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| UK 100 Leaders | Close | Chg | % Chg | % YTD |
| International Consolidated Airlines Group SA | 163.8 | 6.2 | 3.9 | 11.13 |
| IMI PLC | 943.5 | 32 | 3.5 | 24.14 |
| GKN PLC | 214 | 7 | 3.4 | 16.94 |
| Kazakhmys PLC | 780.5 | 20.5 | 2.7 | -15.8 |
| Evraz PLC | 258.9 | 6.3 | 2.5 | -30.9 |
| Rio Tinto PLC | 3260 | 76 | 2.4 | 4.32 |
| Eurasian Natural Resources Corporation PLC | 359.8 | 7.6 | 2.2 | -43.38 |
| Weir Group PLC | 1821 | 36 | 2 | -10.38 |
| UK 100 Laggards | Close | Chg | % Chg | % YTD |
| Fresnillo PLC | 1918 | -46 | -2.3 | 25.61 |
| Randgold Resources Ltd | 7570 | -175 | -2.3 | 14.96 |
| British Sky Broadcasting Group PLC | 733.5 | -16 | -2.1 | 0.14 |
| SABMiller PLC | 2599 | -55.5 | -2.1 | 14.67 |
| Capital Shopping Centres Group PLC | 333.4 | -6.1 | -1.8 | 6.76 |
| Bunzl PLC | 1082 | -17 | -1.5 | 22.4 |
| Barclays PLC | 240.7 | -3.7 | -1.5 | 36.72 |
| Royal Dutch Shell PLC | 2202 | -30.5 | -1.4 | -10.27 |
| Major World Indices | Mid/Close | Chg | % Chg | % YTD |
| UK UK 100 | 5917.05 | 6.14 | 0.1 | 6.19 |
| UK | 12071.3 | 25.42 | 0.21 | 19.48 |
| FR CAC 40 | 3535.18 | 7.68 | 0.22 | 11.88 |
| DE DAX 30 | 7437.23 | 42.68 | 0.58 | 26.09 |
| US DJ Industrial Average 30 | 13548.9 | -8.1 | -0.06 | 10.9 |
| US Nasdaq Composite 100 | 3072.87 | -31.25 | -1.01 | 17.95 |
| US S&P 500 | 1457.34 | -3.57 | -0.24 | 15.88 |
| JP Nikkei 225 | 9002.68 | 19.82 | 0.22 | 6.47 |
| HK Hang Seng Index 48 | 21545.53 | 26.82 | 0.12 | 16.88 |
| AU S&P/ASX 200 | 4571.07 | 11.64 | 0.26 | 12.68 |
| Commodities & FX | Mid/Close | Chg | % Chg | % YTD |
| Crude Oil, US Light Sweet ($/barrel) | 91.975 | -0.095 | -0.1 | -7.1 |
| Crude Oil, Brent ($/barrel) | 112.335 | -0.245 | -0.22 | 4.6 |
| Gold ($/oz) | 1737.35 | -5.95 | -0.34 | 10.91 |
| Silver ($/oz) | 32.6475 | -0.2025 | -0.62 | 17.54 |
| Platinum ($/oz) | 1641.5 | -6.9 | -0.42 | 17.16 |
| GBP/USD – US$ per £ | 1.6039 | – | -0.11 | 3.28 |
| EUR/USD – US$ per € | 1.3065 | – | -0.03 | 0.86 |
| GBP/EUR – € per £ | 1.2277 | – | -0.07 | 2.33 |
Click graph to enlarge
See Live Macro Calendar for all data, incl. consensus expectations
UK 100 called to open -20pts, with that 5920-30 level we alluded to in our UK 100 Focus yesterday proving a bug bear, and after a quiet Asian session as consolidation takes place into weekend following reassuring Chinese macro data (GDP, industrial production, Retail Sales), strong gains of late and disappointing technology sector earnings results from the US.
Results from EU summit nothing to write home about with no ground-breaking decisions (we had been prepared for that) on peripheral strugglers, but leaders have committed to getting legal framework for banking union in placed by end of year. Merkel reiterated bank recapitalisation requires banking supervision by ECB to be in place first (Q1 2013?), although topic of whether legacy assets for banks to be included (Germany and friends against) is be discussed in December.
It sounds like the waiting must continue. Are leaders hoping to deliver markets an early Christmas present (like the ECB in the summer), or are they hoping they can sneak out bad news on delays/gridlock on decisions during the traditional Santa rally?
Overnight, China’s macro data run dented by news that Foreign Direct Investment (FDI) had declined even more than expected, continuing its downward trend in September and reinforcing fears of Chinese slowdown. Note, however, MNI Flash Business Sentiment did edge up a touch. Elsewhere, Japanese data was uninspiring, while German Producer Prices (PPI) were in-line.
US markets benefited from strong Philly Fed and US Leading Indicators, but then saw a turnaround after disappointing results (big EPS miss, revenues light) from Google which were erroneously released early, while markets still open, seeing the shares go limit down and requiring suspension by Nasdaq and sentiment hitting other bourses, all closing shy of breakeven. Microsoft results also disappointed after the close, adding to the gloom from IBM and Intel earlier in the week.
In FX, GBP/USD has sold down sharply after the Google fiasco which led to a renewed bout of safe-haven seeking on fears of global slowdown. EUR/USD a bit weaker, with EUR strength on regional optimism trumping the USD strengthening. In commodities, Gold has traded back down towards its recent 1730 lows. Silver again following closely. US Crude Oil still in in its 7-day range, although recovered from overnight lows and still volatile. Brent Crude bounced overnight 8-day lows.
Today’s focus will be on US Existing Homes Sales after the strong housing data (start and permits) which we saw a couple of days ago and the proximity of the data to consumer sentiment. In the afternoon, the US earnings continue with big names McDonalds, General Electric, Honeywell & Baker Hughes.
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