Mrkts.19 Apr 2018 05:58
The lowest inflation rate (2.5%) in 12 months pushed London stocks up across the board helped by the £$ rate / Oils and by mid day was up 56. This was good news for household budgets, so a rate rise next month may not be a given though most are looking at a min 0.25% hike. Companies having a good day were the miners on better metal prices Evraz, Rio Tinto, Antofagasta & Glencore....all big $ earners along with other miners BHB and Anglo American. Top ftse loser was BATs. Outside the ftse CYBG (Bank) fell 6% after saying it will set aside £350m for miss- sold PP insurances and Intu Property fell on news Hammerson was pulling their bid for the shopping centre owner. Among the techs Mfocus was heading south on profit taking and doubts about its future strategy but Sage bounced on bargain hunting and recent falls overdone. By close the ftse was up 91 (7317) it's best rise since the 165 in early April the 250 up183 (20012), A/S gained 47 (4032) and S/c up 47 (5778) and Aim stood pat (1031). In N.Y. the Dow jumped 40 but soon ran into profit taking and was on the back foot throughout the session. Energy stocks were a feature on the rising oil price and among banks M.Stanley surged on strong Q1 nos. IBM got a battering down c.8% as investors did not like the one off tax gain that flattered recent Q1. IBM stock price has declined 16/20 times the day following Q1 results. Southwest fell on the blown engine resulting in the tragic death of a passenger.
That was its first casualty in 50 years of flying across the US. Weighed down by IBM fallout the Dow closed 38 lower (24748) but off session lows - the S&P eeked a small 2 points gain (2709) despite 6/11 sectors registering losses and the techs up 14 (7295) though falling back from 2pm to close.The nos: Oil $73.70 - Gold $ 1350 - Vix 15.60 - £$ 1.419 - £€ 1.147 - Bcon $7892 - Silv $17.20 - FF (+14) & DF (+52). G has some catching up to do today after a 'going nowhere' session yesterday or as some say a consolidation day....yea right! Given that oil has risen c.$6 since April 6 ($67) (think what that does to the bottom line!) & G was 179 -- id'a thunk G at 200+ would be nearer the mark! Still some consolation we aint gawn daaan, which we regularly did on any good news. Morning all.