Stock Report- ASX Market 13-04-12

Posted on April 13th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4322.90 42.26 1.0% 6.6%
S&P 500 1387.57 18.86 1.4% 10.3%
HANG SENG 20666.19 338.87 1.7% 12.1%
NIKEI 225 9637.99 113.20 1.2% 14.0%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4329 34 0.8% 7.7%
Emini 1381.50 4.5 -0.3% 10.3%
FTSE 100 5655 10 -0.2% 2.1%

Australian Market Wrap

Australian equities advanced, extending yesterday’s gains after North American and European markets climbed sharply overnight. Hence, the S&P/ASX 200 reached its highest level in five trading days this morning, before the market pared upside after Chinese industrial production and economic growth missed expectations. Nevertheless, China’s Shanghai Composite rose as much as 0.8 percent, extending this week’s advance to nearly 3 percent on expectations that the nation’s 8.1 percent growth in the first quarter has finally marked the bottom of a ‘soft landing’ cycle.

 

Materials rallied, with the sector continuing to attract fresh interest after commodities extended upside, reflecting a weaker Greenback. Metals & Miners – BHP Billiton (A$34.47, +1.7%), Fortescue (A$5.92, +4.2%), Newcrest (A$29.24, +0.9%), Rio Tinto (A$65.95, +2.3%) – were all well bid. Lynas (A$1.11, +7.8%) jumped after a Kuala Lumpur court rejected an attempt to review its rare earths refinery permit. Flinders Mines ($0.22, trading halt) remained in a halt after MMK’s motion to lift an injunction on the acquisition of Flinders was rejected by a Russian court.

 

Intrepid Mines (A$0.76, +11.8%) surged, leading the ASX 200 after Standard & Poor’s said that proposed mining regulations in Indonesia may not be implemented in full. Atlas (A$2.91, +3.9%) rose following news that the miner is planning another iron ore project in the Pilbara. Eldorado (A$13.79, +9.4%) surged after the Gold Miner unveiled plans to more than double production. Oil & Gas Producers – Aurora Oil & Gas (A$3.76, +1.3%), Santos (A$14.00, unch), Woodside (A$34.76, +1.6%) – were mixed as Brent Crude fell to session lows at $121.03/bbl.

 

Financials tracked the market, albeit with consolidation in some of the Major Banks – ANZ (A$22.98, unch), CBA (A$50.18, +0.8%), NAB (A$24.80, +0.9%), Westpac (A$22.12, +0.3%) – as rotation into resources remained the dominant trade. Macquarie (A$28.99, +2.8%) rallied as European periphery spreads further narrowed. Insurance Australia Group (A$3.45, +0.9%) was little changed after its 49 percent owned AmG insurance made a A$483 million acquisition of Kurnia Insurans Berhad. Finally, Telecom Corp of New Zealand (A$2.00, +1.0%) said that it secured a three year, NZ$600 million credit facility.

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Stock Report- ASX Market 22-03-12

Posted on March 23rd, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4269.70 3.98 -0.1% 5.3%
S&P 500 1392.78 10.11 -0.7% 10.7%
HANG SENG 20695.11 206.45 -1.0% 12.3%
NIKEI 225 10030.00 97.08 -1.0% 18.6%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4285 10 -0.2% 6.6%
Emini 1391.00 2 0.1% 11.1%
FTSE 100 5814 20.5 0.4% 5.0%

Australian Market Wrap

Australian Equities pared morning losses, with the S&P/ASX 200 ending little changed after touching a ten day low at 4,238 this morning. Asian Markets otherwise traded lower, driven by renewed Chinese growth fears. The Aussie Dollar climbed of early morning lows at US$1.0337, but encountered resistance at US$1.04. Separately, Federal Reserve President James Bullard said US monetary policy may be at ‘turning point.’ US stock futures are modestly higher, while Spot Gold is little changed at $1645/oz.

