Market Update

Europe Slips on Oil Shares

Elena
20 Feb, 2007
New York City

European stocks ended Tuesday session in the red, as weaker oil and gas shares offset positive sentiment generated by deal-inspired gains from Shire and Hanson. Shares of BP and Royal Dutch Shell slipped 1.2% as forecasts for warmer U.S. weather sent crude-oil futures down. Shares of U.K. construction company Hanson gained 2.9% as Vulcan Materials agreed to buy U.S. Florida Rock. The German DAX 30 slipped 0.1%, the French CAC-40 eased 0.5%, and the U.K.''s FTSE 100 dropped 0.5%.

Wal-Mart Earnings Top Estimate

Elena
20 Feb, 2007
New York City

Disappointing earnings from Home Depot and losses for energy companies amid falling oil prices kept U.S. stocks under pressure. However, market sentiment turned slightly positive after Federal Reserve governor''s encouraging assessment of the housing market. Wal-Mart provided support to the Dow after reporting higher-than-expected earnings, and issued a bullish forecast. Wal-Mart Stores posted net income rise of 95 cents per share, up from 87 cents a year ago. The stock rose 2.8%.

Florida Rock Soars 42% on Buyout Offer

Elena
20 Feb, 2007
New York City

Wall Street opened lower on Tuesday, pressured by falling energy shares and disappointing earnings from Home Depot, which offset merger news and positive quarterly results from Wal-Mart Stores. Blue-chip company Home Depot fell 1% after the retailer reported 28% profit drop in Q4 due to a slowing activity in the home-building sector. However, Wal-Mart supported the Dow, rising 2.3% amid better-than-expected quarterly profit.

FTSE Lower on Weak Earnings

Ivaylo
20 Feb, 2007
New York City

London market edged lower on Tuesday on a busy day for corporate news. Leading shares declined from last night six-year closing high as dealers digested the latest large-cap earnings news. Scottish & Newcastle was the biggest decliner despite strong earnings report, while Polaron soared Tuesday on a possible approach from Cooper Controls. With five large-caps reporting today, the benchmark index FTSE 100 in London dipped 0.36% at 6,421 in mid-afternoon trade.

Japan Ends Flat, South Korea Gains

Ivaylo
20 Feb, 2007
New York City

The market in Japan closed flat while South Korea rose for a fifth straight session Tuesday as some of Asian biggest markets took the day off for the Lunar New Year holiday. Many markets around the region are still closed for Lunar New Year celebrations. Markets were closed Tuesday in Hong Kong, Singapore and Malaysia and will reopen Wednesday. Markets in China and Taiwan are closed for the week.

Home Depot Hurts Pre-Market Sentiment

Elena
20 Feb, 2007
New York City

U.S. stock futures pointed to a lower market opening Tuesday after the long holiday weekend. The pre-market sentiment was hurt by disappointing quarterly results from Dow component Home Depot which dropped 2% helpeing to offset news of possible merger of the nation''s two big satellite radio stations Sirius Satellite Radio and XM Satellite Radio Holdings. Home Depot reported a 28% drop in Q4 profit to $925 million, or 46 cents a share, down from $1.29 billion, or 60 cents last year.

Two Satellite Radio Companies Merge

Elena
20 Feb, 2007
New York City

The combined company is valued at $13 billion, including about $1.6 billion in debt. On condition that the deal is approved by shareholders and regulators, the shareholders of each company will divide the stake equally. FCC Chairman Kevin Martin said that the companies have to prove that the deal would be in the public interest, with consumers having more choice and affordable prices.

India Plunges 1%, Mittal Enters Oil Refining

Ivaylo
20 Feb, 2007
New York City

In trading today, the market dipped on selling pressure in auto, engineering, telecom and banking sectors. The market-breadth was weak and trading was volatile. Squaring of positions ahead of the expiry of February 2007 derivative contracts, due this Thursday, also weighed on sentiment. ONGC, Grasim and Reliance Energy led the decliners today, while among the few gainers were Ranbaxy and ITC. There are worries that the government may raise short-term capital gains tax on sale of shares. [

Property Stocks Weigh on Europe

Ivaylo
20 Feb, 2007
New York City

European markets were lower on Tuesday after real estate companies eased on reports of slowing growth in property investment markets, while oil companies declined after crude prices dipped overnight. EMI added as there are reports of bid interest from Warner. Some auto makers also advanced. By mid morning, Frankfurt Xetra Dax shed 0.1%, the CAC 40 in Paris lost 0.3%, while London FTSE 100 was flat.

Gold Rises, Silver, Platinum Fall

Ivaylo
20 Feb, 2007
New York City

Gold edged higher on Tuesday after surging to a seven-month high on talks that the dollar may weaken and as crude oil continues to trade above $55 a barrel. Oil in New York has traded between $56.62 and $60.80 this month as cold weather and higher-than-normal gasoline demand pushed fuel consumption to a 14-month high. Copper advanced after a magnitude 5.5 earthquake hit the largest mining province in Chile, the biggest producer of the metal in the world.

Deal Talk Inspires European Gains

Elena
19 Feb, 2007
New York City

European stocks hit multi-year highs on Monday, boosted by strength in the mining sector, a continuous advance in DaimlerChrysler and deal-inspired gains from Swiss reinsurer Converium Holdings. DaimlerChrysler led autos higher with a rise of 3.6% on speculation about the future of its Chrysler unit. Among mining stocks, Rio Tinto added 1% and BHP Billiton climbed 1.7%. The French CAC-40 advanced 0.5%, the German DAX 30 rose 0.4%, and the U.K. FTSE 100 gained 0.4%.

FTSE 100 near Six-Year High

Ivaylo
19 Feb, 2001
New York City

The FTSE 100 is trading in positive territory on Monday near a six-year high on reports of new bid interest in J Sainsbury and expectations for a $4 billion capital return from Anglo American. Anglo American leads the advancers ahead of its full year results due on Wednesday. Lloyds TSB gained on a possible sale of one of its assets. Utilities were leading the decliners. The benchmark index, the FTSE 100, was up 29 points at 6,448.4, its highest level since November 2000.

Japan, Australia Advance

Ivaylo
19 Feb, 2007
New York City

Asian markets closed mostly higher Monday. Many markets were closed for Lunar New Year celebrations and investors also awaited a Japanese interest-rate decision later in the week. China, Taiwan, South Korea and HK were all closed for the celebrations. South Korea reopens on Tuesday, while HK, Singapore and Malaysia on Wednesday. In Japan, retailers and steelmakers gained on speculation about more mergers and acquisitions.

Sensex Up, VSNL Up 2%

Ivaylo
19 Feb, 2007
New York City

Banking sector stocks led a broad based rally in the market trading. ICICI Bank led the gainers followed by UTI, SBI and other regional banks. Hero Honda and Gujarat Ambuja led the decliners. The government intends to relax limits on the compulsory reinsurance by general-insurance companies. Tata Group is preparing to launch the largest Indian international bond issue.

Europe Boosted by DaimlerChrysler

Ivaylo
19 Feb, 2007
New York City

European stocks were higher on Monday, with DaimlerChrysler leading the carmakers after news it was in talks with General Motors and other potential bidders over the sale of its US Chrysler division. Food retailers were also higher, led by Sainsbury of Britain after reports of further interest from potential bidders. In early trade, Frankfurt Xetra Dax added 0.3%, the CAC 40 in Paris gained 0.2% and London FTSE 100 climbed 0.3%.