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LONDON MARKET MIDDAY: Weak Start To 2019 As Miners Slump On China Data

Wed, 02nd Jan 2019 12:01

LONDON (Alliance News) - The FTSE 100 got off to a lacklustre start to 2019 on Wednesday, with miners among the worst blue-chip fallers following further disappointing economic data from China. The pound traded lower despite the UK manufacturing sector expanding at its strongest rate in six months in December, as it was no-deal Brexit fears that drove the factory activity.The FTSE 100 was down 53.75 points, or 0.8% at 6,674.38 at midday. The FTSE 250 was up 4.32 points, broadly flat at 17,506.37. The AIM All-Share was up 0.1% at 859.41.The Cboe UK 100 was down 0.7% at 11,326.82, while the Cboe UK 250 was 0.1% higher at 15,676.12 and the Cboe UK Small Companies was up 0.5% at 10,861.75.The pound was quoted at USD1.2671 at midday, down from USD1.2782 late Monday before the New Year's Day break, despite data showing UK manufacturing sector activity hit a six-month high in December. The IHS Markit/CIPS manufacturing Purchasing Managers' Index for the UK came in at 54.2 in December, up from 53.6 in November. A score above the no-change mark of 50 indicates expansion in the sector, while one below signals contraction. Consensus forecasts had seen the reading falling to 52.5 in December.The average PMI reading during the fourth quarter of 2018 was the weakest since the third quarter of 2016 - the first survey conducted after the UK's decision to leave the EU, noted Markit.The rise in the PMI in December was mainly driven by stronger inflows of new business and a "solid" increase in stocks of purchases. Movements in both mainly reflected Brexit preparations by manufacturers and their clients, Markit said, as output also increased, but at a slower pace than seen the month before. David Cheetham, chief market analyst at XTB, said that while the data is upbeat on first read, the figures were mainly driven by pre-Brexit stockpiling. "The release is not as strong as it first appears with the higher print seemingly due to firms building stocks at a near-record pace due to concerns about a no-deal Brexit. Likewise, order books were clearly buoyed by customers taking pre-emptive measures and preparing for supply disruptions in the event of the UK leaving the EU without a deal," Cheetham said. In manufacturing data from Europe, IHS Markit's final December PMI reading for the eurozone fell to 51.4 from 51.8 in November. The score came in line with the flash estimate. In accordance with the latest trend, underlying the slowdown in overall growth was further softness in new orders, the survey showed. Separate data showed that German manufacturing activity expanded in December at the slowest pace since March 2016. The final manufacturing PMI slipped to 51.5 in December from 51.8 in November. The reading matched the flash estimate.In mainland Europe, the CAC 40 in Paris was down 1.4% but the DAX 30 in Frankfurt down just 0.1%.Markets in the US are on course for a similarly weak start to 2019, with the Dow Jones Industrial Average called down 1.4%, as was the S&P 500, while the Nasdaq was pointed 2.2% lower.Still to come in Wednesday's economic calendar is a Markit manufacturing PMI for the US at 1445 GMT. Miners were leading the declines in London, with Glencore down 5.0%, Antofagasta down 4.6%, and Anglo American down 4.4% after worrying manufacturing sector data from China. The Caixin manufacturing PMI fell to 49.7 points in December from 50.2 in November. Economists had expected it to weaken to 50.1 points, but the fall below the 50 point mark which separates contraction from expansion was worse than forecast. The print was the lowest since May 2017, when the index stood at 49.6 points. Wednesday's data comes after the official PMI, released on Monday, also slipped into contraction territory in December with a score of 49.4. Smith & Nephew was down 2.0% after JPMorgan cut its rating on the medical products business to Neutral from Overweight. International Consolidated Airlines was down 2.3%, also knocked by a broker downgrade. Citigroup cut the British Airlines owner to Sell from Neutral. Among the FTSE 100 risers, fashion and homewares retailer Next was up 1.9% ahead of Thursday's Christmas trading statement. The blue-chip clothes seller is the first to update on the festive trading period, acting as a bellwether for the holiday season.Shares in department store Debenhams were down 8.8% at midday, investors less hopeful of a Christmas miracle from the retailer. "Pictures on social media of the retailer's messy shelves and the usual widespread discounts on goods people don't really want in the first place would suggest that Debenhams continues to be stuck in a rut. A trading update expected on 10 January should give the market some answers although expectations remain low for the business to deliver good news," said Russ Mould, investment director at AJ Bell.In the FTSE 250, Energean Oil & Gas was up 5.5% after signing a gas sales and purchase agreement with IPM Beer Tuvia worth approximately USD900 million over 19 years.Under the contract, Energean will supply an estimated 5.5 billion cubic metres of gas from its Karish and Tanin floating production storage and offloading vessel, located offshore in Israel.The agreement, which will begin around 2024, adds between 265 million and 380 million cubic metres per year of gas sales to Energean. Energean estimates that the agreement will contribute around 900 million in revenue over the life of the contract.

