FINANCIAL MARKET UPDATE 18/05/2017

The FTSE 100 is called to open 27 points lower at 7476
UK Gilt 10 Year Yield 1.066 Spot Gold $1259.06 -2.36 Brent Crude $52.17 -0.16

$ per £ 1.2952
€ per £ 1.1634
$ per € 1.1131

US stock indices suffered their worst trading day in eight months on Wednesday, as concern mounted that political turmoil in Washington could derail President Donald Trump's efforts to push through pro-growth policies. The Dow Jones Industrial Average Index closed down 372.82 points, or 1.78pc, at 20,606.93. Meanwhile, the S&P 500 fell 43.25 points, or 1.8pc, to 2,356.71, it's biggest drop sinc Sep 9. The Nasdaq was down 158.636 points, or 2.57pc, at 6,011.23. US stocked slumped on the back of reports which emerged on Tuesday night that Mr Trump asked the former FBI director, James Comey, to end an investigation into his former national security adviser, Michael Flynn. VIX CLOSED ABOVE 15 TO 15.07, HIGHEST INTRADAY SINCE APRIL.

PRESS COMMENTARY

Britain will “pay a price” for stopping the free movement of workers in Europe, Angela Merkel said yesterday as she warned of tit-for-tat measures in response to changes to consumer or environmental protections after Brexit, Times.

COMPANY NEWS

Cineworld Revenue Grows, on Track to Meet FY Expectations.

Land Securities Increases Dividend as Development Pays Off.

Inmarsat to Focus on Network Expansion Before Deals, CEO Says.

National Grid FY Adjusted Operating Profit Beats Est.

3i Group Total Returns Rise 93 Percent on Infrastructure Gains.

Experian PLC said fiscal 2017 pretax profit rose 11% and it would buy back $600 million worth of shares in the new fiscal year.

Cairn Energy Says Senegal SNE-6 Well Being Plugged, Abandoned.

Balfour Beatty PLC said trading is in line with expectations and that it continues to make good progress on its transformation program.

Thomas Cook 1H Revenue GBP2.99b.

Hargreaves Lansdown Has 4-Month Inflows; Chairman to StepDown.

ConocoPhillips Lowers 2Q Production Guidance on FCCL Sale.

Cisco Revenue Forecast Disappoints, Hurt by Networking Shift.

Greggs 19-Weeks Total Sales Up 7.5% vs 5.7% in Year Ago Period.

Bloomsbury Publishing PLC reported a 8.9% fall in pretax profit for fiscal 2017, which it cited to investments in its digital growth strategy and the end of its seven year Qatar Foundation contract.

Nedbank’s First-Quarter Revenue Growth Slower Than Expected.

Rank Group LFL Revenue Edges Up, FY Expectations Unchanged.

Royal Mail FY Adjusted EPS Beats Est.

Kraft Heinz said to have lined up tens of billions in financing from banks to help buy Colgate-Palmolive.

Abcam PLC said it was set to make its final performance-based payment to AxioMx Inc, which it acquired in November 2015.

Rio Tinto to Improve Payment Terms for Some Smaller Suppliers.

Dairy Crest FY Revenue Misses Est.

Facebook Inc. may be fined as soon as Thursday by the European Union for misleading regulators during a 2014 review of the WhatsApp messaging service takeover, a person familiar with the situation said.

Hedge Funds Creep Into Valeant Seeing Rebound That Eluded Ackman.

Burberry Group Plc reported earnings that beat estimates as cost-cutting and improving consumer trends in China shored up the company’s performance as it prepares for the arrival of a new chief executive officer.

