Day Ahead

Monday, April 29, 2013, Marketing Communication FTSE 100 Opening Call The FTSE is seen starting the week around unchanged UK Corporate Announcements Greene King reports that it has seen a resilient performance across all its businesses and expects to meet the full year targets, as 51 week LFL sales gained 3.1% Balfour Beatty warns that it sees significantly lower operating profits in 2013 and that market conditions continue to be difficult Rentokil Initial announces Q1 revenues of £644.8m from £616.4m and details it has sold City Link for £1 Aberdeen Asset Management announces H1 AUM of £212.3bn up 13% from September, and an underlying pre-tax profit of £222.8m on revenues of £516m Greggs warns that it now sees its full year profits slightly below the lower end of the range of estimates as 17 week comparable sales fell 4.4% UK Market News Lloyds details that it has sold its Spanish banking operations to Sabadell for €104m in cash, and sees a loss of around £250m on the sale The Times writes on how the vitriol between UKIP and The Tories has gained in recent days ahead of the local elections where the minority party is seen making a major dent in the Tory voting numbers Verizon has reportedly been informing analysts on how much it would be willing to pay for Vodafone’s stake in their mobile joint venture as it continues its lobbying to restart talks on the unit London homes have sold at the fastest rate since 2008 in April as the two tier market continues, according to data from Hometrack S&P details that it has cut its stance on Barrick Gold to BBB from BBB+ and with a negative outlook The FT writes that Intermediate Capital Group is in talks with Lloyds over a €400m collateralised loan obligation, which could be closed over the summer Sainsbury has reportedly hired Egon Zehnder to start sounding out potential CEO candidates to replace Justin King when he decides to step down Kenneth Clarke has stated that the UK economy could take a further three years to heal UK Analyst Changes Anglo American Raised To Neutral Vs Reduce At Nomura Enrc Raised To Neutral Vs Reduce At Nomura Reed Elsevier Cut To Neutral Vs Buy At Citi Sainsbury Cut To Neutral Vs Buy At Citi Ubm Raised To Buy Vs Neutral At Ubs UK Insider Buying Advanced Oncotherapy, (AVO), 1 insider(s) bought 8250000 shares, £0.02 Berendsen Plc, (BRSN), 1 insider(s) bought 1854 shares, £7.91 Billington Holdings Pl, (BILN), 1 insider(s) bought 900 shares, £0.43 Brammer Plc, (BRAM), 1 insider(s) bought 69750 shares, £3.26 Guinness Peat Group Pl, (GPG), 1 insider(s) bought 370000 shares, £0.3 London Mining Plc, (LOND), 1 insider(s) bought 5000 shares, £1.13 Nasstar Plc, (NASA), 1 insider(s) bought 190476 shares, £0.1 Norcon Plc, (NCON), 1 insider(s) bought 58521 shares, £0.15 Tesco Plc, (TSCO), 1 insider(s) bought 4086 shares, £3.64 Vernalis Plc, (VER), 1 insider(s) bought 107000 shares, £0.23 UK Insider Selling Bodycote Plc, (BOY), 1 insider(s) sold 27637 shares, £4.99 FTSE 100 Movers Major European Companies Reporting Atlas Copco AB, Q1, 2.671,  Deutsche Boerse AG, Q1, 0.92,  Erste Group Bank AG, Q1, 0.413,  Fiat SpA, Q1, -0.033,  Galp Energia SGPS SA, Q1, 0.083,  Luxottica Group SpA, Q1, 0.34,  Petroleum Geo-Services ASA, Q1, 0.288,  Pohjola Bank PLC, Q1, 0.205,  QIAGEN NV, Q1, 0.222,  Svenska Cellulosa AB, Q1, 1.612,  Swedish Match AB, Q1, 3.34,  TNT Express NV, Q1, 0.029 European Market Summary Italy could signal a European shift away from austerity this week as its new government attempts to alter course, despite the pressures from Germany on the required structural changes the concerns are that the political consensus is failing to gain enough support for the tough measures needed The Netherlands is preparing for tomorrow’s inauguration of King Willem-Alexander after Queen Beatrix announced back in January that she will cede the thrown to her eldest son Bloomberg details how the high profile divorce case between Dmity Rybolovlev, and his wife Elena, is opening up the opaque world of offshore tax havens, reports suggest that as few as 100,000 people own as much as $10tn of offshore assets France sells up to €8bn in bills at 14:50, Italy sells up to €6bn in bonds at 11:0 and Germany sells €3bn in bills at 11:30 Global Intraday Footprint Major US Stock Movers After Hours There were no major movers after hours on Friday S&P 500 Companies Reporting Eaton Corp PLC, Q1, 0.786,  Express Scripts Holding Co, Q1, 0.976,  Hartford Financial Services Group Inc, Q1, 0.82,  Loews Corp, Q1, 0.84,  Masco Corp, Q1, 0.135,  Newmont Mining Corp, Q1, 0.772,  Plum Creek Timber Co Inc, Q1, 0.323,  Roper Industries Inc, Q1, 1.222 US Market News Actavis was in the news late last week on reports it was in merger talks with Valeant, however reports over the weekend suggest these talks have already stalled over price Barron’s suggests that Ecolab could gain 20% as its water treatment technology is required in the fracking industry It also suggests that International Paper could gain 30%, and that Layne Christensen could gain 50% over 2 years Taylor Capital is to replace K Swiss in the S&P SmallCap 600 Talk that PepsiCo may be considering a move for food and drinks group Mondelez have cooled in recent days Bloomberg details how the Merrill Lynch Global Broad market Sovereign Plus Index dropped to 1.34% last week, down from 3.28% just five years ago as demand for bond stays at record highs Mexico has kept its interest rate unchanged at 4.0% Overnight Market News Some Asian markets were closed today, so overall volumes were light, but indices that were open largely gained as returning optimism on gold buoyed sentiment Shinzo Abe is due to make a first visit to Russia by a Japanese PM for over a decade, Japan is Russia’s second largest market behind China, but they are yet to sign a formal peace treaty since the end of World War II as tensions remain high and the parties continue to dispute the ownership of some islands off the Southern Kurils China details that as part of its crackdown on abuses of vehicle management it will no longer allow military plates on luxury cars Top FX News Pimco has stated that Scandinavian currencies remain interesting from both a relative domestic fiscal position and relative interest rate position Top Commodity Copper prices dipped 0.7% on some concerns ahead of US growth numbers out this afternoon Economic Data Due 10:00 Eurozone April Consumer Confidence, -22.3 exp. -22.3 previous 13:30 US March Personal Income, 0.4% exp. 1.1% previous 15:00 US March Pending Homes, 1.0% exp. -0.4% previous Economic Events US Treasury Quarterly Borrowing Estimates US Personal Income CFD Sales/Traders 0044 (0) 207 894 8883 cfdsales@cantor.com Equity Spread Bet Sales 0044 (0) 207 894 8800 sales@cantorcapital.com Footnotes FTSE 100 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). 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