Yesterday,
copper 3-month futures rose 0.9% or $72.0, to close at $8,240.00 /MT. Aluminium
3-month futures dropped 0.3% or $5.0, to close at $1,975.00 /MT.
Currencies
At
0400 BST today, the GBP is trading marginally lower against the USD at $1.6190,
slightly lower against the EUR at €1.2549, and marginally higher against the
JPY at ¥125.90. Markets await CBI sales data in UK later in the day.
The
EUR is trading slightly higher against the USD at $1.2901.
The
EUR is trading 0.1% higher against the JPY at ¥100.35. Earlier, the EUR was
trading lower against the JPY before reports speculated to show a drop in
Italian retail sales and European consumer confidence. The EUR also dropped on
speculation that the political clash in Spain might impede attempts to resolve
the region’s debt crisis.
The
NZD is trading lower against the USD after New Zealand posted a
higher-than-expected trade deficit in the 12 months through August.
The
AUD is trading lower against the JPY after Catalonia president, Artur Mas,
called for early elections as Spanish Prime Minister Mariano Rajoy struggles to
gain acceptance for austerity measures, sapping demand for riskier assets.
Yesterday,
the USD closed higher against the EUR as comments from a US Fed official that
the central bank actions won’t boost economic growth overshadowed
better-than-expected data on US home prices and consumer confidence.
The
GBP gained against the EUR after a report showed that mortgage approvals in the
UK rose unexpectedly in August, adding to signs the nation’s economy is
improving.
The
EUR closed lower against the JPY as Spain’s borrowing costs rose at a bill
auction adding to signs the eurozone debt crisis is worsening.
Macroeconomic
Snapshot
UK
mortgage approvals rose unexpectedly to 30,533 in August, from 28,750 in July.
GfK
forward-looking consumer sentiment index for Germany came in at 5.9 in October,
unchanged from September.
French
business confidence index remained at 90 in September, unchanged from August.
The
Conference Board indicated that its consumer confidence index for the US jumped
to 70.3 in September from a revised 61.3 in August.
The
S&P/Case-Shiller 20-City composite home price index for the US rose by a
seasonally adjusted 0.4% on a monthly basis in July compared to a 0.9% increase
in the previous month.
According to Federal
Housing Finance Agency, on a monthly basis, US house prices rose 0.2% in July,
compared to a downwardly revised 0.6% increase in the previous month.
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