BEST OF THE BROKERS May 31, 2010 UNILEVER UBS has upgraded its rating for Unilever from “neutral” to “buy” and said that since the start of April, Unilever has underperformed its US peers. UBS suspects partly this reflects investors seeing Unilever as a proxy for the Eurozone, yet it estimates Unilever ’s exposure to the Eurozone to be only marginally higher than [...]
CITY MOVES | WHO’S SWITCHING JOBS May 31, 2010 Sainsbury’s Finance The supermarket personal finance business yesterday said interim chief executive David Fisher has been appointed as its new permanent chief. Fisher, who has been in the interim role for five months, joined the group in January from Lloyds Banking Group, where he was group HR director for HBOS. He spent a total of [...]
Europe shares in biggest monthly loss since Feb ‘09 May 31, 2010 EUROPEAN equities closed higher yesterday, led by shares of German exporters, but a downgrade of Spain’s credit rating weighed on Madrid-listed stocks, with Banco Santander and BBVA losing ground. The FTSEurofirst 300 index of top European shares unofficially closed the holiday-thin session up 0.3 per cent, at 1,000.55 points, capping off its worst month since [...]
An ultra-bullish FTSE outlook is too optimistic in volatile times May 31, 2010 AFTER a week in which the FTSE 100 dropped from its mid-April peak of 5,834 back down through the 5,000 mark, Morgan Stanley has surprised the financial world by revising its 2010 FTSE target up from 5,000 to 5,800. The bank suggests that recent market turbulence is not the start of the dreaded double dip [...]
THE TIPSTER May 31, 2010 STERLING-US dollar has been well-supported of late on fears that Prudential’s planned purchase of AIA could collapse. A large currency hedge shorting cable was put in place some months ago when the deal was first agreed and if it falls over, the hedge will come off, sending sterling-US dollar higher. While highly speculative, traders should [...]
SPREAD BET GURU May 31, 2010 MARKET STRATEGIST josh@cityindex.com Q. Dear Josh, what does a hike in capital gains tax mean for spread betters? A. We don’t yet know what will be announced in the emergency budget on 22 June, but the good news is that even if there is a hike, this should make no difference to spread betters. Suggestions [...]
Going away in May is a short-sighted strategy May 31, 2010 YOU would think that old wives’ tales and the like have little place in the markets of the 21st century. But recent research by Standard & Poor’s Indices has shown there is more than a grain of truth in the old City trading floor adage of “sell in May and go away, stay away till [...]
UNRESOLVED ISSUES CAUSE HEADACHES May 31, 2010 DAVID MORRISON CFD MARKET STRATEGIST, GFT MOST investors will be relieved to see the back of May and hope that June will usher in greater market stability and lower volatility. The last month has been a shocker, with only the relief rally at the end of last week ensuring that major indices avoided a fall [...]
Switzerland is appealing, but avoid the banks May 31, 2010 SWITZERLAND’S economy is the one light in an otherwise gloomy Europe. It was one of the more stable economies during the downturn, growth in unemployment is slowing, and last week the Organisation for Economic Co-operation and Development (OECD) increased its growth forecast for the country to 1.8 per cent for this year. The OECD argues [...]
CFD ANALYST PICKS May 31, 2010 TECHNICAL STRATEGIST JOEL KRUGER My pick: Long FTSE 100 at 5,000 Expertise: Technical analysis Average time frame of trades: 5-10 days We had to wait the entire week, but our counter-trend long recommendation on the FTSE was finally triggered on Friday, with the market dropping to our entry level of 5,000. However, it then bounced [...]