Investec FY Net Income Rises to 487.1m Pounds vs 423.1m Pounds, raises Dividend to 23p Vs 21p. Source Quilter Cheviot

Wealth Management in Spain

Financial Market Update 16/05/2017

The FTSE 100 is called to open 2 points higher at 7456
UK Gilt 10 Year Yield 1.136 Spot Gold $1234.64 +4.11 Brent Crude $52.11 +0.16

$ per £ 1.2911
€ per £ 1.1743
$ per € 1.0996

U.S. stocks climbed after equities posted their first back-to-back drop in almost a month, as commodity prices staged an early advance and financial shares rallied. The S&P 500 Index rose 0.5 percent to 2,402.32, a fresh record and first close above 2,400. The Dow Jones Industrial Average climbed 0.4 percent to 20,981.94, shy of its March 1 high, while the Nasdaq Composite added 0.5 percent to a record 6,149.67. Nine of 11 S&P 500 industry groups higher. S&P 500 Financials up 0.8% on gains in all but one company; Navient (NAVI) and Charles Schwab (SCHW) add at least 2.3%. Energy shares up 0.6% as WTI oil adds 2.2%. Utility, real estate and telecom shares lag broader market. Volume 11% below 30-day average in S&P 500 at this time. VIX up to 10.4.

PRESS COMMENTARY

Sky News: Virgin Money withdraws Co-op Bank interest.

Global IPOs Up 121% in 2017, JP Morgan Leads, Snap Inc Biggest.

Ford Plans to Cut About 10% of Global Workforce, WSJ Reports.

COMPANY NEWS

Vodafone Group PLC set its sights on more profit gains in the current year after achieving its organic growth target for fiscal 2017 and raised its final dividend a share by 2% to 10.03 cents, up 2%, giving total dividends per share of 14.77 cents.

Inmarsat says its fourth high-speed broadband communications satellite in the Global Xpress constellation was launched successfully by SpaceX.

BHP Billiton CEO: Olympic Dam Expansion Plans Progressing Well.

Warren Buffett’s Berkshire Hathaway Inc. spent the first quarter fine-tuning its investments in airlines and technology companies, and retreating from 21st Century Fox Inc.

EasyJet 1H Revenue Misses Est.

Novo to Lose Money on Brexit When Current FX Hedge Ends: Borsen.

Cairn Homes to offer as many as 33.7m Shares. Goodbody and BofA/ Merrill Lynch are bookrunners and Davy is acting lead manager, bbg report terms as to be at least €1.54/shr.

Crest Nicholson Holdings PLC said it is on track to deliver 10% growth in revenue in fiscal 2017.

BTG FY Rev. Beats Estimates, Sees FY18 Rev. Rising.

OM Asset Management Prices 17.3m Shares at $14.55 Each. Source Quilter Cheviot

Wealth management in Spain

Financial Markets Update 28/04/2017

The FTSE 100 is called to open 8 points higher at 7245

UK Gilt 10 Year Yield 1.061 Spot Gold $1265.65 +1.27 Brent Crude $52.32+0.47

$ per £ 1.2903

€ per £ 1.1869

$ per € 1.0871

Asian equities retreated, trimming a fourth straight monthly gain for the regional benchmark index, as geopolitical concerns intensified and investors assessed corporate earnings before a report on growth in the world’s largest economy. The MSCI Asia Pacific Index dropped after climbing for six straight sessions. Results at Amazon.com Inc. and Alphabet Inc. buoyed Nasdaq futures. Crude climbed back above $49 a barrel after tumbling on concern over a supply glut. The yen strengthened, weighing on Tokyo shares. The euro held losses after the European Central Bank signaled its commitment to stimulus even as the region’s economy firms. Geopolitical concerns continued to loom over the markets.

Donald Trump said he sees the chance of a “major, major conflict” with North Korea over its nuclear program, though he prefers a diplomatic solution, according to an interview with Reuters.

PRESS COMMENTARY

The Trump administration unveiled what it called the biggest tax cuts “in history” on Wednesday, in a move that will simplify the US tax system, slash taxes, eliminate inheritance taxes and set the president on a collision course with Congress over the likely $2 trillion-plus cost of the proposal, Guardian.

COMPANY NEWS

Royal Bank of Scotland Group Plc reported a quarterly profit for the first time in more than a year as Chief Executive Officer Ross McEwan stepped up the pace of cost- cutting.

Barclays PLC said Friday that net profit fell by more than half in the first quarter of the year, as the U.K. bank took a write-down on the value of its African business.

Nomura Holdings Inc. is disposing of a stake in Standard Chartered Plc valued at almost $500 million through a stock sale to institutional investors Thursday, according to transaction terms.

Old Mutual PLC (OML.LN) said Friday its wealth management business has recorded 6% growth in first quarter funds under management and has appointed a new finance head.

