Highlights of the Day
Asian Markets
Asian stock markets were mixed following the lacklustre cues from Wall Street Friday amid worries about U.S.-Saudi Arabia tensions |
U.S. Markets
U.S. stocks closed mostly lower failing to defend early gains as weak housing data overshadowed solid corporate earnings. |
Today's News
Two top US central bank officials signalled a need for two or three more interest rate hikes over the current tightening cycle. Speaking on Saturday, Federal Reserve bank of Atlanta Fed President, Raphael Bostic, said “there’s still a couple more moves that are left.”
Ryanair booked an 9% fall in first half-profit after it was hurt by strike action, lower ticket pricing and higher fuel costs. Pre-tax profit for the six months through September fell to €1.32bn, even as revenue rose 8% to €4.79bn.
Lonmin said it has secured a new financing facility, while annual production was also “pleasing”. The new $200m metal purchase agreement is with Pangaea Investments Management Pty Ltd, an associate of Jiangxi Copper Co Ltd. Lonmin will make monthly deliveries of platinum and palladium to Pangaea over three years as part of the financing deal.
GlaxoSmithKline said a phase two study of its rheumatoid arthritis drug showed promising results. The drug, GSK3196165, is also known as GSK165 and was studied in a randomised controlled trial of 222 patients with moderate to severe forms of arthritis.
NMC Health upgraded its annual revenue and earnings guidance following ‘positive developments’ in the second half. Revenue for 2018 was now expected to grow by 24%, up from previous guidance of 22%, while Ebitda would come in at $480m, up from previous guidance of $465m.
BP said it has received UK regulatory approval to develop a new offshore oil and gas development near the Shetland Islands. The oil major explained the UK Oil & Gas Authority had approved its request to develop the 20 million barrels of oil equivalent Alligin project in the North Sea.
QinetiQ said it had agreed buy 85% of Inzpire Group, with an agreement to acquire the rest after two years, for a total of £23.5m. Inzpire, which provides operational training and mission systems for military customers in the UK and internationally, is expected to deliver £13.3m revenue and £2m of adjusted underlying earnings in the financial year to 31 August 2018.
Oil Prices rose as markets were expected to tighten once U.S. sanctions against Iran’s crude exports are implemented next month.
Gold Prices edged higher as the dollar eased and worries over rising political tensions slowing global economic growth lent support to the metal.
Companies Reporting this week
Day |
Companies |
Monday: |
Ryanair |
Tuesday: |
Anglo American * Whitbread * Bunzl * St. James’s Place * Travis Perkins |
Wednesday: |
Stobart * Barclays * Metro Bank |
Thursday: |
Debenhams * Lloyds * Relx * WPP * Evraz |
Friday: |
Royal Bank of Scotland * Glencore * IAG Group |
Early Market Movements
Market |
Index |
Change |
% Change |
UK 100 |
7,055.4 |
+5.6 |
+0.1% |
UK 250 |
18,798.9 |
+3.1 |
+0.0% |
GER 30 |
11,667.6 |
+113.8 |
+1.0% |
FRA 40 |
5,131.4 |
+46.8 |
+0.9% |
US 30 |
25,444.34 |
+64.89 |
+0.3% |
US 500 |
2,767.78 |
-1.00 |
-0.0% |
Oil (Crude) |
80.10 |
+0.32 |
+0.4% |
GOLD |
1,227.46 |
+0.97 |
+0.1% |
UK Risers & Fallers (8:15am)
Company |
Price |
Change |
% Change |
Fresnillo |
938.6 |
+51 |
+5.8% |
Easyjet |
1100 |
+32 |
+3% |
Kaz Minerals |
486.7 |
+17.7 |
+3.8% |
GVC Holdings |
942 |
-18 |
-1.9% |
Pearson |
864.8 |
-10 |
-1.1% |
Cairn Energy |
206.4 |
-7.8 |
-3.6% |
Latest Broker Views
Company |
Broker |
Recommendation |
Price |
Target |
London Stock Exchange |
Barclays |
Overweight |
4391 |
5000 |
British Land |
Credit Suisse |
Underperform |
585.4 |
620 |
Astrazeneca |
Deutsche Bank |
Buy |
5934 |
6500 |
Convatec |
HSBC |
Hold |
155.5 |
165 |
Forthcoming Economic Data
Time/Date |
Previous |
Forecast |
Outcome |
11.00am: German Buba Monthly Report |
– |
– |
– |
Sources
https://markets.businessinsider.com/news/stocks/asian-markets-mixed-chinese-stocks-rally-1027636435
https://www.marketwatch.com/story/dow-poised-to-jump-100-points-at-the-open-as-stock-market-aims-to-follow-china-rebound-2018-10-19
https://www.reuters.com/article/us-global-oil/oil-holds-steady-as-rising-u-s-rig-count-offsets-iran-sanctions-worries-idUSKCN1MW02C
https://uk.reuters.com/article/global-precious/precious-gold-gains-on-softer-dollar-geopolitical-concerns-idUKL3N1X21L0
http://www.stockmarketwire.com/article/6175446/NMC-Health-upgrades-annual-revenue-earnings-guidance.html
http://www.stockmarketwire.com/article/6175821/Ryanair-profit-slides-9pct-after-strikes-and-higher-fuel-costs-hurt-margins.html
https://www.londonstockexchange.com/exchange/news/alliance-news/detail/1540191715271986200.html
https://www.londonstockexchange.com/exchange/news/alliance-news/detail/1540191046431959700.html
https://www.londonstockexchange.com/exchange/news/alliance-news/detail/1540189577911856200.html
https://uk.webfg.com/news/m-a/qinetiq–3551275.html
https://uk.webfg.com/news/international-economic/atlanta-feds-kaplan-says-couple-more-hikes-left–3551126.html