Navigate

Market news round up, upgrades & downgrades courtesy of Cantor Index

19 Dec 2012
Cantor Opening Call
  • The FTSE is seen opening up around 10 points higher today
 
 
 
UK Corporate Announcements
  • Bunzl states that trading has been in line with the expectations and sees its operating margin in line with last year
  • Sportingbet states that trading in December has continued in line with the trends seen in November
  • Berendsen states that it has continued to trade in line with the forecasts
 
UK Market News
  • The FT details on how the UK plans to amend the 90 day consultation period required by firms to make large-scale redundancies, down to 45 days from April
  • The Times writes on how the US has suggested that the UK should stay in the EU, after seeing the ‘slide to an exit’ in recent months
  • The IEA states that coal could top oil as the world’s largest energy source within a decade if global policies are not amended
  • FTSE 100 Ex dividends (net): Burberry, BRBY, (8), United Utilities, UU/, 11.44
  • FTSE 250 Ex dividends (net): Betfair, BET, (4), Greene King, GNK, (7.15), Halfords, HFD, (8), Murray Income Trust, MUT, (7)
  • FTSE Small Share Ex dividends (net): BlackRock Commodities Income Investment Trust PLC, BRCI, (1.42875),  Carr’s Milling Industries PLC, CRM, (11.50),  Henderson High Income Trust PLC, HHI, (2.075),  JPMorgan Chinese Investment Trust PLC, JMC, (1.60),  JPMorgan Eur Smaller Companies Trust PLC, JESC, (6),  JPMorgan Global Emerging Markets Income Trust Plc, JEMI, (.90),  NCC Group PLC, NCC, (6),  Sportingbet PLC, SBT, (1.10)
 
FTSE 100 Movers
 
 
UK Analyst Upgrades
  • GKN Rated New Neutral at Nomura; PT 245p
  • Meggitt PLC PT Raised to 455p from 445p at RBC Capital
  • William Hill Raised To Overweight At Morgan Stanley
 
UK Analyst Cuts
  • BP PT Cut to 525p vs 550p at JPMorgan; Kept at Overweight
  • Interserve Cut To Add From Buy At Numis
 
UK Insider Buying
  • Legal & General Group Plc, (LGEN), 1 insider(s) bought 7780 shares, £1.45
European Market Summary
  • UBS today announces that it will pay 1.4bn Swiss francs to settle the Libor charges, with the FSA stating that it had significant failings in relation to both Libor and EURIBOR
  • Greece has had its rating lifted by S&P to B- from selective default as it cites the ‘strong determination’ of local governments to maintain the nation within the euro
  • French press details that local regulators are expected to require BNP Paribas and SocGen to ‘Wall Off’ their prop trading units
  • Axa has been downgraded by S&P to A-, citing the European economic outlook, but does leave it with a stable outlook
  • Portugal was due to sell 6 and 12 month bills today at 11:30, but this has been cancelled
 
Major US Stock Movers After Hours
  • Oracle announced Q2 numbers just ahead of the forecasts after hours
  • Rocky Mountain Chocolate gained 22% after hours as it receives an $13.50/share offer from PST Capital
 
S&P 500 Companies Reporting
  • Accenture PLC, Q1, 1.043,  Bed Bath & Beyond Inc, Q3, 1.018,  FedEx Corp, Q2, 1.408,  General Mills Inc, Q2, 0.787,  Jabil Circuit Inc, Q1, 0.564,  Paychex Inc, Q2, 0.406
 
US Market News
  • The US Justice Dept. states that it has reached a settlement with Penguin Group over its e-book case, but continues its actions against Apple and Macmillan in order to ‘prevent continues restrictions on price competition’
  • US House speaker Boehner has stated that he was switching to a ‘Plan B’ and that he would attempt to sell a tax increase plan to fellow Republicans
    ConocoPhillips announces it is selling its Algerian unit to Pertamina for $1.75bn
  • American Railcar Industries, owned by Carl Icahn has made another move for Greenbrier Cos, but the target company has stated that its $20/share bid, at just a 5% premium to the closing price ‘grossly undervalues’ the company, American Railcar already holds a 9.9% stake in Greenbrier
  • Bloomberg details that sources suggest that Knight Capital has chosen Getco as its favoured takeover partner, in a $3.75/share deal, two thirds cash
  • The S&P 500 so far is up 27% this year, the strongest yearly gain since the recovery in 2003, with the leading gainer Bank of America up over 100%
  • Moody’s has placed Alcoa’s outlook on review for downgrade, the rating is already at Baa3, so any cut would bring the mining giant down to junk status, after the recent slump in metals prices
  • SPX Corp is reportedly close to finalising a $4.2bn move for Gardner Denver
  • Online privacy continues to be a major issue as Instagram, owned by Facebook, is criticised by users as it amends its privacy policy to allow advertisers to buy users photo’s
 
Overnight Market News
  • The Nikkei crossed back above 10,000 for the first time since April, as the global markets continue to gain in the light trading conditions
  • Billabong came off 23% under the AUS$1.10 share offered by Sycamore Partners, after it lowers its earnings forecasts, prompting fears that Sycamore may look to cut the offer price
  • Samsung announces that it will no longer seek an injunction against Apple in Europe
 
Economic Data Due
  • 09:00 German December IFO, 102 exp. 101.4 previous
  • 09:30 UK Bank of England Minutes
  • 13:30 US November Housing Starts, 871k exp. 894k previous
 
Economic Events
  • WTO Trade Policy Review of US
 
US Housing Starts
Swen Lorenz: