UK Market Snapshot
UK markets finished mixed on Friday, with the FTSE 100 index closing lower weighed down by losses in banks, consumer goods and basic materials shares. Glencore slipped 0.8%, after the miner raised its bid by offering at least $225.0 million more than Yanzhou Coal Mining’s bid to acquire Australian coal assets from Rio Tinto, up 0.5%. Peers, Antofagasta, BHP Billiton and Anglo American dropped 0.3%, 0.4% and 0.6%, respectively. Lenders, Royal Bank of Scotland Group, Standard Chartered and Lloyds Banking Group declined 0.5% each. Pharmaceutical stocks, GlaxoSmithKline, AstraZeneca and Shire slid 0.8%, 1.9% and 2.3%, respectively. On the brighter side, ITV advanced 3.3%, following a broker upgrade on the stock to ‘Overweight’ from ‘Equal weight’. Precious metal miners, Randgold Resources and Fresnillo climbed 0.5% and 2.9%, respectively. The FTSE 100 declined 0.2%, to close at 7,424.1, while the FTSE 250 rose 0.1%, to settle at 19,685.1.
US Market Snapshot
US markets closed mostly higher on Friday, boosted by gains in technology and energy sector stocks. Synchronoss Technologies rallied 33.3%, after the company received an acquisition offer for $18.0 per share in cash from private-equity firm Siris Capital Group. Alphabet, Facebook and Microsoft advanced 0.9%, 1.1% and 1.4%, respectively. Energy giants, Chevron, Exxon Mobil and Chesapeake Energy added 0.5%, 0.6% and 1.6%, respectively, following gains in crude prices. Portola Pharmaceuticals surged 46.6%, after a report indicated that the drugmaker’s anticoagulant drug, Bevyxxa, was approved by the FDA. On the losing side, BlackBerry plummeted 12.2%, after the company posted lower than expected sales for the first quarter. Bed Bath & Beyond plunged 12.1%, after its results for the first quarter missed analyst expectations. The S&P 500 gained 0.2%, to settle at 2,438.3. The DJIA marginally shed to settle at 21,394.8, while the NASDAQ advanced 0.5%, to close at 6,265.3.
Europe Market Snapshot
Other European markets ended in negative territory on Friday, following losses in energy sector stocks. Additionally, the Euro-zone services PMI fell more than expected in June. Oil majors, Repsol, TOTAL and Eni slipped 0.4%, 0.5% and 0.6%, respectively. Unione di Banche Italiane declined 1.5%, after a report indicated that its CEO and 29 other people were asked to be sent to trial over alleged obstruction of regulators by the Italian prosecutors. German banks, Deutsche Bank and Commerzbank slid 0.9% and 1.5%, respectively. Allianz dropped 0.5%, amid news that it is planning to reduce 700 jobs in Germany over the next three years. The FTSEurofirst 300 index declined 0.3%, to close at 1,523.5. Among other European markets, the German DAX Xetra 30 slid 0.5%, to close at 12,733.4, while the French CAC-40 shed 0.3%, to settle at 5,266.1.
Asia Market Snapshot
Markets in Asia are trading higher this morning, following gains in technology stocks and stabilising commodity prices. In Japan, energy stocks, JXTG Holdings, Japan Petroleum Exploration and Inpex have advanced 0.4%, 1.2% and 1.6%, respectively, tracking gains in crude oil prices. Technology stocks, DeNA and Konami Holdings have added 0.5% and 1.4%, respectively. On the contrary, Toshiba has tumbled 5.3%, after the Tokyo Stock Exchange decided that the company’s stocks would be demoted to its second section from August. In Hong Kong, brokers, Haitong Securities and CITIC Securities have risen 0.8% and 1.6%, respectively. In South Korea, technology firms, NAVER, Samsung Electronics and SK Hynix have climbed 0.2%, 1.3% and 2.2%, respectively. The Nikkei 225 index is trading 0.1% higher at 20,157.4. The Hang Seng index is trading 0.4% up at 25,760.7, while the Kospi index is trading 0.4% higher at 2,387.8.
Key Corporate Announcements Today
AGMs
Amedeo Resources, Armadale Capital, BH Global Ltd. GBP Shares, Borders & Southern Petroleum, Curtis Banks Group, Edenville Energy, Exillon Energy, Galantas Gold Corp., Nostrum Oil & Gas, Phoenix Spree Deutschland Limited Shs NPV, PJSC RusHydro ADR, SEC S.P.A. (CDI), Surgical Innovations Group, Tethyan Resources, Tex Holdings, W Resources, Warpaint London
EGMs
Phoenix Spree Deutschland Limited Shs NPV
Final Dividend Payment Date
Andrews Sykes Group, Xaar, Zhejiang Expressway Co 'H' Shares
Interim Dividend Payment Date
Redefine International
Quarterly Payment Date
Royal Dutch Shell 'A', Royal Dutch Shell 'B'
Key Corporate Announcements for Tomorrow
AGMs
Augean, British American Inv Trust, Coretx Holdings, Defenx, Echo Energy, Gaming Realms, HydroDec Group, JZ Capital Partners Ltd, Mereo Biopharma Group, Nature Group, Regal Petroleum, RhythmOne, Sovereign Mines of Africa, Watchstone Group
Final Dividend Payment Date
Dillistone Group, Spire Healthcare Group, Worldpay Group
Special Ex-Dividend Payment Date
Trading Announcements
Debenhams, Petrofac Ltd., Public Power GDR SA (Reg S)
Key Economic News
Euro-zone composite PMI fell in June
Compared to a reading of 56.80 in the previous month the flash composite PMI recorded a drop to 55.70 in the Euro-zone, in June. Market anticipation was for composite PMI to ease to a level of 56.60.
Euro-zone manufacturing PMI surprisingly advanced in June
The flash manufacturing PMI rose unexpectedly to 57.30 in June, in the Euro-zone, compared to market expectations of a drop to 56.80. The manufacturing PMI had recorded a level of 57.00 in the previous month.
Euro-zone services PMI declined in June
Compared to a reading of 56.30 in the previous month the preliminary services PMI in the Euro-zone eased to 54.70 in June. Markets were expecting services PMI to drop to 56.10.
German manufacturing PMI dropped in June
In June, the preliminary manufacturing PMI recorded a drop to 59.30 in Germany, compared to a level of 59.50 in the previous month. Markets were expecting manufacturing PMI to drop to a level of 59.00.
German services PMI surprisingly slid in June
The flash services PMI recorded an unexpected drop to 53.70 in June, in Germany, lower than market expectations of a steady reading. Services PMI had recorded a reading of 55.40 in the prior month.
French manufacturing PMI advanced in June
In June, the flash manufacturing PMI rose to a level of 55.00 in France, compared to market expectations of an advance to a level of 54.00. In the prior month, manufacturing PMI had registered a level of 53.80.
French GDP advanced more than expected in 1Q 2017
On a YoY basis in 1Q 2017, the final gross domestic product (GDP) advanced 1.10% in France, more than market expectations for a rise of 1.00%. The preliminary figures had indicated a rise of 1.00%. GDP had advanced by a revised 1.20% in the prior quarter.
French GDP advanced more than expected in 1Q 2017
On a QoQ basis in France, the final GDP registered a rise of 0.50% in 1Q 2017, higher than market expectations for an advance of 0.40%. The preliminary figures had indicated a rise of 0.40%. GDP had registered a revised similar rise in the prior quarter.
French services PMI slid in June
In France, the flash services PMI fell to a level of 55.30 in June, compared to a level of 57.20 in the previous month. Market expectation was for services PMI to drop to 57.00.
Italian industrial sales eased in April
The seasonally adjusted industrial sales registered a drop of 0.50% in Italy on a monthly basis, in April. In the prior month, industrial sales had registered a revised rise of 0.40%.
Italian industrial orders fell in April
On a YoY basis, the non-seasonally adjusted industrial orders dropped 2.20% in April, in Italy. In the previous month, industrial orders had recorded a rise of 9.20%.
Italian industrial sales rose in April
The non-seasonally adjusted industrial sales advanced 4.00% on a YoY basis, in April, in Italy. Industrial sales had registered a rise of 7.20% in the previous month.
Italian industrial orders dropped in April
On a monthly basis, the seasonally adjusted industrial orders in Italy slid 0.70% in April. In the previous month, industrial orders had fallen by a revised 4.30%.
US Markit services PMI slid in June
The flash Markit services PMI in the US fell to a level of 53.00 in June, compared to a reading of 53.60 in the prior month. Market expectation was for Markit services PMI to fall to 53.50.
US Markit manufacturing PMI surprisingly dropped in June
The preliminary Markit manufacturing PMI eased unexpectedly to a level of 52.10 in the US, in June, compared to a level of 52.70 in the previous month. Markets were anticipating the Markit manufacturing PMI to climb to a level of 53.00.
US Markit composite PMI declined in June
The preliminary Markit composite PMI fell to a level of 53.00 in the US, in June. In the previous month, Markit composite PMI had registered a reading of 53.60.
Canadian CPI slid in May
In May, on a monthly basis, the seasonally adjusted consumer price index (CPI) in Canada registered a drop of 0.20%. In the prior month, CPI had advanced 0.50%.
Canadian CPI rose less than expected in May
The CPI registered a rise of 1.30% on an annual basis in Canada, in May, lower than market expectations for a rise of 1.50%. The CPI had climbed 1.60% in the previous month.
Canadian CPI advanced less than expected in May
In May, on a MoM basis, the CPI in Canada registered a rise of 0.10%, compared to a rise of 0.40% in the previous month. Market anticipation was for the CPI to advance 0.20%.
Japanese corporate service price index advanced as expected in May
In May, the corporate service price index recorded a rise of 0.70% on an annual basis in Japan, meeting market expectations. In the previous month, the corporate service price index had registered a revised rise of 0.80%.