UBS Group AG said Friday its net profit jumped during the first quarter, exceeding analyst expectations, buoyed by strong income growth in its investment-banking and wealth-management units.

Technology firm Laird PLC (LRD.LN) said Friday that its performance for the first quarter of the year was in line with its expectations and provides a solid start to 2017.

Renault CFO Delbos Sees Risk of Diesel Decline Going Forward. Renault saw no major impact of diesel decline in 1Q, CFO Clotilde Delbos says in conference call.

Linde AG, the German industrial gas company planning to combine with Praxair Inc., reported first-quarter profit that beat estimates and said orders rose at the engineering division even as demand for new plants remained sluggish.

Sanofi, the French drugmaker grappling with declining sales of its best-selling insulin for diabetes, warned things will get worse in the months ahead.

Zodiac Aerospace SA said Chief Executive Officer Olivier Zarrouati is ready to step down as the aircraft- seat maker pushes to seal a takeover by Safran SA, after a first-half loss revealed the extent of its troubles.

Rotork PLC (ROR.LN) said Friday that group order intake and revenue during the first quarter of the year increased 19.7% and 14.5% respectively, as a result of favorable exchange rates and the contribution from acquisitions. Source Quilter Cheviot

Wealth Management in Spain

Financial Market Update 27/04/2017

The FTSE 100 is called to open 27 points lower at 7261

UK Gilt 10 Year Yield 1.080 Spot Gold $1267.09 -2.19 Brent Crude $52.20 -0.17

$ per £ 1.2881

€ per £ 1.1814

$ per € 1.0903

Stock indexes wobbled between modest gains and losses Wednesday, as the White House unveiled broad outlines of its plan to slash tax rates but left many of the details to be determined. The S&P's 500 index slipped by 1.16 points, or less than 0.1 percent, to 2,387.45. The Dow Jones industrial average lost 21.03 points, or 0.1 percent, to 20,975.09. The Nasdaq composite slipped 0.27 points, or less than 0.1 percent, to 6,025.23. The Russell 2000 index of smaller-company stocks rose 8.35, or 0.6 percent, to 1,419.43.

PRESS COMMENTARY

The Trump administration unveiled what it called the biggest tax cuts “in history” on Wednesday, in a move that will simplify the US tax system, slash taxes, eliminate inheritance taxes and set the president on a collision course with Congress over the likely $2 trillion-plus cost of the proposal, Guardian.

 COMPANY NEWS

AstraZeneca Plc’s first-quarter profit jumped 4 percent, beating analysts’ estimates, as the company pared expenses amid declining sales of old blockbusters.

BASF SE reported its highest quarterly profit in close to five years, bolstered by recovering crude prices and demand for materials and chemicals used in car parts and construction.

WPP Plc said first-quarter revenue rose 17 percent as currency swings and acquisitions lifted sales, and said new-business momentum picked up.

Total SA posted a 56 percent increase in first-quarter profit, beating analysts’ estimates as crude prices rebounded and the French giant continued to cut costs while increasing oil and gas production.

DS Smith Says Volume Growth Has Been ’Good’.

Taylor Wimpey PLC said Thursday it is well positioned to achieve its medium term targets as strong customer demand helped lift its order book during the first quarter of the year.

Lloyds isn’t getting bruised by Brexit so far. Britain’s largest mortgage bank boosted its target for lending margins this year, even amid record-low U.K. interest rates introduced in the wake of the nation’s vote to leave the European Union.  

Cobham Says Expectations for Financial Year Remain Unchanged.

Nokia Oyj reported first-quarter sales that topped analysts’ estimates as a slump in wireless-network demand began to stabilize and the company reaped more revenue for its patents.

Schroders PLC reported a rise in first-quarter assets under management, adding the business has continued to perform well in the first three months of 2017.

Deutsche Bank AG’s John Cryan is keeping investors waiting for the return to growth he promised, as trading revenue at Europe’s largest investment bank trailed peers in the first quarter.

Weir Group IMS Solid, Triggers Slight Rise in Estimates: Goldman.

Meggitt Says 1Q Trading In Line With Expectations.

Vodafone Group PLC and Proximus have renewed their strategic partnership for Belgium and Luxembourg for a further five years, the U.K. telecom company said Thursday.