 

QR National (A$3.77, -3.1%) fell after cutting full year EBIT guidance to the range on $540 to $580 million from $578 million. An Analyst consistently stated that the stock’s multiples are too high. She maintains her UNDERPERFORM recommendation. In other news, Roc Oil (A$0.43, -2.3%) withdrew from offshore exploration in the Taranaki Basin, New Zealand. Finally, WDS (A$0.66, -2.9%) suspended operations on one of its mining projects at the request of a client.

 

Materials declined as peers were sold off in overnight sessions. Hence, Metals & Miners – BHP (A$34.40, -1.1%), Fortescue (A$6.00, – 1.3%), Iluka (A$16.90, -3.2%), Rio (A$63.70, -1.5%) – booked losses. Resolute Mining (A$1.79, -5.8%) dropped amid a coup in Mali, despite assuring that its gold producing operations in the country have not been affected. African tensions continued as Zimbabwe accepted a proposal to hand control of Aquarius Platinum (A$2.32, -3.3%) Mimosa mine to the state. Woodside (A$35.37, +1.4%) announced that its Pluto LNG Project is ready for start up status and said that first gas entered the processing train late this afternoon.

 

Financials rose as Westpac (A$21.37, +0.4%) led the sector after it closed its offer for convertible preference shares and additionally increased its offering from $1 billion to $1.19 billion. ANZ (A$22.74, +0.4%) and Commonwealth Bank (A$49.16, +0.3%) rose, while NAB (A$24.35, -0.4%) trailed. QBE (A$14.40, +3.6%) also booked solid gains. In other news, AGL (A$14.83, +1.6%) acquired the development rights for the Silverton Wind Farm. Leighton (A$23.12, +0.4%) confirmed AFR reports that it has been in negotiations with Fortescue to undertake contract mining work worth $3.6 billion.

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Stock Report- ASX Market 14-03-12

Posted on March 14th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4287.20 39.58 0.9% 5.7%
S&P 500 1395.95 24.86 1.8% 11.0%
HANG SENG 21593.94 254.24 1.2% 17.1%
NIKEI 225 10089.03 189.95 1.9% 19.3%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4290 40 0.9% 6.7%
Emini 1395.00 1.25 -0.1% 11.4%
FTSE 100 5991 38.5 0.6% 8.2%

Australian Market Wrap

Australian Equities climbed, supported by strong offshore leads as the Dow Jones Industrial Average rose to its highest level since 2007 on improving US retail outlook and a bullish outlook from the Fed. Asian markets were also boosted as the Japan’s NIKKEI 225 recrossed 10,000 and South Korea’s KOSPI hit a 7-month intraday high. The Aussie Dollar weakened as the Greenback extended gains. Volumes came in at just under A$4.5 billion.

 

Materials gained as Metals & Miners – Iluka (A$17.06, +3.1%), Rio Tinto (A$65.30, +1.5%) – rose while Newcrest (A$31.30, -1.8%) fell as gold underperformed. Fortescue Metals (A$5.83, +1.0%) launched a high-yield bond offering for US$1 billion of Senior Unsecured Notes for a 155Mtpa expansion to triple its iron ore output. BHP (A$35.61, +1.3%) joint venture partner Tap Oil (A$0.82, +1.2%) said it suspended operations at its Tallaganda-1, while Woodside (A$35.59, -0.9%) halted production at four oil fields off the northwest coast of Western Australia; both because of Tropical Cyclone Lua.

 

Carsales.Com (A$5.28, +2.1%) acquired a 15 per cent stake in New Zealand-based online retailer Torpedo7 for A$7.2 million. Meanwhile, Pharmaxis (A$1.18, +8.8%) climbed after a panel recommended that the Australian government subsidize the cost of its Bronchitol cystic fibrosis treatment. Finally, Sigma Pharmaceuticals (A$0.565, +1.8%)
said it has been notified that the National Union of Workers intends to take further industrial action at its distribution centre in Victoria.

