Below is a selection of recent news from Capital Access Group.
07 December 2018
Hot Off The Wires - 7th December 2018
Members of OPEC reached a "preliminary agreement" following talks in Vienna to cut oil production, but specifics on the amount to be cut have not yet been decided, according to Russian news agency TASS. The Dow Jones Industrial Average tumbled as much as 785 points yesterday before sharply paring those losses in the final hour, showcasing the volatility that has rocked markets since the start of Q4. Watch For: Halifax House Price Index, Bank of England Quarterly Inflation Attitudes Survey, U.S. Employment Report.
02 November 2018
Blog: When Macro and Micro Diverge
Listed UK house builders have rallied strongly following the Budget’s confirmation that Help to Buy will continue in its present form until 2021 and the news that it has been extended for first time buyers until 2023. Based on the closing share prices of 26th November 2018, the larger builders have experienced average gains of over 8.0%.
Press Releases & Blogs
30 October 2018
BLOG: Housing Crisis, What Housing Crisis?
There was a lot to digest in The Chancellor’s 60-minute Budget speech yesterday, not least the impact on the high street, pot holes, “tech giants” and the tax treatment of public toilets. But there is little to report on UK housing.
27 April 2018
Blog - When is a forecast not a forecast?
In our blog (Whither Forecasts? 19th April 2018), we highlighted that FTSE 100 constituents were covered by an average of 22 analysts and the FTSE 250 an average of 10. We have looked further into this “forecast base” and discovered that these numbers may not accurately reflect current expectations.
19 April 2018
Blog: Whither Forecasts?
On 4th October 2017 we published a short article highlighting the risks posed by MiFID II constraints on the public provision of consensus forecasts. At that time, ahead of the implementation of the new regulations, we speculated that putting analysts’ research behind a paywall would reduce the amount of data provided to third parties such as Bloomberg.
05 March 2018
Blog: Government Housing Policy – not all bad for the builders
In a political environment dominated by Brexit, the continued intrusion of the “housing crisis” highlights the importance all sides ascribe to the issue. The coming week promises to be particularly meaningful with the publication of a new National Planning Policy Framework (NPPF) and the Letwin Report (on land banking).
22 February 2018
Blog: Property Portals and the Shoe Event Horizon
With the debate around UK housing intensifying, investors may have to ask where long term value is really being created, how sustainable the current structure is and whether it is now time to look to the traditional players (agents and local media alike) who could genuinely take the market back.
14 February 2018
Blog: UK Housing: A Different Question, A Different Solution?
Reading the UK business media recently, you could be forgiven for thinking that UK house builders are possibly the root of all evil and certainly the cause of the current housing crisis. One of the more frequent criticisms concerns the house builders’ use of and benefit from the Help to Buy programme. Those long of agenda but short of analysis have decided that this a “subsidy” from UK tax payers which has provided house builders with an unfair advantage; supporting demand while they drive prices up by restricting supply. In our view, this is wrong or, to quote POTUS, fake news.
13 February 2018
Blog: UK House Builders and Cash
As the market struggles with the apparent lack of direction from Government on UK housing, investors would do well to consider the builders’ cash flow as much as their sales prospects.
07 February 2018
Blog: UK Residential and the Equity market: It’s Complicated?
The UK residential market has had a long and complicated relationship with the equity market. Almost everyone has a vested interest and, therefore, a view. From house builders to estate agents, the equity market’s commentary on relative value has been coloured by political and social, as well as economic, concerns.
01 February 2018
CAG & MiFID II: A Safe Haven in an Uncertain World
MiFID II has only been in force for one month and market practice has yet to be established. Given the far-reaching scope of the new regulatory framework, it is unsurprising that there remain differing interpretations of the new rules. However, the UK equity market remains open and corporate life must go on. UK companies with December year-ends are about to announce results for 2017 and to embark on a round of investor contact. Companies, brokers and funds are all “feeling their way” in the new, MiFID II environment, potentially presenting challenges in maintaining the company/investor dialogue on which the equity market depends.
21 December 2017
Press Release: Capital Access Group is MiFID II Compliant
Capital Access Group (CAG), one of the UK’s leading independent providers of corporate access, has undertaken a review of the forthcoming regulations under (MiFID) II. As the Firm has no access to trade in financial instruments and CAG’s services cannot be viewed as inducements CAG has concluded that it falls outside the scope of these regulations.