Hermes Q1 Sales Rise 13.5% to EUR1.35 Billion.

Persimmon PLC reported a strong start to calendar year 2017, with total forward sales revenue including legal completions in the year to date up by 11% from last year at 2.56 billion pounds ($3.30 billion).

Aggreko News Demand Surges; Stock Advanced 5.5%.

Countrywide PLC Thursday maintained its full year expectations as it reported that the company's performance during the first quarter of the year has been in line.

Travis Perkins Says Start to 2017 Is in Line With Expectations.

N Brown Adj. Pretax Profit Falls 8.7%; Gross Margin Drops.

Jardine Lloyd Thompson Group PLC said  it has made a good start to 2017 and the company remains confident of delivering organic revenue growth in line with historical rates, generating sustained year-on-year financial progress. Source Quilter Cheviot

Financial Advisors in Spain

Market update 25/04/2017

The FTSE 100 is called to open 88 points higher at 7202

UK Gilt 10 Year Yield 1.033 Spot Gold $1270.98 -13.49 Brent Crude $52.72 +0.39

$ per £ 1.2787

€ per £ 1.1786

$ per € 1.0848

A relief rally fueled by speculation that pro-growth centrist Emmanuel Macron will become France’s next president was marred by a selloff in Chinese shares. The euro jumped the most in a month while European equity futures soared after Macron and far-right nationalist Marine Le Pen won the first round of voting. The yen retreated and volatility ebbed, with gold dropping and 10-year Treasury yields climbing. U.S. stock-index futures rose and Japanese shares led Asian equity gains. Shanghai shares tumbled to the lowest since January amid heightened regulatory scrutiny. Investors have been anxiously viewing the French vote in the wake of last year’s Brexit referendum and Donald Trump’s victory in U.S. elections. The result, in which both establishment parties were eliminated, triggers a runoff on May 7 between two radically different visions of the country’s future. Le Pen, who wants to take France out of the euro and clamp down on immigration, has trailed Macron, a committed globalist, in almost every opinion poll for the runoff by a margin of some 20 percentage points.

PRESS COMMENTARY

• The Times: Europe’s highest court could still rule the City years after Brexit under plans being considered by the government in order to win a wider agreement on access to the single market.

Software AG Cut to Hold at HSBC, PT EU40

COMPANY NEWS

Philips 1Q Rev. Beats Est. Philips 1Q rev. EU5.7b, est. EU5.69b (range EU5.62b-EU5.8b).

Computacenter says trading update is published earlier due to co.’s performance in 1Q and the improved outlook for the full year.

LafargeHolcim Ltd. Chief Executive Officer Eric Olsen has resigned amid an investigation into payments the company made to keep a cement plant operating in war-torn Syria, funds that may have ended up in the hands of Islamic State.

Becton Dickinson to Buy C.R. Bard for $24 Billion. Becton will pay $317 per common share in cash and stock in a deal approved by board of both companies, according to statement on PRNewswire.

British Telecom has filed a criminal complaint with Italian prosecutors over an accounting scandal at its Italian unit, Reuters reports, citing the complaint it reviewed.

Interserve, the international support services and construction group, has won a £36.5 million contract to design and build a new secondary school in Caldicot, Monmouthshire, South Wales. Source Quilter Cheviot

Blacktower Group in Spain

MARKET UPDATE 20/04/2017

We´re back!
The FTSE 100 is called to open 4 points lower at 7110.UK Gilt 10 Year Yield 1.063 Spot Gold $1279.01 -1.19 Brent Crude $53.45 +0.17

$ per £ 1.2804 € per £ 1.1938 $ per € 1.0725

U.S. stocks ended the day lower as an early rally in financial companies reversed and as plunging crude oil prices sent energy shares lower. S&P 500 down 0.2% to 2,338.17. Dow Industrials closed down 119 points, or 0.6%, to 20,404.49. Financials slid 0.3% after gaining as much as 1%. Utilities, real estate and staples weakended as the 10-year Treasury yield jumped to 2.21% from 2.17%. Stock movers inc Up: Intuitive Surgical (ISRG), Lam Research (LRCX), Mettler-Toledo (MTD) and down: IBM (IBM), Textron (TXT), Archer-Daniels Midlands (ADM). VIX climbed to 14.9. About 6.6b shares traded hands on U.S. exchanges, roughly in line with the one-year average.

