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Telecom Egypt   11.48        GMC GROUP FOR INDUSTRIAL COMME   1.29        Modern Company For Water Proof   1.03        Ismailia Misr Poultry   2.45        El Arabia for Investment & Dev   0.34        Pioneers Holding   2.84        Ezz Steel   7.86        Egyptian Real Estate Group   6.85        Rakta Paper Manufacturing   4.39        Orascom Telecom Holding (OT)   3.92        Naeem Holding   0.19        Egyptian Iron & Steel   6.87        Northern Upper Egypt Developme   4.93        Canal Shipping Agencies   7.39        Misr Chemical Industries   5.65        United Arab Shipping   0.43        Egyptians Housing Development    1.94        Universal For Paper and Packag   4.94        Egyptian for Tourism Resorts   0.69        Upper Egypt Contracting   0.8        Egyptian Financial Group-Herme   7.42        Orascom Construction Industrie   240.82        Modern Shorouk Printing & Pack   7        Heliopolis Housing   21.65        Raya Holding For Technology An   4.57        United Housing & Development   8.93        International Agricultural Pro   2.1        Gulf Canadian Real Estate Inve   18.08        Alexandria Pharmaceuticals   45.71        Arab Cotton Ginning   2.46        Egyptian Chemical Industries (   7.26        National Real Estate Bank for    11.84        Six of October Development & I   15.03        National Development Bank   6.72        Oriental Weavers   20.66        Arab Gathering Investment   16.29        Egyptians Abroad for Investmen   2.75        Credit Agricole Egypt   9.04        Palm Hills Development Company   1.61        Remco for Touristic Villages C   2.13        Commercial International Bank    29.87        El Ezz Porcelain (Gemma)   1.9        Egyptian Starch & Glucose   5.4        Arab Real Estate Investment (A   0.41        South Valley Cement   3.12        Citadel Capital - Common Share   2.5        Ceramic & Porcelain   2.88        Rowad Tourism (Al Rowad)   5.05        Union National Bank - Egypt "    3.25        El Nasr Transformers (El Maco)   4.78        Egyptian Media Production City   2.31        GB AUTO   27        Sharkia National Food   3.78        Egyptian Transport (EGYTRANS)   7.85        El Kahera Housing   4.97        El Shams Housing & Urbanizatio   2.45        Egyptian Kuwaiti Holding   0.7        Cairo Poultry   8.32        ARAB POLVARA SPINNING & WEAVIN   2.11        Egyptian Financial & Industria   8        T M G Holding   4.03        Asek Company for Mining - Asco   10.66        Misr Hotels   27        Egyptian Electrical Cables   0.56        Medinet Nasr Housing   22.51        Mena Touristic & Real Estate I   1.21        ELSWEDY CABLES   18        Prime Holding   0.91        Al Arafa Investment And Consul   0.17        Alexandria Spinning & Weaving    0.74        Gharbia Islamic Housing Develo   8.41        General Company For Land Recla   16.6        Alexandria Cement   8.9        Arab Valves Company   0.94        Sidi Kerir Petrochemicals   12.4        TransOceans Tours   0.09        Egyptian for Developing Buildi   6.43        Egyptian Gulf Bank   1.24        Kafr El Zayat Pesticides   18.19        Faisal Islamic Bank of Egypt -   35.1        National company for maize pro   11.86        Delta Construction & Rebuildin   4.03        Zahraa Maadi Investment & Deve   48.25        Samad Misr -EGYFERT   3.52        Egypt for Poultry   1.41        Cairo Development and Investme   11.7        Cairo Pharmaceuticals   20.1        Maridive & oil services   0.9        Suez Canal Bank   3.75        Nile Pharmaceuticals   15.81        The Arab Dairy Products Co. AR   73.85        National Housing for Professio   14.39        El Ahli Investment and Develop   4.87        Egyptian Saudi Finance Bank   10.79        Ismailia National Food Industr   5.16        National Societe Generale Bank   25.52        Acrow Misr   19.16        Alexandria Mineral Oils Compan   63.63        Paper Middle East (Simo)   5.59        Egypt Aluminum   12.31        Giza General Contracting   13.12        Middle Egypt Flour Mills   5.82        Extracted Oils   0.6        Assiut Islamic Trading   4.56        Engineering Industries (ICON)   3.95        North Cairo Mills   15.3        Arab Pharmaceuticals   11.88        Grand Capital   5.38        El Ahram Co. For Printing And    10.68        Minapharm Pharmaceuticals   25.49        El Arabia Engineering Industri   13.52        El Nasr For Manufacturing Agri   9.71        Naeem portfolio