Day Ahead

Tuesday, February 26, 2013, Marketing Communication Cantor Opening Call The FTSE is seen opening down a significant 90 points lower today after US and Asian markets came off overnight on renewed European concerns UK Corporate Announcements GKN announces 2012 pre-tax profit of £588m up 68% with sales up 13% to £6.51bn Elementis details full year sales of $757m from $760m with full year adjusted operating profit gaining 5% Redrow announces H1 revenues of £257m up 10% and a pre-tax profit of £23m and in H1 the average home price gained 105 to £224k Provident Financial announces its full year adjusted EPS gained 13.8% to 102p/share and that customer numbers gained 8.7% to 2.74m Goals Soccer Centres reports a full year operating profit of £11.3m with full year sales up 7% Imperial Tobacco states that it is to detail its cost program at an event today, where it sees further savings of £300m/year by 2018 and plans to grow dividends by at least 10%/year Hiscox announces it plans an 89 for 100 share capital consolidation and a return of capital to shareholders Croda states that it stays confident of further progress in 2013 as it announces full year revenues of £1.05bn just under the forecasts of £1.08bn seen UK Market News Mark Carney suggests that Banks should still do more to regain public trust including more radical reforms Moody stays in the news as it cuts the UK government guaranteed debt of Lloyds and Barclays, but as with the downgrade of the US by S&P the actual impact on the markets remains limited as gilts outperform bunds Polls suggest that the Lib Dems are set to hold onto the Eastleigh seat despite the recent scandals Rio Tinto is due to meet with the Mongolian government tomorrow after weeks of disputes over control of the world’s largest copper and gold mine under construction Reckitt Benkiser itself is being looked at by US Competition Authorities after the company’s efforts to put pressure on medicine regulators to block generic versions of its heroin substitute drug BP will stay in the news as the trial starts and US prosecutors look for the maximum penalty which could be as high as $17bn UK Analyst Changes Bovis Homes Cut To Neutral Vs Buy At Citi Hargreaves Lansdown Rated New Buy At Jefferies, Pt 1,000P Hiscox Pt Raised To 506P Vs 444P At Nomura, Stays Reduce Ladbrokes Pt Raised To 203P Vs 150P At Nomura, Stays Neutral Lloyds, Swiss Re Removed From Socgen Premium List Paragon Raised To Buy Vs Neutral At Bofaml St James Place Rated New Hold At Berenberg; Pt 540P UK Insider Buying Ashmore Group Plc, (ASHM), 1 insider(s) bought 25000 shares, £3.6 Marks & Spencer Group, (MKS), 1 insider(s) bought 3000 shares, £3.77 Rsa Insurance Group Pl, (RSA), 5 insider(s) bought 239303 shares, £1.18 UK Insider Selling Arm Holdings Plc, (ARM), 1 insider(s) sold 90000 shares, £9.24 Character Group Plc, (CCT), 2 insider(s) sold 94000 shares, £1.34 Genus Plc, (GNS),  insider(s) sold 21162 shares, £14.38 Young & Co's Brewery Pl, (YNGA),  insider(s) sold 50000 shares, £7.73 FTSE 100 Movers Major European Companies Reporting Aalberts Industries NV, R, 1.391,  BASF SE, R, 5.337,  CRH PLC, R, 0.733,  Croda International PLC, R, 1.267,  Elementis PLC, R, 0.232,  Fresenius Medical Care AG & Co KGaA, R, 2.778,  Fresenius SE & Co KGaA, R, 5.41,  Georg Fischer AG, R, 35.951,  GKN PLC, R, 0.241,  Jyske Bank A/S, R, 10.898,  Kerry Group PLC, R, 2.349,  Mediobanca SpA, S1, 0.14,  Provident Financial PLC, R, 1.01,  SEB SA, R, 4.297,  Teleperformance, R, 2.304,  Vivendi SA, R, 2.009,  William Demant Holding A/S, R, 21.118 European Market Summary As expected the Italian election results are suggesting a divided parliament as voters have rejected the Monti austerity and that yet another vote may be needed Peugeot states it sees China turning into its biggest market as Europe stays soft Denmark details it is to cut its corporate tax rate to 22% to increase competitiveness Italy sells €8.75bn in 183 day bills at 11:00am Major US Stock Movers After Hours Autodesk came off 2% as it announced Q4 EPS ahead of the forecasts but then lowered the outlook for Q1 Caesars Entertainment fell around 10% after hours as it announces a large write off on Hurricane Sandy on Atlantic City S&P 500 Companies Reporting American Tower Corp, Q4, 0.77,  AutoZone Inc, Q2, 4.75,  Ecolab Inc, Q4, 0.889,  Edison International, Q4, 1.038,  Expeditors International of Washington Inc, Q4, 0.43,  First Solar Inc, Q4, 1.757,  Home Depot Inc/The, Q4, 0.646,  Macy's Inc, Q4, 1.986,  MetroPCS Communications Inc, Q4, 0.09,  priceline.com Inc, Q4, 6.533,  Range Resources Corp, Q4, 0.29,  Sempra Energy, Q4, 0.963,  Tenet Healthcare Corp, Q4, 0.708,  Vornado Realty Trust, Q4, 1.077 US Market News VIX has gained the most since August 2011, on the back of the Italian elections and UK downgrade, and as VIX futures volumes hit a fresh record high Goldman details that it is cutting its three month forecasts on gold to $1,615 from $1,825 and also cuts its 12 month targets stating that the recovery in the US economy was gaining momentum and investment holdings as a result were being amended The FT suggests that Goldman usually cuts around 5% of its ‘weakest’ staff this time of year, but that the cuts may be deeper this year Yahoo’s Marissa Meyer has banned employee’s of the company from working remotely from home Overnight Market News Singapore is planning to increase taxes on luxury properties as it continues efforts to curb house price speculation Dish Networks continues to pressure the FCC stating that regulators should get more information on Japanese based, Softbanks’s $20bn move for Sprint Nextel Economic Data Due 15:00 US February Consumer Confidence, 60.6 exp. 58.6 previous 15:00 US January New Home Sales, 380k exp. 369k previous Economic Events Bank of England's Miles speaks in London Bernanke testifies to Senate Banking Committee US New Homes Sales Contact Us For Spread Bet Sales:- 0044 (0) 207 894 8800 For CFD Sales/Traders:- 0044 (0) 207 894 8883 Email:- sales@cantorcapital.com Commentary Is Changing Client Access:- From March 1st, CFE active clients will continue to receive our timely notes Free Access:- From March 1st, non CFE clients will receive delayed notes To continue accessing our timely commentary please contact us to open and fund a CFD or Spread Betting account Footnotes Cantor Call, as at 7:00am Analyst Changes, as at 6:45am Times given are UK Local Time, (GMT or GMT +1 during BST) Insider Deals data compiled from Director/PDMR Shareholding forms published in the past 24 hours (ex weekends). 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