Highlights of the Day

Asian Markets

Asian share markets continued to be gripped by a volatile mood as a rally from the previous day’s bloodbath petered out amid concerns over global trade and economic growth.

U.S. Markets

Strong results from major companies including Microsoft and Visa helped U.S. stocks finish higher on Thursday. Stocks are still down sharply over the past three weeks.

Today's News

A disappointing sales forecast for the Christmas season sent Amazon shares sliding on Thursday night. The online giant said it expected year-on-year sales growth of 10% to 20% for the three months to 31 December. That would be a marked slowdown from the 29% jump in sales for the most recent quarter to $56.6bn.

 

Glencore said third-quarter coal and copper production was up on last year, as it held its annual guidance, with the exception of oil due to an unplanned stoppage at the Mangara field in Chad.

 

SEGRO said it will net €41.7m from the sale of four warehouses and adjacent development land in Belgium. The real estate investment trust said the disposal successfully concludes the company’s exit from Belgium, at a modest premium to book value, in line with a strategy to exit non-core markets.

 

International Consolidated Airlines Group reported increased profits amid rising passenger numbers for the nine months through September even as rising fuel costs and adverse currency movements weighed on performance. For the nine months to 30 September, profit before tax rose 7.6% to €2.45bn and total revenue rose 5.1% €18.35bn.

 

Royal Bank of Scotland posted a rise in third-quarter profit as it cut expenses, though margins were pressured by competition in the mortgage market and it also announced £160m of impairment charges. For the three months through September, the bank’s bottom line profit grew 14% to £448m on-year, while its operating profit grew 10% to £961m.

 

Oil Prices fell and were heading for a third weekly loss, as Saudi Arabia warned of oversupply amid a slump in global equities and trade that cloud the fuel outlook for demand.

 

Gold Prices inched lower, with some investors taking advantage of a recent surge in prices to lock in profits.

Companies Reporting this week

Day Companies
Monday: Ryanair
Tuesday: Anglo American * Whitbread * Bunzl * St. James’s Place * Travis Perkins
Wednesday: Stobart * Barclays * Metro Bank * Antofagasta
Thursday: Debenhams * Lloyds * Relx * WPP * Evraz
Friday: Royal Bank of Scotland * Glencore * IAG Group

Early Market Movements

Market Index Change % Change
UK 100 6,943.5 -60.6 -0.9%
UK 250 18,434.5 -97.1 -0.5%
GER 30 11,188.0 -119.2 -1.1%
FRA 40 4,975.8 -56.5 -1.1%
US 30 24,984.55 +401.13 +1.6%
US 500 2,705.57 +49.47 +1.9%
Oil (Crude) 76.37 -0.52 -0.7%
GOLD 1,232.00 -0.17 -0.0%

UK Risers & Fallers (8:15am)

Company Price Change % Change
IAG 600.2 +12.8 +2.2%
Mediclinic 345.05 +4.55 +1.3%
Just Group 85.4 +2 +2.4%
Royal Bank of Scotland 222.3 -12.2 -5.2%
Smurfit Kappa 2428 -84 -3.3%
Elementis 195.35 -7.65 -3.8%

Latest Broker Views

Company Broker Recommendation Price Target
WPP Deutsche Bank Hold 910.8 1160
Admiral Group HSBC Hold 1945 2070
Standard Chartered Goldman Sachs Conviction Buy List 525.3 935
Melrose Industries Goldman Sachs Conviction Buy List 157.85 240

Forthcoming Economic Data

Time/Date Previous Forecast Outcome
1.30pm: U.S. Advance GDP q/q 4.2% 3.3%
3.00pm: ECB President Draghi Speaks

 

 

Sources

 

 

https://www.theguardian.com/business/2018/oct/26/stock-markets-australia-asia-ftse-new-york

 

https://eu.usatoday.com/story/money/markets/2018/10/25/stocks-surge-solid-earnings/1764679002/

 

https://www.reuters.com/article/us-global-oil/oil-prices-fall-as-focus-switches-to-oversupply-idUSKCN1N005N

 

https://uk.reuters.com/article/global-precious/precious-gold-eases-off-highs-as-investors-lock-in-profits-idUKL3N1X5401

 

http://www.stockmarketwire.com/article/6182850/RBS-profit-up-14pct-in-third-quarter-though-competition-hurts-margins.html

http://www.stockmarketwire.com/article/6182879/IAGs-profits-lifted-by-uptick-in-passenger-numbers.html

 

https://www.londonstockexchange.com/exchange/news/alliance-news/detail/1540536913281140000.html

 

https://www.londonstockexchange.com/exchange/news/alliance-news/detail/1540535067421031000.html

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