and fund Manag   1.7        Faisal Islamic Bank of Egypt -   6.76        Natural Gas & Mining Project (   68.26        Housing & Development Bank   13.95        East Delta Flour Mills   31.5        Orascom Development Holding (A   3.22        Memphis Pharmaceuticals   11.12        Abou Kir Fertilizers   134.23        Delta Insurance   5        Cairo Investment & Real Estate   12.18        Cairo Oils & Soap   12.98        Egyptian Arabian (cmar) Securi   0.36        Egyptian Real Estate Group Bea   15.56        Alexandria Containers and good   85.51        Upper Egypt Flour Mills   45.78        Development & Engineering Cons   9.94        Sinai Cement   15.18        Medical Union Pharmaceuticals   28.01        Torah Cement   24.2        Alexandria New Medical Center   46.55        Export Development Bank of Egy   5.04        Egyptian Company for Mobile Se   92.02        Middle & West Delta Flour Mill   32.7        El Kahera El Watania Investmen   4.18        Mansourah Poultry   12.41        Delta Sugar   11.04        Misr Beni Suef Cement   41.21        Egyptian Satellites (NileSat)   6.14        Cairo Educational Services   17.75        Lecico Egypt   7.55        Sharm Dreams Co. for Tourism I   5.3        General Silos & Storage   10.77        Al Moasher for Programming and   0.66        UTOPIA   5.28        Arab Ceramics (Aracemco)   25.4        Barbary Investment Group ( BIG   0.98        


Money Markets - World

Amwal Al Ghad English - 2016-07-14 08:57:40
The S&P 500 and Dow U.S. stock indexes ended at fresh record highs on Wednesday even as a rally in U.S. and European shares lost much of its steam on a plunge in oil prices and caution ahead of corporate results. The S&P 500 ended at 2,152.43, a hair above Tuesday's close of 2.142.14, to notch its third consecutive record close. The Dow ended at 18,372.12, topping Tuesday's close of 18,347.67 to mark its second straight record close. In percentage terms, the S&P 500 ended nearly flat and the Dow was only slightly higher after a more than 4 percent plunge in oil prices hurt energy shares and investors awaited second-quarter corporate earnings. European shares dipped after four straight days of gains. The S&P energy index ended down 0.71 percent and the STOXX Europe 600 Oil & Gas index ended 1 percent lower. The U.S. government stunned the market with bearish oil inventory data that added to renewed concerns over a global glut. The benchmark S&P 500 hit 2,156.45 earlier on Wednesday, topping Tuesday's intraday record of 2,155.40, while the Dow hit 18,390.16 to top Tuesday's record intraday peak, the third straight day of such peaks for the S&P and the second for the Dow. Shares have advanced partly on the view that the U.S. economy is on solid footing and on the expectation that central banks in most developed economies will continue to keep interest rates at rock-bottom levels. Reduced political uncertainty in Britain and Japan have also buoyed shares. "Investors would rather see some concrete news as far as earnings and results before putting their money in at these levels," said Alan Lancz, president of investment advisory firm Alan B. Lancz & Associates Inc in Toledo, Ohio. MSCI's all-country world equity index was last up 0.91 point, or 0.22 percent, at 409.3. The Dow Jones industrial average ended up 24.45 points, or 0.13 percent, at 18,372.12. The S&P 500 closed up 0.29 point, or 0.01 percent, at 2,152.43. The Nasdaq Composite ended down 17.09 points, or 0.34 percent, at 5,005.73. [nL1N19Z1U3] Europe's broad FTSEurofirst 300 index closed 0.31 percent lower at 1,326.30. Brent crude settled down $2.21, or 4.56 percent, at $46.26 a barrel. U.S. crude settled down $2.05, or 4.38 percent, at $44.75. "A surprising build in gasoline in the peak of the U.S. driving season and a very large build in heating oil will set the tone for lower prices," said Tariq Zahir, a trader in crude oil spreads at Tyche Capital Advisors in New York. Safe-haven assets such as U.S. Treasuries, gold, and the Japanese yen rebounded after falling Tuesday. Benchmark 10-year Treasury yields were last at 1.473 percent after hitting a 1-1/2-week high of 1.531 percent on Tuesday as higher yields attracted buyers. The dollar was last down 0.27 percent at 104.41 yen , while spot gold recovered slightly from its lowest in nearly two weeks. More»
Amwal Al Ghad English - 2016-07-14 08:40:37
