Shares Spread Betting: Morrisons Shares Barely Change Despite 2.9% Increase in December Sales
|
|
|
For today's update see Spread Betting Daily.
The Daily Update from Anthony Grech, Research Analyst, IG Index.
Spread Betting 9 January 2011: 10.45am Update
Yet another Franco-German summit is taking place in Berlin today, with trading quiet as markets await the news conference by the two most important national politicians in Europe.
A light day for economic data means investors remain fixated on the crisis in the Eurozone.
By 10.45am (London time), the FTSE 100 was up just 1.4 points at 5650.97, while the UK-focused FTSE 250 was 26 points higher at 10,272.46.
Franco-German summit dominates quiet trading
For around 250 years, continental Europe has been dominated by two powers, France and Germany. Their struggle for control was the defining feature of the 19th and 20th centuries.
Today, these old antagonists are united in their desire to rescue the Eurozone from the existential crisis in which it finds itself.
As part of their continuing mission to save the single currency, President Nicolas Sarkozy of France and Germany’s chancellor, Angela Merkel, are holding yet another of their seemingly-endless summit meetings.
As a result, markets have remained in subdued mode all morning as spread betting account holders wait to see what, if anything, will emerge from the meeting in Berlin.
A press conference is to be held at 12.30pm (London time), but only the most naïve of investors will be hoping for anything substantial to be announced.
While both nations have made strenuous efforts to put on a united front, major differences remain in the Paris-Berlin axis.
France still hopes that the ECB can be deployed in due course to buy up the bonds of indebted countries on a sustained and massive scale, a course of action that Germany views as dangerous.
President Sarkozy of course needs to be seen to make progress at the summits, hence his big push for a financial transaction tax, since he has an election in April and faces a major challenge from the opposition Socialists.
However, the possibility of a downgrade to France’s credit rating, which has been whispered for months now, could spell disaster for his re-election chances.
The quiet nature of trading this morning lays open the possibility that markets will slip back once the press conference is finished.
Any positive noises about structural reforms will likely provide only the briefest of fillips for shares, which may well drop again as risk appetite falls away.
Retailers remain in focus
The parade of retail firms updating the market continued this morning, with supermarket Morrisons and entertainment retailer HMV being the latest to display their sales figures.
Total sales at Morrisons were up 2.9% over the final six weeks of 2011, with customer numbers up by 800,000. The supermarket expects shoppers to remain cautious in 2012. Morrison shares were barely changed, at 311.4p.
HMV shares had a volatile morning, falling as low as 2.5p before recovering slightly to stand at 2.96p by mid-morning, a loss of around 1.3%.
Total sales over the Christmas period were down 16.6% in December, with HMV making the worrying admission that the future of the group as a going concern was uncertain.
A sale of the live music division is still on the cards, with the FT reporting that Citigroup had been instructed by HMV to find a buyer.
Looking ahead
US futures are barely changed so far this morning, as we await any developments from Berlin.
The Dow is currently expected to start 6 points higher, with the S&P 500 kicking off 1.4 points up. No real economic data of note is scheduled for release this afternoon.
Remember that financial spread betting is a leveraged product and can result in losses that exceed your initial deposit. Spread betting may not be suitable for everyone, so please ensure that you fully understand the risks involved.
The above comments do not constitute investment advice and neither IG Index nor SpreadBets.org.uk accept any responsibility for any use that may be made of them.
Advert:
IG Index Spread Betting - No Fees, No Commissions, Free Charts and Live Prices.
Spread Bet on Indices, Forex, Commodities, Shares and more. For details see IG Index.
|
"Shares Spread Betting: Morrisons Shares Barely Change Despite 2.9% Increase in December Sales" last update by AG, 09-Jan-2012
Warning: Financial spread betting carries a high level of risk. You can lose more than your initial investment or stake. Financial spread betting may not be suitable for all investors. Only trade with money that you can afford to lose. Make sure you fully understand the risk involved. If necessary, seek independent financial advice.