 

Financials rose as Major Banks – ANZ (A$22.30, +0.9%), Commonwealth Bank (A$48.80, +0.9%), NAB (A$23.86, +0.8%), Westpac (A$20.90, +0.8%) – closed higher. Stockland (A$3.16, +2.9%) gained after it doubled its on-market buyback to up to 10 per cent of issued capital. The buyback is being funded through an ongoing asset divestment program, including today’s sale of a 55 per cent stake in the Moorebank Industrial Property Trust for A$123 million to Qube Logistics (A$1.71, -0.3%). Meanwhile, the AFL and NRL have asked a federal appeals court to overturn a ruling that allows SingTel (A$2.34, -0.4%) owned Optus to broadcast sporting events over its “TV Now” service.

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Stock Report- ASX Market 06-03-12

Posted on March 6th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4204.70 58.27 -1.4% 3.7%
S&P 500 1364.33 5.30 -0.4% 8.5%
HANG SENG 20926.49 338.82 -1.6% 13.5%
NIKEI 225 9616.34 82.25 -0.8% 13.7%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4205 63 -1.5% 4.6%
Emini 1360.50 4 -0.3% 8.6%
FTSE 100 5848 13.5 -0.2% 5.6%

Australian Market Wrap

Australian Equities extended losses, with the S&P/ASX 200 finishing at an eleven-day low after slower growth forecasts from China and weak data on US factory orders soured global markets. The Aussie Dollar fell sharply against the Greenback, hitting daily lows at US$1.0604 after the Reserve Bank left rates unchanged, but said that the outlook for inflation provides scope for easing if needed. The central bank also said “most information on the Australian economy continues to suggest growth is close to trend overall.” Volumes were heavier after A$4.9 billion traded.

 

Materials underperformed as Major Miners – BHP Billiton (A$34.58, – 2.3%), Fortescue Metals (A$5.53, -2.1%), Newcrest (A$31.82, -2.1%), Rio Tinto (A$63.62, -2.3%) – followed metal prices lower today. Iron Ore Plays – Atlas (A$3.08, -2.8%) Gindalbie (A$0.62, -6.1%), Mount Gibson (A$1.195, -4.8%) – were also offered. Separately, Kagara (A$0.31, unch) did not resume trade after the company cut its copperm and zinc output guidance and booked a first half loss of A$48.9 million.m Bluescope (A$0.395, +1.3%) will start a 8.8 billion rupee coated steel plant in India as part of its equal venture with Tata Steel.

 

Financials followed the trend, with Major Banks – ANZ (A$22.09, – 0.5%), Commonwealth Bank (A$48.58, -1.0%), National Australia Bankm (A$23.48, -0.2%), Westpac (A$20.56, -1.0%) – hitting session lows after the statement on monetary policy. QBE (A$11.82, -0.3%) said it’s in the “final stages of negotiations” of bolt-on acquisitions, while a major broker upgraded its price target. BBY Analyst Brett Le Mesurier has an UNDERPERFORM recommendation on the stock. Westfield (A$8.69, – 2.7%) is reportedly in talks to become a partner in a south London shopping centre that includes 167 shops.

 

Gloucester Coal (A$8.15, -3.7%) closed lower after the coal producer recommended its stockholders accept an amended A$2.05 billion takeover offer by Yanzhou Coal Mining. The cash and stock deal values the company at about A$10.11/sh. In other acquisition news, Flinders Mines (A$0.30, unch) said MMK’s proposed A$554 million takeover has been approved by FIRB. Buru Energy (A$2.65, +13.7%) surged to a record, before paring its advance after the company said it’s not aware of information concerning it in response to a price query.

 

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Stock Report- ASX Market 10-02-12

Posted on February 10th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4245.30  37.57 -0.9% 4.7%
S&P 500 1351.95 1.99 0.1% 7.5%
HANG SENG 20888.68 121.33 -0.6% 13.3%
NIKEI 225 8979.53 22.71 -0.3% 6.2%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4213  42 -1.0% 4.8%
Emini 1342.25  6 -0.4% 7.2%
FTSE 100 5840  9 -0.2% 5.5%

Australian Market Wrap

Australian Equities declined, with the S&P/ASX 200 finishing on session lows after European leaders held back aid for debt-laden Greece until the state holds a parliamentary vote to implement austerity measures. The news offset optimism this morning, which drove the Euro to an eight-week high against the US Dollar, after Greek political leaders said they reached an agreement on the underlying details of the nation’s budget. In Asia, China’s Shanghai Composite rose as much as 0.8 percent after the nation’s trade surplus rose to a six month high of $27.3 billion.

