Day Ahead

Thursday, April 11, 2013, Marketing Communication Cantor Opening Call The FTSE is seen opening around flat to just a touch lower this morning UK Corporate Announcements Hays states that it has delivered a resilient Q3 and sees its full year at the top end of the current range of estimates Mothercare announces that Q4 group sales fell 4.8% and that underlying pre-tax profits were in line with the market expectations Scapa Group announces that group revenues and operating profits are in line with the expectations PZ Cussons details that it sees its full year results in line with the management expectations Evraz states that its full year profit has been impacted by an impairment of $413m, and that full year revenues were at $14.7bn from $16.4bn and states that profits have deteriorated as falling commodity prices affected revenues Marks & Spencer announces Q4 comparable food sales gained 4% ahead of the estimates of 2.5% seen, and states that it has been unaffected by the recent ‘issues’ in the food industry, and details that general merchandise fell 3.8% just inside the forecasts of 4% WH Smith reports an H1 pre-tax profit of £69m on sales of £638m and expects the trading environment to remain challenging Ashmore details assets under management of $77.7bn up 9.4% UK Market News RBS reportedly fired a key derivatives trader a week after the latest Libor fine, but kept the move private UK based Streetmap is suing Google for anti-competitive behaviour Marks & Spencer’s will be eyed after recent articles suggesting that its position as the leading clothing retailer in the UK is under threat Man Group confirms that the FCA has eased its regulatory status, allowing it to free up $300m that had been used as a capital planning buffer Ofwat today publishes its proposals on how much water companies can charge from 2015-2020 The UK sells £1.6bn in Bonds at 10:30 UK Analyst Changes Balfour Beatty Raised To Buy Vs Hold At Berenberg Centamin Cut To Sell Vs Hold At Socgen Delta Lloyd Removed As A Most Preferred Stock At Citi UK Insider Buying Amara Mining Plc, (AMA), 1 insider(s) bought 50000 shares, £0.37 Az Electronic Material, (AZEM), 8 insider(s) bought 170557 shares, £2.65 Cenkos Securities Plc, (CNKS), 1 insider(s) bought 20000 shares, £0.88 Centamin Plc, (CEY), 1 insider(s) bought 500000 shares, £0.48 Diageo Plc, (DGE), 1 insider(s) bought 419 shares, £19.77 Imi Plc, (IMI), 1 insider(s) bought 8000 shares, £12.62 Mission Marketing Gro, (TMMG), 1 insider(s) bought 60000 shares, £0.34 Robert Walters Plc, (RWA), 3 insider(s) bought 145785 shares, £2.25 Ruspetro Plc, (RPO), 1 insider(s) bought 1143249 shares, £0.3 Synety Group Plc, (SNTY), 1 insider(s) bought 50000 shares, £1.25 Verona Pharma Plc, (VRP), 2 insider(s) bought 1150000 shares, £0.02 Vesuvius Plc, (VSVS), 1 insider(s) bought 12000 shares, £3.29 UK Insider Selling Amlin Plc, (AML), 2 insider(s) sold 93892 shares, £4.24 Atkins (Ws) Plc, (ATK),  insider(s) sold 3206 shares, £8.78 Fiberweb Plc, (FWEB),  insider(s) sold 40000 shares, £0.82 Jupiter Fund Managemen, (JUP), 1 insider(s) sold 6500 shares, £3.3 Rathbone Brothers Plc, (RAT), 1 insider(s) sold 790 shares, £14.58 FTSE 100 Movers Major European Companies Reporting Chr Hansen Holding A/S, Q2, 0.216,  Evraz PLC, R, 0.071 European Market Summary Cyprus has been informed that it still needs to follow through on its commitments to sell gold, and other state assets, worth around €1.8bn Monti details that Italy’s debt has moved up to a record post war level, as it moves to 130.4% of GDP up from 127% last year, concerns over the huge level of debt are abated somewhat, for now, as the budget deficit is within the EU limit of 3% of GDP Third Point details that it is to start a fund to invest in Greek assets Christine Lagarde has stated that the co-ordinated actions by authorities has eased the risks seen in the markets, but also states that European banks still need to recapitalise, restructure or shut down branches and that the threat from the world’s largest lenders remains dangerous Major US Stock Movers After Hours Aeterna gained around 30% after hours on positive clinical trial data on its Endometrial cancer drug Fortinet came off 13% as it announces profit under the expectations and is already cut to Market Perform at Wells Fargo S&P 500 Companies Reporting Progressive Corp/The, Q1, 0.444 US Market News US Fed Meeting minutes were released earlier than expected yesterday after the Fed mistakenly sent the minutes to Congress and certain Wall Street firms ahead of the usual time, the minutes detailed that several of its members had considered halting QE this year if the labor market improved Bloomberg highlights how US stock buybacks totalled $208bn in Q1, and highlights that Apple, Analog Devices and Garmin are amongst those seen having the most firepower to extend the trend Netflix has been amongst the first to formally declare that it will be using Facebook and Twitter to make official regulatory news releases, after regulators cleared the use of social media services, as long as they had been properly disclosed beforehand Overnight Market News The Bank of Korea leaves its key interest rate unchanged at 2.75%, only half of those polled expected an unchanged stance, and South Korea bonds dropped after the news Toyota announces that it is to recall around 1.73m vehicles globally on an newly discovered airbag issue from manufacturer Takata Corp, taking the total number of possibly affected vehicles up to 3m  from Honda, Nissan and Toyota Australia’s unemployment rate has moved up to a three year high of 5.6% from 5.4% as the Labor Party stays 10 points behind the opposition in the polls, ahead of a general