Europe’s stocks opened higher on Thursday after the U.K.'s new prime minister named her closest team of officials, removing more uncertainty about the country's political scene after the Brexit vote. The pan-European STOXX 600 was up 0.75 percent. European stocks closed mostly lower on Wednesday as the U.K. awaited new leader but Theresa May's appointment as the new prime minister came soon after in the early evening, after David Cameron tendered his resignation to the Queen. Later Wednesday evening, May announced her cabinet with a mixture of pro-EU and Brexit campaigners appointed to the top jobs. Former foreign secretary Philip Hammond replaced George Osborne as Chancellor (Hammond campaigned for Britain to stay in the EU) and Boris Johnson, former London mayor and prominent Brexit campaigner became foreign secretary – the appointment of the eccentric politician raising eyebrows and some laughs on social media site Twitter. Amber Rudd is the new home secretary and Michael Fallon is the new defence secretary; both were remain campaigners. Leave campaigner and long-time euroskeptic David Davis was appointed "Secretary of State for Exiting the EU." The Bank of England's Monetary Policy Committee could cut interest rates by 25 basis points to 0.25 percent on Thursday in order to prevent the U.K economy from deteriorating in the aftermath of the vote. Meanwhile, Asian markets traded mixed early Thursday, taking cues from U.S. stocks which closed near the flatline but still managed to make it further into record territory. The Dow Jones industrial average closed about 24 points higher, at an all-time high, and notching a four-day winning streak. More»
Amwal Al Ghad English - 2016-07-14 08:22:50
U.K. stocks traded higher on Thursday, with broad-based gains arriving ahead of what could be the first interest-rate cut by the Bank of England in seven years. The FTSE 100 jumped 1% to 6,733.28. All sectors traded higher, led by mining, oil and gas and financial shares. Investors will cast an eye toward Bank of England policy makers, who will release their policy decision at 12 p.m. London time, or 7 a.m. Eastern Time. Markets have overwhelmingly priced in the likelihood that the bank, led by Gov. Mark Carney, will cut the benchmark rate to a record low 0.25% from 0.5%. The bank last cut its key rate in March 2009 and it’s been held at 0.5% since then. Among banking shares, Lloyds Banking Group PLC Barclays PLC rose 1.2% and Royal Bank of Scotland PLC climbed 1.5%. Meanwhile, the pound was buying $1.3222 compared with $1.3202 late Wednesday. The midcap FTSE 250 gained 0.7% to 16,861.63. Carney recently alluded to monetary easing this summer as policy makers see a “challenging” outlook for the British economy as it faces exiting the European Union. On Wednesday, Britain’s new Prime Minister Theresa May appointed some new cabinet members, including naming Philip Hammond as the new Treasury chief and David Davis, who will be in charge of Brexit negotiations with Europe. With some clarity on the new government lineup, “I would be keen to see that the Monetary Policy Committee takes no action ... so that they and the government have time to more fully assess the situation in the coming months — this is what the investment community needs right now,” said Michelle McGrade, chief investment officer at TD Direct Investing, in a note late Wednesday. Carney “has cautioned that zero and negative interest rates would not be good for banks, and with the Bank of England also being the regulator of the banking industry, it has a duty to ensure that banks remain in a healthy state,” McGrade said, adding that other stimulus measures the government could enact “may be more effective,” than a rate cut. More»
Amwal Al Ghad English - 2016-07-14 07:25:09
U.S. stocks ticked up on Wednesday, just enough for the S&P 500 and Dow industrials to set record highs, with investors expecting upbeat earnings to keep the rally going. Following three days of strong gains on the back of economic data, focus has turned to Thursday's meeting at the Bank of England, expected to turn to quantitative easing as it tries to shield the economy from the fallout of Britain's vote last month to leave the European Union. Continued support from monetary policies across the developed world and strong economic data in the United States have given investors a reason to bid growth-sensitive sectors of the stock market. This turn to cyclical stocks could help take the rally beyond the current record highs. "The bias is to extend the current rally