Materials were the laggard, led by Arafura Resources (A$0.385, – 17.2%) after it reduced the rate of work at its Nolans Project, pending additional funding. Integra (A$0.60, -0.8%) intersected further high-grade mineralisation at its Imperial prospect. Rio Tinto (A$69.98, -2.3%) reported a second half loss of A$1.76 billion after writing off another A$8.9 billion from Alcan. Aquarius Platinum (A$2.33, -3.7%) fell after it too reported a first half loss of $113.5 million after production at its South African mines was hit by regulatory stoppages. Mount Gibson Iron (A$1.35, -3.6%) saw its profits decline on lower production.

Transfield Services (A$2.20, +12.0%) led the market higher despite reporting that annual profit will come in at the lower end of guidance of A$130 million to A$135 million, but is above consensus of A$111.5 million. Newcrest (A$34.01, +1.7%) was the day’s other winner after first-half profits rose 50 per cent to A$659 million, a new record. Among other gainers Ten Network (A$0.90, +1.1%) appointed Lachlan Murdoch, son of Rupert Murdoch, as Chairman.

Financials fluctuated as NAB (A$22.94, -0.3%), Commonwealth Bank (A$49.88, -1.1%) and Westpac (A$20.85, -1.1%) finished lower. ANZ (A$21.42, -0.9%) lifted its standard variable rate by 0.06 per cent to 7.36 per cent and cut its three-year fixed rate home loan by 0.15 per cent to 5.99 per cent. The bank cited intense pressure on funding margins. In other news Leighton (A$23.85, -2.5%) was awarded a A$220 million construction contract following near daily awards this week. Finally James Hardie Industries Se (A$7.22, – 2.8%) is due to receive A$300 million from the Australian tax Office after the High Court denied the latter’s appeal application.

 

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Stock Report- ASX Market 09-02-12

Posted on February 9th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4282.50  8.20 -0.2% 5.6%
S&P 500 1349.96 2.91 0.2% 7.3%
HANG SENG 20910.52 107.94 -0.5% 13.4%
NIKEI 225 9007.23 8.36 -0.1% 6.5%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4246  11 -0.3% 5.6%
Emini 1346.25  0.75 -0.1% 7.5%
FTSE 100 5852  23.5 0.4% 5.7%

Australian Market Wrap

Australian Equities lost ground as China reported inflation data that came in above expectations, while Greek Prime Minister Lucas Papademos failed to obtain a full agreement from his coalition supporters on measures needed for a second aid package this morning. Hence, the S&P/ASX 200 extended losses after the open, but found a base at 4,290.7 early this afternoon on strong volume. 10-Year Bond Yields continued to climb, posting a 20 basis point rally to 4.03 percent since Tuesday’s RBA rate announcement.

Sims Metal Management (A$14.20, -6.9%) dropped after the company said it expects to write off goodwill of a A$614 million. Aston Resources (A$9.62, +3.1%) finalised a contract with interim CEO Peter Kane. Workers at the Port Kembla terminal operated by BHP (A$37.16, -1.6%) announced rolling strikes until February 19. Oil & Gas Producers – Aurora Oil & Gas (A$3.17, +5.7%), Santos (A$14.06, +0.4%), AWE (A$1.645, +1.5%) – climbed as March Crude topped $100/bbl on its highs last night. Woodside Petroleum (A$35.58, +1.0%) also rose as Japan’s Mitsui & Co. and Taiwan’s CPC Corp. expressed interest in the Browse Basin. Rio Tinto (A$71.60, -0.2%) will release its results after market.