27 November 2017
RESULTS: Intercede - Interim Results - 27th November 2017
Intercede has released its Interim Results for the six months ended 30 September 2017.
14 November 2017
REPORT: Q3 Investor Survey MiFID II, Corporate Access & the "Broker Exemption"
Over the last 9 months, Capital Access Group has conducted a series of surveys and interviews with the aim of understanding the implications of the new rules and the attitudes of those affected by MiFID II; companies, investors and brokers. This, our third report this year, focuses on the issue of corporate access under MiFID II.
14 November 2017
Press Release: Questions companies should ask about MiFID II
Capital Access Group (CAG), the UK’s leading provider of corporate access to UK companies, today publishes its Q3 Investor Survey and poses questions all companies should ask about the status of their investor meetings under MiFID II.
14 November 2017
Blog: The "Broker Exemption": An Inconvenient Question
Our research today reveals that over 90.0% of fund managers are not prepared to pay for broker meetings with companies While 75.0% of those fund managers who are prepared to pay for broker-sponsored meetings are only willing to spend £250 or less for them.
31 October 2017
Broker Exemption: Deal or No Deal?
The FCA’s announcement (26th October 2017) that “unconnected” analysts must be able to have access to companies seeking to list on the LSE goes straight to the heart of the current debate around research and corporate access under MiFID II. Specifically, the issue of what constitutes a material or a minor, non-monetary benefit to the fund manager.
23 October 2017
Blog: A Supplementary Question
Amidst the wealth of unknowns surrounding MiFID II there is a lack of comment around corporate access; the provision of company meetings with fund managers by regulated firms.
12 October 2017
Blog: 82 Days
There are almost as many (few?) days to Christmas as there are to MiFID II. Both encourage an air of expectancy among the young but a sense of impending penury for those who have been around the block a few times.
11 October 2017
Blog: Gordon Dadds Group – Legal Ease
Today Capital Access Group (CAG) publishes investment commentary on its latest client, Gordon Dadds Group (GOR.L). The company listed on AIM in July 2017, raising £18.8m at 140p. The funds were used to acquire Gordon Dadds LLP, a full-service law firm, which forms the basis of the listed entity.
04 October 2017
Blog: MiFID II and research - "If a tree falls..."
You know that you are tapping into a zeitgeist when your views appear in two major newspapers in the space of three days. Following the coverage we received for our report on MiFID II in CityAM on 2nd October, The Times today has also reported our views in a larger article covering Fidelity’s announcement of its new pricing structure.
02 October 2017
REPORT: MiFID II - Equity Research & Corporate Access - "More or Less?"
Our full report on MiFID II and how we expect it to affect Equity Research & Corporate Access.
02 October 2017
PRESS RELEASE: CAG estimates that UK Investment Research will fall by two thirds by 2021
UK companies increasingly concerned about MiFID II and market communications Half of all current analysts not “paid” through commission on equity trade Less than 450 analysts providing research to fund managers by 2021 Brokers may not be able to provide companies with new investor meetings
02 October 2017
Blog: MiFID II, Investment Research & Corporate Access "More or Less?"
There is a growing sense from some market commentators that MiFID II, while superficially significant, will not change the market fundamentally as banks and brokers adapt to the new regulations quickly. Respectfully, Capital Access Group (CAG) disagrees and has published a report today which outlines the results of MiFID II discussions with over 300 market participants in the last three months together with analysis of trading data from Bloomberg.
02 October 2017
Blog: Unite Group - The Young Ones are Growing Up
It is tempting, when asked to write a blog on a visit to a British University to recant tales of excess at “peak” freshers’ week (which now seems to last a fortnight). Tempting but inaccurate.
15 September 2017
Blog: Galliford Try - Hybrid Engine
Peter Truscott and Graham Prothero (CEO and CFO respectively) presented the company’s recent final results and 2021 strategy to CAG’s sales force yesterday.
04 September 2017
BLOG: UK House Builders
The coming week is a busy one for the UK house builders. We are due to hear from Redrow, Barratt, Berkeley, McCarthy & Stone and Bovis. All of these announcements have a relevance to Persimmon to a greater or lesser extent.