mainly because (U.S. economic) data that we've gotten so far has been supportive," said Brian Jacobsen, chief portfolio strategist at Wells Fargo Funds Management in Menomonee Falls, Wisconsin. He said the BOE and bank earnings will take the focus this week and the sectors more likely to post revenue surprises during the current earnings season are consumer discretionary, healthcare, industrials and materials. "New records came just before we started earnings and strong earnings are going to be essential. Fundamentals are going to be the basis for the market to move forward." While second-quarter earnings of S&P 500 companies are currently expected to fall 5 percent, the typical beat would indicate the first quarter marked a bottom for the earnings contraction. Most on Wall Street expect growth to resume in the second half of the year. The Dow Jones industrial average rose 24.45 points, or 0.13 percent, to 18,372.12; the S&P 500 ticked up 0.29 points, or 0.01 percent, to 2,152.43 and the Nasdaq Composite fell 17.09 points, or 0.34 percent, to 5,005.73. The S&P and Dow closed at record highs. It was the more defensive sectors that buoyed the S&P 500 after having lagged over the past few days. Telecoms, utilities and consumer staples were the top percentage gainers. The S&P 500 energy sector dropped 0.7 percent after leading the market on Tuesday, as a steep rally in crude futures prices reversed almost fully. Declining issues outnumbered advancing ones on the NYSE by a 1.15-to-1 ratio; on Nasdaq, a 1.41-to-1 ratio favored decliners. The S&P 500 posted 54 new 52-week highs and no new lows; the Nasdaq Composite recorded 124 new highs and 14 new lows. About 6.5 billion shares changed hands in U.S. exchanges, below the 7.86 billion daily average over the past 20 sessions. More»
Amwal Al Ghad English - 2016-07-14 07:08:15
Asian shares hovered near eight-month highs on Thursday as investors bet the Bank of England will cut interest rates to ward off the risk of recession following Britain's vote to leave the European Union. Financial spreadbetters and futures also pointed to a higher open for European stock markets, though U.S. S&P futures ESc1 were slightly lower. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.5 percent, hovering near the highest level since November it reached on Wednesday. Japan's Nikkei .N225 closed up almost 1 percent, helped by a weaker yen. The Japanese currency, which slid 3.9 percent over the first three days of this week, dropped a further 0.8 percent to 105.33 to the dollar JPY= after Bloomberg reported former Federal Reserve Chairman Ben Bernanke had floated the idea of perpetual bonds during discussions with one of Japanese Prime Minister Shinzo Abe's advisers in April. Abe called for fiscal stimulus, expected to reach about 2 percent of GDP, following his election victory on Sunday. Chinese stocks, however, were lower, with the CSI 300 index .CSI300 and the Shanghai Composite .SSEC both slipping 0.4 percent. Hong Kong's Hang Seng .HSI advanced 0.2 percent. More»
Amwal Al Ghad English - 2016-07-13 09:33:12
European stocks traded mildly higher on Wednesday following a rally in markets in the U.S. and Asia as markets try to continue their post-Brexit recovery amid hopes of further monetary policy easing. The pan-European STOXX 600 was up 0.11 percent. Asia markets advanced on Wednesday, extending a global rally that pushed major U.S. indexes to records amid expectations of further easing from Japan and the resolution of some concerns over the U.K's. political scene. Theresa May, who is currently home secretary, is set to be installed as prime minister by Wednesday evening, replacing David Cameron who resigned after the Brexit vote last month. It remains unclear when the May will trigger Article 50, which initiates the withdrawal process from the EU; she has signaled that it could be later this year or even in 2017. Investors are also anticipating further monetary policy easing from global central banks, including a potential interest rate cut from the Bank of England, and a delayed rate hike from the U.S. Federal Reserve. Easier monetary policy is expected to support markets. Burberry warns on weak outlook A number of U.K. firms released trading statements on Wednesday. British pub group JD Wetherspoons said like-for-like sales for the 11 weeks to 10 July 2016 increased by 4.0 percent and said it anticipates "a modestly improved outcome for this financial year", sending