Telstra (A$3.37, -2.0%) said profits rose 23 per cent to A$1.47 billion, in line with expectations. The Telco confirmed that it expects to pay a 28 cent per share dividend in FY12. Major Banks – ANZ (A$21.62, +0.0%), Commonwealth Bank (A$50.41, +0.2%), National Australia Bank (A$23.00, +0.3%), Westpac (A$21.08, +0.9%) – were little changed, while Macquarie (A$26.86, +0.6%) pared its advance after Fitch placed it on credit watch negative. Flexigroup (A$2.15, -2.7%) reported first-half earnings of A$28.2 million, which was in line with guidance.

News (A$18.91, +0.9%) advanced after its profit and revenue both beat consensus estimates during the second quarter. The media giant highlighted strength in its cable, television, and film segments. In other news, Impedimed (A$0.505, -4.7%) expanded US coverage of its L-Dex medical device. TABCORP (A$2.91, +1.7%) rose after first-half profits from continuing operations climbed 14 per cent to A$189.3 million. Stockland (A$3.21, -1.8%), however, said first-half profits fell 28 per cent. on slowing property development

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Stock Report- ASX Market 07-02-12

Posted on February 7th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4274.20  21.78 -0.5% 5.4%
S&P 500 1344.33 0.57 0.0% 6.9%
HANG SENG 20677.11 32.83 -0.2% 12.2%
NIKEI 225 8896.45 32.75 -0.4% 5.2%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4239  17 -0.4% 5.5%
Emini 1338.50  0.5 0.0% 6.9%
FTSE 100 5851  5.5 0.1% 5.7%

Australian Market Wrap

Australian Equities climbed from the open, but dropped sharply after the RBA unexpectedly left rates unchanged at 4.25 per cent. Most economists expected a 25 bps cut. The Aussie Dollar surged on the news, hitting a six-month high of US$1.0811, compared with US$1.0705 before the decision. Volumes were relatively strong.

Materials dipped with the market. BHP Billiton (A$37.90,-0.8%) saw workers at its Bowen Basin mines in Queensland vote to resume industrial action after failing to reach an agreement with the miner. Imx Resources (A$0.285, +3.6%) announced that high grade concentrate is achievable at its Tomahawk iron ore prospect, with the intent of producing a premium iron product. Bradken (A$7.83, – 2.7%) saw its first half sales revenue up 28 per cent, despite a 2 cent reduction in EPS.

Financials were the laggard as Major Banks – ANZ (A$21.36, +0.1%), Commonwealth Bank (A$50.51, -0.6%), Westpac (A$20.92, -0.5%) – were sold off. National Australia Bank (A$23.21, -4.0%) posted first quarter net profit of A$1.6 billion and total cash earnings of A$1.4 billion, up 8 per cent on the year. Macquarie (A$25.90, -0.8%) forecast a 25 per cent fall in annual profit on notably weak performance of its securities and advisory businesses. The bank announced it would buy back up to 10 percent of its shares in the first half of the 2013 financial year.

Cochlear (A$62.52, +7.6%) exceeded expectations after reporting a first half net loss of A$20.4 million due to its recall of the Nucleus CI500 hearing device. Leighton (A$24.66, +1.7%) was awarded a six-year A$1 billion contract by Oz Minerals (A$11.28, unch) to extend mining operations at the latter’s prominent Hill mine in South Australia. Reckon (A$2.35, -1.7%) announced full year results with revenue up 1 per cent to A$91.3 million. Finally Transurban (A$5.49, -0.5%) recorded a 25 per cent rise in first half profits to A$93.2 million, driven by increased toll revenue and lower costs.