31 July 2017
Star research analysts to be hawked for $5,000 an hour
Fund managers, banks and brokers tussle over true value of research ahead of MiFID II, with views from our very own, Scott Fulton.
21 June 2017
BLOG: TIME SPENT IN RECONNAISSANCE IS NEVER WASTED
Equity capital markets are based on communication; from corporate issuers to investors and back again. To date, in the UK, generating market intelligence has been dominated by brokers and banks. However, we sense that fund managers are increasingly fed up with the steady stream of feedback requests. They may be becoming more selective in what information they provide and to whom.
06 June 2017
Blog: CAG Corporate Governance Dinner – Changing Basis
It seems that UK corporate behaviour has been under one microscope or another for decades. However, from the days of reacting to Polly Peck (Cadbury Report 1992) and Enron (The Smith Report 2003), more recent developments have been proactive, reflecting a growing realisation that corporate governance is a driver of corporate performance.
11 May 2017
Blog: More MiFID Answers about Corporate Access
MiFID II will be in force within months. Amongst other effects, this Directive will radically alter the regulatory regime for the provision of both Access and Research.
28 March 2017
Blog: “Masterly Advice”
When Alex Masterly (from The Alex Cartoon) comments on MiFID II it is clear that debate regarding the impending regulations has moved from the academic to reality. In a recent strip, Alex Masterly approaches his compliance officer highlighting that none of the bank’s clients have agreed to pay for its investment research. As ever, Alex views this as a positive; “If they don’t think our research is worth anything then it can’t be a bribe can it? So we can scrap all this MiFID nonsense.” Understandably, the compliance officer is not be swayed by this logic.
28 March 2017
2017 Corporate Governance Survey
How a company is governed is becoming as important as its financial performance in terms of investor assessment. Recognising this trend, Capital Access Group is pleased to bring you a study into investors’ views on corporate governance performance. The report, critically, examines what investors expect to hear from companies when considering an investment
01 March 2017
Blog: Galliford Try – Future Proof
From an equity capital market perspective, there was a lot riding on The Housing White Paper produced by the Department of Communities and Local Government (DCLG) on 7th February 2017. It was expected to offer a panacea for the “UK housing crisis”; unlocking a swathe of new home development without compromising the Green Belt, current house prices and Government finances. Unsurprisingly, given the weight of expectation, the White Paper did not please all parties.
16 February 2017
Blog: Hearts and Minds: Grainger and PRS
When the economic history of the UK in the early 21st Century is written, the evolution of the housing market is likely to play a significant role. Home ownership was the dominant feature of the market in the latter half of the last Century. The “Right to Buy” programme, mortgage deregulation and regular bouts of real house price inflation (HPI) combined to make a UK house more than just a home. In a very real sense, your house was and is a critical component of your net worth.
07 February 2017
Blog: Redefining the Cycle
“May we live in interesting times” is typically described as “the Chinese Curse”, referring to the uncertainty of such a period. However, the Mandarin character for “Crisis” bears the meaning of opportunity. While we live in undoubtedly “interesting times” following the votes for Brexit and The Trump Presidency and may well face undetermined “crises”, Redefine’s Capital Markets Day highlighted how the company is committed to ensuring that it is well placed for any uncertainty and seeks to take advantage of any opportunities which current markets provide.
06 February 2017
Press Release: Capital Access Group Q1 2017 Investor Perceptions Study
Capital Access Group (“CAG”), the UK’s leading provider of investor access for listed companies, today publishes the results of the first in a series of quarterly investor perception study.
06 February 2017
Blog: CAG Investor Perception Study Q1 2017
The CAG Investor Perception Study is now available. If you would like to receive a copy please contact Ian Barbour, Business Development, on 020 3763 3431 or at [email protected]
11 January 2017
Blog: The Capital Access Group Investor Survey
We are now less than 12 months away from the imposition of MiFID II on the 1st January 2018 and there can be few regulatory changes which have generated as much debate whilst providing so few conclusions. CAG has launched a survey of investor opinion. In the first of a quarterly series of polls, we have asked our investment audience whether they pay for corporate access currently and, critically, whether they expect to pay after MiFID II. We are conducting this survey in conjunction with The Times.
13 December 2016
Blog: Is the UK's PRS growing up?
Had Napoleon Bonaparte viewed the United Kingdom today, I doubt that his dismissal of our national character would be any less harsh than it was in the Nineteenth Century. However, while we were truly a “Nation of Shop Keepers” then, we are now more likely to be characterised as a “Nation of Landlords”.