shares higher. Luxury fashion brand Burberry reported retail revenues that were flat in the three months to June 30 and warned wholesale revenue would be weaker than previously expected, but shares rallied. British housebuilder Barratt Developments saw shares lower despite saying pretax profit for the year to the end of June rose 20 percent and said it remains confident in the positive fundamentals of both the housing sector and its business. RAIR Steinhoff buys Poundland Elsewhere, France's Airbus is slashing production of its A380 superjumbo, which has struggled to win new customers amid a lacklustre market for widebody aircraft. Shares were trading lower. And French retailer Casino was trading lower after it said second-quarter sales were up 3.8 percent like-for-like helped by its Brazil business. Train maker Alstom reported sales in the quarter ending June 30 up 9 percent year-on-year but said orders in the same period dropped 55 percent, sending shares in the French firm higher. In other business news, Steinhoff agreed a £597 million ($794 million) takeover of U.K. budget retailer Poundland. Meanwhile, shares of Nokia rallied after it expanded its patent licensing deal with South Korea's Samsung, which will lead to a boost in sales for the Finnish telecoms equipment maker. Miners rally Metal prices rallied on Wednesday with London copper flying through the $5,000 mark for the first time since late April amid renewed risk appetite among investors, linked to the prospect of easier monetary policy. The positive sentiment on metals pushed mining shares higher with the likes of Antofagasta, Arcelormittal and Anglo American rallying. But elsewhere in the commodities space, the oil price was under pressure. A number of oil stocks were in the red including BP and Statoil. More»
Amwal Al Ghad English - 2016-07-13 09:21:10
U.K. stocks inched lower on Wednesday, with shares of home builders back under pressure, but a climb in Burberry Group PLC shares helped limit the loss for the benchmark FTSE 100. The FTSE 100 dipped 0.2% to 6,669.06, with oil and gas and consumer goods shares moving lower. But bucking the trend among consumer shares, Burberry was up 2.8% as the British luxury-fashion house said it expects a higher benefit from exchange rates for fiscal 2017. That view comes as Burberry makes 90% of its sales outside the U.K., and the British pound has slid in value after the U.K.’s Brexit vote last month that sets the country on course to leave the European Union. The FTSE 100 on Tuesday slipped 2.17 points, as shares of exporters fell while the pound pushed higher. The pound continued to gain ground Wednesday, on track for a fourth straight rise against the dollar. The pound was buying $1.3267 compared with $1.3254 late Tuesday. The pound’s advance comes even as Bank of England policy makers begin meeting Wednesday, with financial markets indicating most investors believe the U.K.’s benchmark interest rate will be cut Thursday to a record low 0.25% from 0.5%. With Home Secretary Theresa May set to become the U.K.’s next prime minister later Wednesday, “the move has settled the nerves of many investors, as it means that one area of huge uncertainty becomes more stable,” wrote James Hughes, chief market analyst at GKFX, in a note about sterling. “We must remember the move in the markets has been largely down to the uncertainty surrounding every aspect of the U.K. picture right now, rather than poor economic outlooks or fundamental negativity, much of this is still largely unknown,” he wrote. The Bank of England’s policy announcement is due Thursday at 12 p.m. London time, or 7 a.m. Eastern Time. Housing: Barratt Developments PLC shares were down 2.4%, to the bottom of the FTSE 100. It’s “too early to say what the impact of the uncertainty facing the U.K. economy will be,” said Chief Executive David Thomas in a statement. Barratt did post a 20% rise in pretax profit. A “number of factors play into the company’s hands, such as Help to Buy, low interest rates, the Bank of England’s move to encourage lending and the general undersupply of homes,” said Richard Hunter, head of research at Wilson King Investment Management, in an note. “If there is a fly in the investment ointment regarding this update, it is an admission that there has been some increased uncertainty in the higher value London market,” he added. Housing stocks have been hit in the wake of the U.K.’s Brexit vote. Shares of rival home builder Taylor Wimpey PLC fell 2.2% Wednesday and Persimmon PLC ost 2.1%. Oil: Shares of BP PLC were down 1% and Royal Dutch Shell PLC dropped 1.1% as oil prices  fell more than 1%. Oil futures fell late Tuesday after an industry report showed an unexpected rise in weekly U.S. crude supplies. The closely watched Energy Information Administration report will be released Wednesday. More»