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Stock Report- ASX Market 06-02-12

Posted on February 6th, 2012 admin No Comments
Equity Indices Close Change mvt mvt YTD
ASX 200 4296.00  44.83 1.1% 5.9%
S&P 500 1344.90  19.36 1.5% 6.9%
HANG SENG 20862.18  105.20 0.5% 13.2%
NIKEI 225 8931.70  99.77 5.6% 4.5%

 

Equity Futures Last Change mvt mvt YTD
SPI 200 4260  38 0.9% 6.0%
Emini 1335.00  4 -0.3% 6.6%
FTSE 100 5862  6 0.1%  5.9%

Australian Market Wrap

Australian Equities rallied after the Dow Jones Industrial Average closed at its highest level since May 2008 after the US unemployment rate unexpectedly declined to 8.3 percent. Volumes were heavier locally as investors finally breathed a sigh of relief, albeit there was some consolidation after domestic retail sales declined in December, missing expectations for growth.

Materials led the charge as Metals & Miners – BHP Billiton (A$38.21, +1.6%), Fortescue Metals (A$5.36, +5.7%), Iluka Resources (A$18.15, +4.9%), Rio Tinto (A$72.30, +2.6%) – jumped. Orica (A$24.85, +2.5%) said it will resume the restart of its Kooragang Island ammonia plant tomorrow after repairing one of the facility’s compressors. Bathurst Resources (A$0.775, +9.2%) surged as large multiple lines of stock changed hands.

Iron Ore names rallied, led by Gindalbie Metals (A$0.685,+7.0%) and Fortescue Metals (A$5.36, +5.7%). Separately the former awarded a A$570 million services contract for its Karara Iron Ore Project to Downer EDI (A$3.79, +7.1%). Downer also benefited from a A$175 million government bailout of Reliance Rail. Panaust (A$3.73, +4.2%) announced that drilling increased mineralization at its Laotian projects. Meanwhile Beach Energy (A$1.595, +2.6%) discovered a new oil field at the Cooper Basin.

Financials followed, led by National Australia Bank (A$24.17,+1.8%) with the other Major Banks – ANZ (A$21.33, +1.0%), Commonwealth Bank (A$50.84, +0.5%), Westpac (A$21.03,+1.2%) – also climbing. Cardno (A$6.15, +2.7%) announced the acquisition of environmental services firm, ATC Associates, for US$106 million. IMF (Australia) (A$1.36, +3.8%) said it will investigate whether the operator of Brisbane’s Wivenhoe Dam made the Queensland floods worse. Macquarie (A$26.10, +4.4%) tracked overseas banks higher.

Perpetual (A$21.01, +3.8%) announced that Chief Executive Chris Ryan agreed to step down following a disagreement with the board, to be replaced by Geoff Lloyd. Finally Spotless (A$2.50, +2.9%) rose after it granted due diligence to Pacific Equity Partners, the company stated that it wants to “minimise disruption” despite PEP’s inability to meet its A$2.80 asking price.

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US Stock Trading Report 01-31-12

Posted on January 31st, 2012 admin No Comments
Indices Close Change Chg Pct
Dow Jones 12653.72 6.74 -0.1%
S&P 500 1313.02 3.31 -0.3%
NASDAQ 2811.94 4.61 -0.2%
SPI 200 4238 -7 -0.2%

US Equities climbed from session lows as the Dow Jones Industrial Average Industrial lost as much as 131 points before paring downside into the close following more supportive economic data. Volumes were rather light as conviction lacked amongst large accounts in the midst of ongoing Eurozone debt negations. Gold for April delivery hit $1718/oz, before regaining $1730/oz as the Dollar Index fluctuated, but still rose on the day. The Fed announced demand for business loans increased in the fourth quarter to a six-year high as economic growth accelerated.

European Equities dipped, with regional benchmarks falling the most in six weeks as 10-Year Portuguese Yields spiked more than 200 basis points to 17.39 percent. Hence, March Bunds advanced as much as 88 ticks, though overnight EURIBOR funding costs continued their recent trend lower. BNP Paribas ( 32.18, -7.1%) led losses in French Banks after President Nicolas Sarkozy announced he will unilaterally impose a financial-transaction tax. Hochtief ( 48.06, -5.8%) tipped after saying it expects to post a wider annual net loss of approximately 160 million.