election due in September Bank of Japan’s Kuroda states that the central bank has done all that it can for now to achieve the 2% inflation goal Top FX News Colombia’s central bank chief states that in the long run a central bank does not affect the exchange rate, but is caused by structural shifts in the economy, such as the expansion of Colombia’s oil and coal sectors leading to a 53% appreciation of the peso since 2004 Economic Data Due 09:00 ECB Monthly Report 13:30 US Initial Jobless Claims, 360k exp. Economic Events IMF Financial Stability Report US Initial Jobless Claims CFD Sales/Traders 0044 (0) 207 894 8883 cfdsales@cantor.com Equity Spread Bet Sales 0044 (0) 207 894 8800 sales@cantorcapital.com Footnotes Cantor Call, as at 6:45am Analyst Changes, as at 6:30am 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). Major European Companies defined as those companies in the STOXX Europe 600 Index FTSE 100 Movers, Blue >0.25%, Green <0.25% > -0.25%, Red < -0.25%, Font size dependent on percentage size of move This note is compiled using information / charts from financial data providers such as Bloomberg and Reuters, as well as from the general financial / business media Regulatory Disclaimer This market commentary note (“note”) has been issued by Cantor Fitzgerald Europe (“CFE”), which is authorised and regulated by the Financial Conduct Authority (“FCA”). Cantor Index is a trading name of CFE. This note is defined by the FSA as a marketing communication. This note has been prepared and distributed for information purposes only and represents the personal views and opinions of the sender. This note is not “investment research”, a “research recommendation” or a product of the Research Department. Please be aware that the CFE Research Department may issue a formal recommendation and target price on the stocks mentioned, which may differ from the opinion given here.  This note may contain information obtained by CFE from third parties; the source of information will usually be disclosed.  CFE makes no representation and gives no warranty as to the accuracy or completeness of the contents of this note. Any person placing reliance upon this note does so at their own risk. Investors should consider this note as only a single factor in making their investment decision. The investment discussed in this note may be unsuitable for investors depending on their specific investment objectives and financial position. CFE, its officers, employees and affiliates shall not be liable to any person in any way whatsoever for any losses, costs or claims howsoever arising from any inaccuracies or omissions in this note or any reliance on this note. The recipient is strongly recommended to see independent legal, tax and financial advice. Past performance is not necessarily a guide to future performance. Income from investments may fluctuate. The price or value of the investments to which this note relates; either directly or indirectly, may fall or rise against the interest of investors. This note should not be considered to be a solicitation nor an offer of advice for the purposes of the sale or purchase of any security, investment or derivative.  The information contained in this note is not intended to form the basis of any investment decision and should not be considered a recommendation by CFE or any other person in relation to any of the companies, stock, commodities, currencies or other markets mentioned / referred to in this note. All the information contained herein is based upon information available to the public and has been obtained from sources believed to be reliable. However, the information contained in this note has not been verified by CFE and CFE undertakes no obligation to provide recipients of this note with any additional information or any update to or correction of the information contained in this note. This note is provided by CFE and may be forwarded unamended and in its entirety. This note may not be used in whole or in part to create any other work. All rights reserved. CFE is authorised and regulated by the FCA under Firm Reference Number 149380.   CFE – The Financial Services Register Information: http://www.fsa.gov.uk/register/firmBasicDetails.do?sid=61341 Registered in England No. 02505767 Registered Address: 17 Crosswall, London, EC3N 2LB Risk Warning Trading CFDs carries a high level of risk to your capital and is not suitable for all customers. Furthermore, margined products use leverage to increase the level of exposure to the product, and as a result your losses may substantially exceed your initial deposit and require you to make additional deposits at short notice. Prior to trading leveraged CFDs, you should carefully consider your investment objectives, experience and risk appetite and should not invest money that you cannot afford to lose. Spread Bets are leveraged products placing your capital at risk. Losses can quickly exceed your initial deposit and thus require you to make additional deposits at short notice to maintain your positions. Leveraged products are not suitable for all customers. Please ensure you understand the risks involved before opening an account. You should ensure you fully understand the risks and seek independent financial advice if in doubt. CFE provides an execution only service and does not offer investment advice. These products are not intended for people under the age of 18 or for US residents. The distribution of this note in other jurisdictions may be restricted by law and persons into whose possession this note comes should inform themselves about and observe any such restrictions. By accepting this note you agree to be bound by the foregoing instructions.