08 December 2016
Blog: A Quiet Revolution
It is often said that it is the quiet ones that you have to watch. This is never truer than in the case of revolutions. Such may be the case with Housing Associations.
01 December 2016
Blog: Remember, remember the month of Movember
The men of Capital Access Group threw their support behind the Movember campaign.
24 November 2016
Blog: Zweites Finanzmarktnovellierungsgesetz - Soft Brexit Looks eminently achievable for UK Financial Services Companies
08 November 2016
Blog: Halifax House Price Index: Continued Momentum
Halifax has produced its House Price Index (HPI) for October 2016
04 November 2016
Blog: UK Housing; from demand to supply
As if to reinforce the “Rumsfeldian” nature of post-Brexit economic debate (“unknown unknowns”), the Bank of England’s latest Monetary Policy Committee (MPC) report has pointed to a sharp rise in UK inflation but an increased level of economic activity in 2017.
02 November 2016
Blog: Irish "housing" eyes are smiling
While it has produced more than its fair share of builders, Ireland’s recent history of residential development is somewhat less impressive.
02 November 2016
Scott Fulton Joins Capital Access Group
Capital Access Group has recruited Scott Fulton as head of its Financial PR operations.
29 September 2016
Blog: MIFID II (3rd Consultation) - Change is inevitable
The FCA has today published its third consultation paper on MIFID II which is due to be implemented on 3rd January 2018.
26 September 2016
Blog: Brexit Watch - A broad-based rally with just a few unexplained losers
In the three months since the UK voted to leave the European Union, equity markets have been surprisingly strong...
08 September 2016
Blog: How to Play Mobile Tech - Moon-shot or Shovel?
Ever since the first Californian gold rush, shrewder types have observed that the way to wealth is not necessarily finding gold. Gold mining has the return distribution of a “moonshot” – high upside but low probability. Whilst more speculative types are on their knees prospecting for nuggets, the higher probability way to make a fortune in a gold rush is by selling shovels and other services to the gold mining hopefuls...
01 July 2016
Blog: BREXIT - Well, we all got that slightly wrong...
Along with everyone else, we were mildly surprised to wake up on the morning after the referendum to find that the UK had voted to leave the EU
19 May 2016
Blog: Investment Trusts Seminar - A Short Summary
Capital Access hosted an investor seminar on the Investment Trust sector. Managers from six closed-end funds (Jupiter US Smaller Companies, Baronsmead VCT, Pantheon International, Apax Global Alpha & Highbridge Multi-Strategy Fund) presented on their strategies, followed by our keynote speaker, Gervais Williams, and a Q&A panel.
09 May 2016
Blog: Capital Access Group "Brexit Debate" - We will stay in, but it will be close
We will stay in, but it will be close.
21 April 2016
EU Referendum Discussion - Monday, 9th May
Capital Access is hosting an EU Referendum breakfast discussion on Monday, 9th May at 8.30am. The discussion will focus on the economic implications of the referendum from both sides.
11 April 2016
Blog: What Investors Want from Companies
Have you ever wished as a quoted company that investors would tell you what they “really, really want”? Well, the Investment Association has just published an Action Plan for the investor community.
08 April 2016
Blog: Cameron finds a socially useful way to avoid tax
Passive fund managers seem to be winning the argument versus higher charging active fund managers. ETFs took in a record $372bn of net new assets last year, and the industry now controls nearly $3tn of assets. As more money flows into passive funds, it is worth thinking about some of the possible negative consequences.
05 April 2016
Blog: Woodford breaks ranks on the cost of research
Not for the first time, Neil Woodford has broken ranks with the rest of the fund management industry. He has announced that his funds will change the way it pays for research. From this April the fund manager will now pay for research directly. Previously, in line with industry practice, fund managers customers paid for research, and it was hard for those customers to know if they were getting value for money.
01 April 2016
Extel 2016 Survey Voting Now Open
The Extel 2016 survey is now open for voting - running through to 29 April. If you value our service, we would appreciate your vote. Capital Access is listed in the ‘Non-Deal Roadshows’ category under ‘Company & Expert Meetings’.