Treasuries advanced, sending 5-Year Yields to a record low at 0.715 percent amid European rhetoric, while the spread between 2-Year and 10-Year narrowed to the least in six weeks on speculation that the Fed is willing to adjust its holdings to support the economy. Trading activity was fairly quiet with no real reaction to a mixed personal income report.

Financials declined as Bank of America ($7.07, -3.0%) sagged after Wall Street’s largest investment bank downgraded its recommendation citing higher execution risk for the firm. Citigroup ($30.23, -2.1%) was upgraded by the same firm who said there is a clearer path for the firm to return capital to stock holders. Morgan Stanley ($18.20, -1.9%) was upped to a ‘conviction buy.’ Oil & Gas Producers – Chevron ($103.41, – -0.5%), Exxon Mobil ($85.49, -0.4%) – followed Crude lower to $99/bbl.

In acquisition news, US Airways ($8.51, +4.0%) rose on reports that Delta ($10.77, +3.7%) may bid. The latter is also considering a buy out of recently defunct AMR ($0.70, +1.4%). Swiss-based ABB will acquire Thomson & Betts ($71.35, +23.1%) for $3.9 billion. Materials – Alcoa ($10.32, -1.1%), Cliffs ($72.10, -1.3%), Freeport ($46.1-, -0.1%) – fell.

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US Stock Trading Report 30-01-12

Posted on January 30th, 2012 admin No Comments
Indices Close Change Chg Pct
Dow Jones 12660.46 74.17 -0.6%
S&P 500 1316.33 2.10 -0.2%
NASDAQ 2816.55 11.27 0.4%
SPI 200 4255 5 0.1%

US Equities fluctuated, with the NASDAQ composite climbing at the expense of the Dow Jones Industrial

Average following slightly weaker data on the health of the economic growth, albeit a gauge of consumer

confidence climbed to a near one-year high. Nevertheless, the market succumbed to profit-taking on average

trading flow. The Dollar further weakened against the Euro, while a weekend news report said Greece and its

private creditors expect to complete debt-swap agreement this week. Spot Silver climbed within reach of

$34/oz, or a two-month high.

 

European Equities declined as investors liquidated long positions on Gross Domestic Product data from

the US which came in a tad weaker relative to expectations. BP (464.55p, -2.6%) slipped as a Judge ruled that

it can’t collect part of the cleanup costs for the Gulf of Mexico oil spill from Transocean (CHF 43.83, +0.9%).

Regional Banks – Barclays (222.9p, unch), BNP Paribas ( 34.64, -3.3%), Deutsche Bank ( 33.51, +0.4%), Unicredit

( 3.65, -4.5%) – closed with gains and losses, while the 3M EURIBOR OIS spread shrunk to its lowest level since October.

 

Treasuries advanced as the complex climbed into the close after the GDP breakdown came in softer-than-anticipated,

leaning heavily on inventory rebuilding. The long-end led the late-week upside, though the sector still underperformed

throughout the week as the belly led gains.

 

Financials were the leader as Commercial – Bank of America ($7.29, -0.1%), Citigroup ($30.87, +1.6%), JPMorgan

Chase ($37.21, -0.8%), Wells Fargo ($29.60, +1.9%) – and Investment Banks – Goldman’s ($111.77, +3.0%), Morgan

Stanley ($18.56, +2.0%) – were mixed, but still mostly showed upside. In earnings news, Ford ($12.21, -4.2%) fell after

its quarterly was short of expectations, despite reporting its most profitable year since 1998. P&G’s ($64.30, -0.8%)

profit fell 49 percent.

 

Chevron ($103.96, -2.5%) knocked 20 points from the Dow Jones as the Oil & Gas producer reported disappointing

earnings dude to rising spending and costs. Eastman Chemical ($50.41, +7.0%) said that it will buy Solutio

($27.52, +41.1%) for $3.38 billion to expand its presence in Asia Pacific. Materials – Alcoa ($10.43, +0.7%), Cliffs

($73.06, -2.8%), Freeport ($46.13, -0.9%), Newmont ($61.51, +1.8%) – also fluctuated.

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