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12 Apr 2019 12:14

LONDON MARKET MIDDAY: Stocks Subdued As US Earnings Season Kicks Off

LONDON (Alliance News) - Stocks in London were slightly higher at midday Friday amid caution as US reporting season got underway with JPMorgan Chase reporting growth in their quarterly results and

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5 Apr 2019 17:12

LONDON MARKET CLOSE: Stocks End Week In Green On Boost From Miners

LONDON (Alliance News) - Stocks in London ended the week in the green with miners pushing the FTSE 100 higher, offset by homebuilders falling on UK house prices slipping in March. The FTSE 100 up

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5 Apr 2019 12:09

LONDON MARKET MIDDAY: Stocks Up On Cautious Optimism Over Trade Talks

LONDON (Alliance News) - Stocks in London were tentatively higher at midday as an update over US-China trade talks failed to inspire investors, with a potential announcement four weeks away. The a

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4 Apr 2019 13:33

TOP NEWS: Antofagasta Secures Financing For Los Pelambres Expansion

LONDON (Alliance News) - Antofagasta PLC said Thursday that its subsidiary Antofagasta Minerals SA has completed the financing of the Los Pelambres Expansion project in Chile, with the USD1.3 cost

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1 Apr 2019 16:50

LONDON MARKET CLOSE: Stocks Start Month On Front Foot After China Data

LONDON (Alliance News) - Stocks got off to a strong start to April on Monday, boosted by a rebound in the Chinese manufacturing sector which helped to lift London-listed miners. However, the FTSE

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1 Apr 2019 10:22

WINNERS & LOSERS SUMMARY: Airlines Hit By easyJet Brexit Warning

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Monday.----------FTSE 100 - down 3.8%. Deutsche Bank raised the and firm

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1 Apr 2019 08:48

LONDON MARKET OPEN: Stocks Up On China Data; easyJet Warns On Demand

LONDON (Alliance News) - Stock prices in London opened higher on Monday, with miners among the blue-chip risers following upbeat economic data from China, while easyJet fell after

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29 Mar 2019 17:05

LONDON MARKET CLOSE: Stocks Rise As It's Third Time Unlucky For PM May

LONDON (Alliance News) - Stocks in London ended higher on Friday amid continued optimism over the ongoing trade talks between the US and China.In a post on Twitter this morning, Treasury Secretary

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29 Mar 2019 12:30

LONDON MARKET MIDDAY: US-China Trade Talk Optimism Sends Miners Higher

LONDON (Alliance News) - London share prices were higher at midday Friday, with the FTSE 100 lifted by mining stocks amid optimism over US-China trade talks and despite significant hits to and 100

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29 Mar 2019 10:40

WINNERS & LOSERS SUMMARY: TUI Hit By Grounding Of Boeing 737 Max Jet

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Friday.----------FTSE 100 - up 2.5%, Glencore, up 2.6%,

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29 Mar 2019 08:48

LONDON MARKET OPEN: TUI Slides After Profit Warning, AstraZeneca Falls

LONDON (Alliance News) - Stocks in London opened in the green on Friday, ahead another key day for the UK's future with the EU, with the FTSE 100 higher despite declines by and

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25 Mar 2019 08:50

LONDON MARKET OPEN: Stocks Down; Inmarsat Up After Agreeing Takeover

LONDON (Alliance News) - Stock prices in London were lower on Monday as investors fretted over falling US bond yields; however the FTSE 100 index of big international companies found some support

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22 Mar 2019 17:18

LONDON MARKET CLOSE: Stocks Sold Off As US Yield Curve Inverts

LONDON (Alliance News) - Stocks in London ended sharply lower on Friday amid concerns over the global growth outlook after downbeat economic data from the continent. In addition, the US yield on -

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21 Mar 2019 12:10

LONDON MARKET MIDDAY: Miners Support FTSE 100; BoE Holds Rates

LONDON (Alliance News) - Mining stocks were helping the FTSE 100 outperform on Thursday, with commodities, in particular gold, boosted by a dovish statement by the US Federal Reserve. The FTSE was

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20 Mar 2019 10:31

WINNERS & LOSERS SUMMARY: Inmarsat Up As Private Equity Firms Make Bid

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Wednesday.----------FTSE 100 - Group, up 1.1%. The telecommunications was

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