Amwal Al Ghad English - 2016-07-13 07:35:55
Asian shares came within reach of their 2016 highs on Wednesday as prospects of solid U.S. growth and accommodative economic policy in major markets whet investors' risk appetite damaged by uncertainty from Brexit. Spreadbetters expected European shares to take a breather following days of gains, forecasting a slightly lower open for Britain's FTSE .FTSE, Germany's DAX .GDAXI and France's CAC .FCHI. U.S. stock futures ESc1 dipped 0.1 percent. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose as much as 0.4 percent to 427.83, just below its year-to-date high of 428.22 hit on April 21. Japan's Nikkei .N225 gained 1.1 percent. Australian stocks added 0.5 percent and South Korea's Kospi .KS11 rose 0.6 percent. New Zealand shares .NZ50 inched down 0.1 percent but were near a record high struck Tuesday. Shanghai .SSEC advanced 0.4 percent. "A while ago, everything looked so uncertain on Brexit. But now that the UK looks set to have a new prime minister ... that is soothing investor sentiment," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management. Britain's interior minister Theresa May is set to take over as prime minister on Wednesday. Elsewhere, Philippine shares .PSI reached a more than 1-year high and Vietnam .VNI scaled an 8-year peak. In Japan, Prime Minister Shinzo Abe ordered a new round of fiscal stimulus spending, as expected, after an election victory on Sunday. Abe's meeting on Tuesday with former U.S. Federal Reserve Chair Ben Bernanke, a proponent of "helicopter money" policies - printing money and directly handing it to the private sector to stimulate the economy - fueled speculation that some of Abe's stimulus plan could be funded by the Bank of Japan's easing. Such expectations pushed down the yen 4 percent over the last two days. The yen last traded at 104.22 yen to the dollar JPY=. STIMULUS AWAITED The Bank of England makes its policy announcement on Thursday, with some players expecting a rate cut. The European Central Bank is also widely expected to take a dovish stance when it holds its policy review a week later. "After being faced with the prospect of a major slowdown in global activity in the wake of the Brexit vote, governments and central banks worldwide are now expected to do their utmost to reassure markets and provide stimulus," wrote Angus Nicholson, market analyst at IG in Melbourne. "This has led to an incredible rally in equities and industrial commodities. Of course, should those expectations fail to eventuate they could stop the rally short. The greatest unknown for markets is what will happen in mainland Europe." The pound GBP=D4 traded at $1.3308 after surging almost two percent on Tuesday, pulling away from a 31-year low of $1.2798 struck late in June, as investors bought back the currency on May's appointment as prime minister. The euro was little changed at $1.1066 EUR=. In commodities, oil prices dropped after industry group American Petroleum Institute (API) reported a surprise build of 2.2 million barrels in U.S. crude stockpiles last week. [O/R] Brent crude futures LCOc1 fell 1.2 percent to $47.90 after surging roughly 5 percent on Tuesday on broad improvement in risk sentiment. Zinc CMZN3 touched a 13-month high of $2,210 a tonne and nickel climbed to a 10-month peak of $10,670 a tonne CMNI3. Aluminum and copper have also gained. More»
Amwal Al Ghad English - 2016-07-12 17:29:32