23 March 2016
BLOG: BANKING'S NEW STORM
In a relatively benign credit environment post financial crisis (bad debts are down 90% since 2010) revenue at universal banks has shrunk by a third 2010 v 2015. In contrast at the FY results, banks without legacy issues like Shawbrook and Aldermore are growing revenue at double digit rates. Once the new new entrants (with names like Mondo, Civilised, Atom, Tandem and Starling) really hit their stride, there will be many more banks competing in a shrinking revenue pool.
17 March 2016
BLOG: SAVVY XAVIER
Well done Xavier Rolet! The deal that London Stock Exchange Group Plc's CEO has negotiated with Deutsche Boerse AG is remarkable. It offers significant benefits. It may also be Europe's last chance to create a credible rival to the huge market operators in the United States.
10 March 2016
BLOG: SPOTLIGHT ON DATA SCIENCE INITIATIVES IN CONSUMER BEHAVIOUR RESEARCH
Jaywing, the AIM listed data-led marketing services company last week announced a ground-breaking collaboration with the Data Science Institute (DSI) at Imperial College, London. Jaywing has entered into a three and a half year project intending to deliver a breakthrough in the understanding of cognitive behaviour in the advertising and marketing services industry.
03 March 2016
CAPITAL ACCESS APPOINTS SIMON BRICKLES AS CHAIR OF NEW ADVISORY GROUP
Capital Access Group, the leading investor engagement adviser, is pleased to announce the appointment of Simon Brickles to chair its newly-established Advisory Group.
17 February 2016
BLOG: IS MARKETPLACE LENDING GOING MAINSTREAM?
A new report published by Nesta and Cambridge University suggests that P2P lending is becoming more institutionalised. An article in the FT this morning (17 Feb 2016) “Banks behind a quarter of loans on peer-to-peer websites” wrongly attributes this to banks.
12 January 2016
BRUCE PACKARD JOINS THE CAPITAL ACCESS TEAM
Capital Access Group, the leading investor engagement adviser, is pleased to announce that Bruce Packard CFA has joined its Investor Analytics team.
11 January 2016
BLOG: UK FUND REDEMPTION ANALYSIS - DECEMBER 2015
The downward trend of outflows from UK equities that we saw in October 2015, as measured by Index funds, has now reversed. This trend is also mirrored among active mandates.
06 January 2016
Capital Access Group appointed by Avation and Eco Animal Health
Capital Access Group is pleased to announce that it has been appointed by two new clients.
24 November 2015
BLOG: WPIC REPORT CLAIMS THAT GLOBAL PLATINUM DEMAND COULD RISE POST VW SCANDAL
It has been a tough year for everyone operating in the platinum market. The spot price has fallen by 14.2% to $855/oz which is its lowest point since November 2008 when it reached $852/ oz and compares with the all time high in March 2008 of $2,066/ oz.
20 November 2015
BLOG: WHO OWNS UK EQUITY?
The recently published ONS report on the ownership of UK shares underlined the continuation of some embedded long-term trends. Ownership of UK-quoted equity by UK institutions and individuals continues to fall in favour of overseas headquartered investors.
19 November 2015
LAUNCH OF CAPITAL ACCESS INSIGHT – INVESTOR PERCEPTION STUDIES
Capital Access Group, the leading investor engagement adviser, has launched ‘Capital Access Insight’. This will offer listed companies a unique approach to investor perception studies.
10 November 2015
BLOG: LONG-TERM PROSPECTS FOR HOUSEBUILDERS LOOK PROMISING
Against the background of a strong Q3 trading update from Persimmon last week, there have been a few negative comments on the sustainability of the housing market recently. We could see little in Persimmon’s current position that supported this (margin improving, land bank strong, new land prices low, strong dividend growth, etc, etc.) but it is worth looking at the arguments for and against.
09 November 2015
BROKER PROFILE LAUNCHES NEW NAME AND REBRANDING AS CAPITAL ACCESS GROUP
Broker Profile today announces that it has launched its new name and branding as Capital Access Group.
15 October 2015
CAPITAL ACCESS GROUP APPOINTED BY EXANE BNP PARIBAS
Capital Access Group, the leading investor communications consultancy, has been appointed by Exane BNP Paribas to provide advice on its PR strategy.
09 October 2015
Broker Profile proud to sponsor AIM Award
Broker Profile, part of the Capital Access Group, the leading investor engagement consultancy, is proud to have sponsored the International Company of the Year Award at the AIM Awards 2015, held last night.