PRESS COMMENTARY

The International Monetary Fund has revised up its UK growth forecast for the second time in three months; the IMF said it now envisaged the British economy expanding by 2% in 2017, Guardian.

Soaring fee income from bond trading helped Morgan Stanley to beat expectations on Wall Street, Times

COMPANY NEWS

Unilever PLC reported stronger underlying sales for the first quarter, as it raised prices, while headline results were helped by currency volatility.

Sky PLC said additional costs relating to Premier League soccer and a weaker U.K. advertising market led to a 11% drop in adjusted operating profit for first nine months of fiscal 2017.

Publicis Groupe SA posted first-quarter sales that beat analysts’ expectations and forecast a return to growth in the second half as Chief Executive Officer Maurice Levy prepares to hand over to Arthur Sadoun in June.

Man Group PLC said strong fund inflows, positive investment performance and weakening of the dollar against certain other currencies has led to a sharp rise in quarterly funds under management, or FuM.

Debenhams Profit Meets Estimates; New Strategy Detailed.

Senior PLC said trading since January has been in line adding that it expects 2017's performance in line with its expectations.

Pershing Square to Repurchase Up to 5% of PSH Outstanding Shares.

Telecom Plus Says Customer, Service Numbers Grow; Raises Div.

Go-Ahead says 3Q trading in line with management expectations; full-year expectations for both bus and rail divisions unchanged from update given on Feb. 28.

Acacia Mining PLC reported Thursday 6% growth in first-quarter revenue to $234 million on increased production from its North Mara mine and a rise in gold prices.

John Laing Environmental Assets Group said it bought a wind farm for 22.7 million pounds ($28.5 million). Source Quilter Cheviot.

www.finance-spain.com

The FTSE 100 is called to open 15 points lower at 6768.

UK Gilt 10 Year Yield 1.4131 Spot Gold $1175.55 +2.18 Brent Crude $52.33 +4.83
...

$ per £ 1.2541
€ per £ 1.1805
$ per € 1.0622

U.S. stocks were mostly lower despite a strong performance by energy shares after OPEC members reached an agreement to cut petroleum production. The S&P 500 Index soared at the market’s open and surpassed it’s record high, but then retreated and was down 0.27 percent to 2,198.81. The Dow Jones Industrial Average also touched a record high before fading and was essentially flat at 19,123.58. The Nasdaq Composite Index fell more than 1 percent to 5,323.68. Earlier Tuesday, the Organization of Petroleum Exporting Countries reached an agreement to curtail oil supply by 1.2 million barrels, the first cut in eight years.
PRESS COMMENTARY
The UK’s latest insider trading trial was brought to an abrupt halt on Wednesday after a former business analyst at Logica and his next-door neighbour pleaded guilty, FT.
Barclays has been accused of providing “seriously incomplete” disclosure over its involvement in the Libor scandal, Times.
Oil prices surged as much as 10% to hit $52-a-barrel yesterday after the Opec cartel agreed to cut its production for the first time since 2008 in an attempt to address the global supply glut and lift prices; Opec said it would reduce output by 1.2 million barrels per day (bpd) to 32.5 million bpd from January for at least six months, Telegraph.
COMPANY NEWS
Glencore Plc, will reinstate its dividend next year and plans to pay out a minimum of $1 billion annually following a rebound in commodity prices and a reduction in its debt.
Grainger FY NAV/Share, Net Rental Income Grow; Raises Div.
Serco Group PLC said that trading in the second half of fiscal 2016 has been in line with its August guidance and that its expectations for fiscal 2017 remain unchanged.
Daily Mail & General Trust PLC recorded a 14.4% rise in fiscal 2016 pretax profit and said organic and M&A investments made over the past few years have started to bear fruit.
Anglo American PLC said it has sold 35 million shares in Exxaro Resources Ltd. (EXX.JO) at 87 South African rand each, raising ZAR3.0 billion ($215 million), as part of its continuing efforts to reduce debt. Source Quilter Cheviot
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