Similar articles:
Spread Betting Daily - last update: 22-May-2012
Your daily spread betting update from the insiders. A look at the FTSE 100 and a range of other spread betting markets from Crude Oil to Shares to Gold to . . . read more Spread Betting Daily.
Spread Bets Daily Markets - last update: 21-May-2012
Spread Betting Daily News - A daily trading update from IG Index. Every weekday the experts offer their view of the markets . . . read more Spread Bets Daily Markets.
Shares Trading: AstraZeneca Declines on Plummeting Pre-Tax Profits - last update: 26-Apr-2012
Drug maker GlaxoSmithKline dropped 0.4% after it reported a 13% decline in first-quarter profits, while AstraZeneca declined 5.6% after it reported a 40% drop in pre-tax profits. Unilever shares climbed 3% to 2635p after sales rose . . . read more Shares Trading: AstraZeneca Declines on Plummeting Pre-Tax Profits.
ARM Holdings Spreads Rally amid Stellar Apple Results - last update: 25-Apr-2012
In equities spread trading, ARM Holdings was the top FTSE 100 gainer, up 4.3%, bouncing after a lukewarm reception to in-line results from the British chip designer on Tuesday. The price gain was on the back of forecast-beating . . . read more ARM Holdings Spreads Rally amid Stellar Apple Results.
Spread Trading: Rallying Banking Stocks Push FTSE Higher - last update: 24-Apr-2012
Banking stocks led the FTSE's marginal recovery. Lloyds rose 2.25 %, while Barclays, Standard Chartered and HSBC spread trading markets were up by 1.34%, 0.15% and 0.1% respectively. Miners also edged up today . . . read more Spread Trading: Rallying Banking Stocks Push FTSE Higher.
Index Spread Betting: FTSE Falls 100 Points as Sarkozy Losses Election Round - last update: 23-Apr-2012
The FTSE 100 shed a hundred points during the morning session as uncertainty over the French presidential election on Sunday unnerved investors. Current French President Nicolas Sarkozy lost to Francois Gerard Georges . . . read more Index Spread Betting: FTSE Falls 100 Points as Sarkozy Losses Election Round.
Broker Upgrade Boosts Lloyds Shares Spread Betting Market - last update: 20-Apr-2012
Elsewhere in shares spread betting, Lloyds was the second-biggest FTSE 100 gainer, up 3.5% as Investec Securities reiterated its 'buy' rating on the part state-owned British lender. Unsurprisingly, shares in Barclays and . . . read more Broker Upgrade Boosts Lloyds Shares Spread Betting Market.
FTSE 100 Spread Betting Index Rises on Successful Spanish Auction - last update: 19-Apr-2012
The FTSE 100 spread betting index traded at 5783.8, gaining 0.64% by midday (London time) on the back of a successful Spanish bond sale. Spain sold €2.541 billion of debt, slightly above the upper end of their target . . . read more FTSE 100 Spread Betting Index Rises on Successful Spanish Auction.
Increased Gold Output Causes Fresnillo Spreads to Rally - last update: 18-Apr-2012
Also in shares spread betting, Fresnillo was one of the mining sector's best performers, gaining more than 3% as gold output was ahead of target, due to the opening of a new mine, Noche Buena. This came despite an . . . read more Increased Gold Output Causes Fresnillo Spreads to Rally.
EUR/USD Forex Spreads Push Higher Despite Rising Spanish Yields - last update: 17-Apr-2012
Talk on the floors seems to be centred on the sharp move higher for the EUR/USD financial spread betting market in US trade, despite no one single catalyst to attribute the move too. One gets the sense though that $1.30 seems . . . read more EUR/USD Forex Spreads Push Higher Despite Rising Spanish Yields.
Spread Betting Daily Index - An index of Mid-Morning Daily Spread Betting Reports covering the key Index, Forex, Shares and Commodities markets.
|
|
|
Free Financial Email: Latest Spread Betting Offers and where to find narrow spreads.
Click here to sign up.
|
|