28 July 2015
BROKER PROFILE ACQUIRED BY NEW MANAGEMENT TEAM
Broker Profile, the specialist Investor Relations consultancy today announces that it has been acquired by Capital Access Group Limited. Capital Access was founded by Richard Feigen and Kevin Lapwood, until recently partners at Hub Capital Partners and, respectively, the ex-Managing Director and ex-Head of Research at stockbrokers, Seymour Pierce.
15 January 2018
Hot Off The Wires - 15th January 2018
Asian stocks were at historic highs today after US stocks touched record highs on Friday following better-than-expected results from JP Morgan and Wells Fargo.
Hot Off The Wires - 19th December 2016
10 May 2017
Hot Off The Wires - 10th May 2017
The FTSE has opened up as markets are generally on edge after US President Donald Trump's shock dismissal of FBI director James Comey late last night. The move sent the dollar down, other European markets are forecast to open lower this morning
27 April 2017
Hot Off The Wires - 27th April 2017
London shares have opened down after stock markets in Asia were broadly lower, with investors cautious following the Bank of Japan's policy statement. The Nikkei was down 0.4% despite a weaker yen. Elsewhere in the region, the Shanghai Composite Index was off 1%, while the Hang Seng fell 0.4% and Australia's S&P/ASX 200 was flat. Watch out for: Eurozone consumer confidence and business climate (April), ECB interest rate decision, German CPI (April) and US durable goods orders (March).
06 February 2017
Capital Access Group & The Times: Investor Perception Survey
Capital Access Group (“CAG”), the UK’s leading provider of investor access for listed companies, today publishes the results of the first in a series of quarterly investor perception study.
Hot Off the Wires Archive
06 December 2018
Hot Off The Wires - 6th December 2018
In morning trading Japan's Nikkei 225 fell 1.27% while China’s Shanghai Composite Index fell 1.05%. In Hong Kong, the Hang Seng Index declined 2.34%. While China’s pledge on Wednesday to move quickly on trade commitments to the US had helped ease selling pressure in equities yesterday, news that Canada has arrested the CFO of Huawei and may extradite her to the US put a damper on sentiment. Opec and other top oil producing countries are set to meet later on Thursday in Austria, with a series of issues on the line. Chief among those is the discussion surrounding crude output policy. Ahead of the anticipated Opec meeting, shares of oil-related companies in Asia were mostly lower. US markets were closed on Wednesday to mark the death of former President George H.W. Bush
05 December 2018
Hot Off The Wires - 5th December 2018
Members of the Organization of the Petroleum Exporting Countries are bristling at the close ties between Saudi Arabia and Russia as the group looks to cut output to offset falling crude prices. Delegates say they are growing increasingly concerned that Saudi Arabia is giving nonmember Russia too much leverage over prices, OPEC officials said. They say the cartel's plans to push prices higher could be at risk if Russia doesn't go along. German auto executives outlined plans for U.S. investments on Tuesday during meetings with President Trump and top White House officials, a strategy aimed at easing U.S. threats of auto tariffs. Watch For: monthly car registrations figures; Treasury Committee evidence session on the economic impact of the EU Withdrawal Agreement; CIPS/Markit Services PMI; Liam Fox quizzed by MPs on international trade; Peers debate Theresa May's Brexit deal; Treasury Committee evidence session with Chancellor Philip Hammond on the economic impact of the EU Withdrawal Agreement.
04 December 2018
Hot Off The Wires - 4th December 2018
German Auto CEOs' Planned U.S. Meeting Draws European Criticism. German carmakers' plans to meet with U.S. officials in Washington on Tuesday drew intense criticism in Berlin and Brussels, where concerns are growing that such talks could undermine trade negotiations. France's Antigovernment Protesters Balk at Negotiations. Prominent members of the protest movement that has rocked Paris in recent days are threatening to boycott talks with the government of Emmanuel Macron, frustrating the French president's attempts to defuse the crisis. The strong rally in European stocks is likely to stall Tuesday, with futures pointing to modest opening losses as tensions between the U.S. and China remain. Asian equities were broadly lower, with a number of indexes sitting near session lows as the day's action progressed. After gaining in seven straight sessions, the Nikkei fell sharply, while Hong Kong's Hang Seng pulled back from its highest close since late September. Energy stocks fell following Monday's surge in oil prices. Chinese equities were little changed in morning trading, with both the Shanghai Composite and the smaller-cap Shenzhen Composite fractionally higher. U.S. stocks closed sharply higher Monday, with the S&P 500 having its best start to December in eight years. However, futures were deep in the red early Tuesday as major differences between the U.S., China are still unresolved. Watch For: Construction PMI; OBR's forecast evaluation report; BRC's Retail Sales Monitor; Barclaycard's consumer spending data.