The FTSE 100 closed Tuesday’s session marginally lower, with a rally in the pound weighing on the export-dependent index, a day after it entered bull-market territory. Investors were weighing comments from Bank of England Gov. Mark Carney ahead of the central bank’s meeting on Thursday, where benchmark interest rates could be cut. The blue-chip benchmark which has darted in and out of positive territory, ended 2.17 points lower at 6,680.69. The choppy session came as the pound rallied, buying $1.3240 compared with $1.2995 late Monday in New York. The gain came as investors continued to cheer the outlook for Home Secretary Theresa May becoming the new U.K. prime minister on Wednesday, which is expected to steady the outlook for the U.K.’s economy following the turmoil caused by the June 23 Brexit vote. This added pressure on companies that derive a large portion of their earnings overseas, like drugmaker AstraZeneca PLC down 1.8% and British American Tobacco PLC off 1.6%. “The appreciation seen in sterling has effectively suppressed the FTSE 100 today. Last week’s FTSE gains were largely associated with fact that international firms will earn abroad and repatriate that money at a better rate,” said Joshua Mahony, market analyst at IG, in a note. “However, with sterling showing signs of recovery, this relationship is working in inverse, with the FTSE 100 being left behind as its European and U.S. counterparts storm ahead,” he added. The Stoxx Europe 600 index ended 1.1% higher on Tuesday, while the S&P 500 index and Dow Jones Industrial Average rose to record highs. Meanwhile, BOE chief Carney addressed the Treasury Select Committee in London about the bank’s Financial Stability Report, which it released after last month’s Brexit referendum. In a key move, the Financial Stability Committee last week cut its countercyclical buffer for banks to 0% from 0.5%. That should give banks up £150 billion in extra capital to lend out to businesses and households. Carney stressed that U.K. banks are well-capitalized and “they will need to put that to work.” He also said “if the [economic] outlook has worsened, to use that term, in the judgment of the [Monetary Policy Committee], there always could be monetary response if that’s consistent with its remit.” Carney recently alluded to the possibility that the central bank may need to ease monetary policy this summer. Since then, financial markets are pricing a nearly 80% chance that the U.K.’s benchmark interest rate will be cut to 0.25% from 0.5% when it meets on Thursday. With the potential for lower borrowing costs, shares of most house builders climbed. Taylor Wimpey PLC jumped 3.2%, Barratt Developments PLC rose 2.8% and Persimmon PLC picked up 1.8%. Most bank shares were also gaining ground, with Barclays PLC up 2.2% and Lloyds Banking Group PLC rising 2.6%. On year-to-date basis, however, Barclays shares have lost a third of their value, while Lloyds’s are down 23%. HSBC PLC however, shed 0.5%. A report from the U.S. House Financial Services Committee released Monday said top Justice Department officials ignored an internal recommendation to criminally prosecute HSBC four years ago failing to identify money-laundering transactions. An HSBC Group spokesman declined to comment on the report. The FTSE 100 on Monday jumped 1.4% to 6,682.86, the highest close since August. That gain left the benchmark up 22% from its 52-week intraday low hit on Feb. 11, according to FactSet data. That put the FTSE 100 in bull-market territory, which is marked by a more than 20% jump from recent lows. More»
Amwal Al Ghad English - 2016-07-12 15:30:32
European stock markets posted strong gains on Tuesday as uncertainty over the U.K.'s political scene diminished following news of the imminent appointment of Home Secretary Theresa May as U.K. prime minister. The pan-European Stoxx 600 index was trading around 1 percent higher with most sectors in positive territory. London's FTSE index saw marginal gains during trade, with a rise in homebuilder and banking stocks failing to lift the overall index; Taylor Wimpey was trading up over 3 percent, Barratt Developments up 3 percent and Barclays up over 3.5 percent. U.K. homebuilders are seeing a resurgence following news that Theresa May will become the next U.K. prime minister on Wednesday, removing some of the political uncertainty following the country's vote last month to leave the European Union (EU). Elsewhere in U.K. news, the Bank of England's governor, Mark Carney and other members of the bank's Financial Policy Committee have been questioned by the Treasury Select Committee on Tuesday, following allegations that the central bank crossed the line of independence in the run-up to the U.K.'s vote on leaving the EU. ​During the meeting, Financial Policy Committee member Richard Sharp said there was absolutely no 'startling dishonesty' nor 'peddling of phony forecasts' by the bank, despite what critics had suggested. While the FTSE 100 showed signs of slight pressure, sterling climbed during Tuesday's session, up 1.2 percent against the dollar at 2.40 pm U.K. time, at $1.3145. More»