FTSE sees big intra-day swings on varied reports December 11, 2011 WE continue to experience big intra-day swings in equity markets. Last week, the FTSE 100 broke above resistance at 5,600 (the 61.8 per cent Fibonacci Retracement of this year’s May-to-August sell-off) on three separate occasions. It went on to briefly test resistance at its 200-day moving average around 5,630 although it fell back sharply from [...]
To save the euro and end the liquidity crisis Germany needs to leave the Eurozone December 11, 2011 THE crisis in the Eurozone is widely portrayed as being about solvency and the need for fiscal balance and austerity, but in fact these are longer term issues – the immediate crisis is one of liquidity. Solvent countries can’t roll over their existing stock of debt, as the available liquidity behind the largest economy in [...]
FTSE up despite Europe summit concerns December 9, 2011 The UK’s top share index has closed higher as investors took the positives from the agreements at the European summit. Talk of potential Chinese investment in Europe and improving economic data in the US also lifted sentiment. While not the emphatic solution to the Eurozone’s two-year old debt crisis some had hoped for, EU countries [...]
BEST OF THE BROKERS December 8, 2011 ANTOFAGASTA Nomura rates the miner a “buy” with a £16.50 target price as it sees the firm as a high-quality, long-life, low-cost copper pure-play. Its flagship operation, Los Pelambres, has relatively low costs and could double capacity by 2020, while its Esperanza copper-gold project could be expanded by 2016 to nearly triple production. Its Chile-focused [...]
WHAT THE OTHER PAPERS SAY THIS MORNING December 7, 2011 FINANCIAL TIMES DUBLIN IS URGED TO SELL NAMA AS A SINGLE ENTITY A secret report into the operations of Ireland’s National Asset Management Agency, the state agency set up to purge Irish banks of their toxic property loans, has recommended that the government should consider selling it off as a single entity. FINANCING PROBLEMS WEIGH [...]
Saab hovers on brink without GM support December 6, 2011 GENERAL Motors said yesterday it would not support a proposed ownership structure for Saab that included a Chinese bank, moving the Swedish auto company closer to liquidation. “We have reviewed Saab’s proposed changes regarding the sale of the company,” GM spokesman James Cain said in a statement. “Nothing in the proposal changes GM’s position. We [...]
Geeley drives into the UK December 6, 2011 CHINESE automotive manufacturer Geely is set to enter the UK new car market next year, with its first models’ prices starting at around £10,000. Geely International Corporation, which also owns Volvo, is working with the UK’s Manganese Bronze Holdings (MBH) to set up dealerships, parts sales and after-sales service under the name Geely Auto UK. [...]
FTSE hits a five-week high on hope of a euro debt plan December 5, 2011 BRITAIN’S FTSE 100 hit a five-week closing high yesterday with optimism rising that politicians can finally agree a deal to solve its debt crisis in a crunch week for the Eurozone. European Union leaders, urged on anxiously by the United States, are seeking agreement on a convincing rescue plan that has eluded them for two [...]
A CHANGE OF FORTUNES FOR RISK ASSETS December 5, 2011 WHAT a turnaround last week. We saw an extraordinary rally in equity markets which saw them recoup the losses from the sell-off that had persisted through much of November. Personally, I believed that the major stock indices were on the point of a major break to the downside which would only be averted by a [...]
THE WEEK AHEAD December 4, 2011 COMPANY NEWS ● TUI Travel announces its preliminary results for the year today. The company is an international leisure travel agency that operates aircraft and retail outlets and services the European and North American markets. ● Northgate will announce its interim results tomorrow. A vehicle rental business, Northgate hopes the first half of its financial [...]