03 December 2018
Hot Off The Wires - 3rd December 2018
Markets started positively today as the U.S. and China have agreed a cease-fire over tariffs. President Trump has agreed to stall a threatened increase in tariffs on $200bn of Chinese goods to allow time for negotiations, after talks with President Xi in Argentina this weekend. In return, the US said China would agree to purchase a “very substantial amount of agricultural, energy, industrial and other product from the U.S.” to reduce the trade imbalance between them. This would likely lift prices of soybeans and natural gas; To stabilise oil prices, Russia and Saudi Arabia have agreed to extend OPEC's joint efforts, Russian President Vladimir Putin said over the weekend, as the broader coalition of producers inches closer to a deal this week; Watch For: CIPS / Markit Manufacturing PMI; Treasury Committee evidence session with FCA Chief Exec Andrew Bailey on the economic impact of the EU Withdrawal Agreement.
22 November 2018
Hot Off The Wires - 22nd November 2018
After broad early gains, Asian stock markets struggled for direction with thin action ahead of the Thanksgiving holiday in the US. The Nikkei was fighting to remain positive, weighed down by major banks. Hong Kong's benchmark and Chinese large caps gave up initial gains on weaker Chinese wireless firms. In the US technology and other fast-growing stocks rebounded yesterday. Watch For: Accounts of ECB's October monetary policy discussions; US markets closed for Thanksgiving
21 November 2018
Hot Off The Wires - 21st November 2018
Less than two weeks ahead of a China-U.S. summit, the U.S. Trade Representative accused Beijing of failing to change economic policies that threaten U.S. industry. "China has not fundamentally altered its unfair, unreasonable and market-distorting practices," U.S. Trade Representative Robert Lighthizer said in a news release. Watch For: OECD Economic Outlook; U.K. public sector finances; REC JobsOutlook survey; Theresa May in Brussels to meet Jean-Claude Juncker to finalise Brexit deal; MPs quiz Michael Gove on Defra's Brexit preparations; John McDonnell outlines Labour plans for the City of London at a Reuters Newsmaker discussion forum
20 November 2018
Hot Off The Wires - 20th Novemeber 2018
Markets remained volatile with falls across the board overnight in the US and Asia. Investors will be watching for news from the CBI Industrial Trends Survey, Mark Carney in front of MPs, another Cabinet meeting and the ongoing EU defence meeting.
19 November 2018
Hot Off The Wires - 19th November 2018
The leaders of France and Germany pledged on Sunday to strengthen the European Union and work toward the creation of a European army, in a show of unity on a controversial initiative that has been criticized by President Donald Trump. Speaking in Germany's Lower House of Parliament, French President Emmanuel Macron called on European leaders to take more responsibility for their defense and security. Watch for: Theresa May and Jeremy Corbyn due to speak at CBI annual conference in London; ECB's Nouy speaks at banking regulation conference in Frankfurt; Fed's Williams speaks in the New York.
14 November 2018
Hot Off The Wires - 14th November 2018
Futures point to opening losses for Europe's key indexes as developments with Brexit and the Italian budget are weighed by investors. Asian stocks were little changed as investors had much to chew on, from a plunge in oil prices and fresh declines in American big-cap stocks to possible progress on U.S.-China trade and Brexit. Australia's ASX 200 was the region's worst performer, continuing its decline Wednesday with the energy sector again a casualty of the oil selloff. Other benchmarks traded within a 0.3% range of the flat line. Oil's slide also dragged down U.S. stocks Tuesday, scuttling major indexes' earlier attempt to mount a rebound. Watch for: October inflation, RPI, PPI, House Price Index; updates from Avon Rubber, British Land, Cobham, Flybe, Grainger, Renold, Speedy Hire, SSE, Workspace.