• Embed Doc
  • Copy Link
  • Readcast
  • Collections
  • CommentGo Back
Download
 
 
This material has been produced by RBS sales and trading staff and should not be considered independent.
The Round Up
11 November 2009
Issue No. 215
The Round Up is a comprehensive daily note produced by the RBS Warrantsteam providing an overview of market movements along with quality ideas forwarrant traders and investors.
In today’s issue
Global Market Action
Scoreboard, commentary
Aussie Market Action
SPI Comment, Events & Dividends
DJS (DJSSZX) SFI Investment Buy
– Sales remain strong
QAN (QANKZJ) MINI Trading Buy
– Beneficiary of high AUD
QBE (QBESZX) SFI Investment Buy
– Investor Update
Round Up Corner NEW MINIs Listing today
Equities
Move Last % Move Range Volume
ASX 200+58.7 4733.6 +1.3%
+59 to +59 $5.7 bn(A)
SPI - yesterday+50.0 4734.0 +1.1%
+44 to +99 34,129(A)
Dow Jones+20.6 10247.5 +0.2%
-29 to +34 Avg
S&P 500-0.11093.0-0.0% 
-6 to +3 Avg
Nasdaq-3.02151.1-0.1% 
-13 to +7 Avg
FTSE-4.65230.6-0.1% 
-14 to +29 Low
Commodities
Move Last % Today % Past Month
Oil-WTI spot-0.479.1-0.4%+9.6% Gold Spot+1.4 1105.2 +0.1%
+5.2% 
Nickel (LME)-27.4760.0-3.5% -10.3%  Aluminium (LME)+0.3 87.3 +0.4% +2.7%Copper (LME)-0.5295.1-0.2% 
+4.7% 
Zinc (LME)+0.1 96.9 +0.1% +6.2%Silver-0.317.3-1.6% -2.3%  Sugar-0.521.3-2.2% 
+3.1% 
 
 
Dual Listed Companies (DLC’s)
Move %Move Last AUD Terms Diff to Aus
NWS (US)0.01 0.00
+14.6 c
15.70
+7.5 c
RIO (UK)1.00 0.00
+30.4 c
54.73
-1271.9 c 
BLT (BHP UK)-5.50 0.00
+17.7 c
31.84
-665.5 c 
BXB (UK)-6.25 -0.02
+3.9 c
7.03
-2.2 c 
American Depository Receipts (ADR’s)
Move %Move Last AUD Terms Diff to Aus
BHP (US)-0.02 0.00
+71.5 c
38.42
-7.2 c 
AWC (US)0.01 0.00
+6.2 c
1.67
-1.8 c 
TLS (US)-0.13 -0.01
+15.1 c
3.25
-0.9 c 
ANZ (US)-0.28 -0.01
+21.1 c
22.64
-16.2 c 
WBC (US)-1.66 -0.01
+122.8 c
26.39
-1.1 c 
NAB (US)0.11 0.00
+28.0 c
30.05
-7.5 c 
LGL (US)-0.31 -0.01
+31.6 c
3.39
+1.5 c
RMD (US)-0.28 -0.01
+49.0 c
5.26
-5.8 c 
JHX (US)-1.25 -0.04
+34.0 c
7.32
-1.3 c 
PDN (CAN)-0.05 -0.01
+4.1 c
4.22
-5.2 c 
Overnight Commentary
United States Commentary
 
By recent standards, a reasonably subdued trading session overnight. Volumes remain uninspiring and a tight trading range throughoutthe day, has the Dow hanging on to a 20pt gain heading into the bell. Some weakness across the growth names for the minute, offsetby ongoing strength from selected financials. S&P flat and the Nasdaq down smalls.
Financials
- For the 2nd consecutive sessions, BofA and Amex holding down the top 2 spots on the Dow.BofA trading 2% higher andAmex up 1.5%, the latter ticking higher after mgmt said worldwide spending climbed 3% in October.
Retail
- Priceline joined the list of retailers to either beat with 3Q numbers and/or be upgraded. The stock up 17% and the clear winneron the S&P500 after sales and profits beat the street, $3.45/share vs $2.92 expected.
Homebuilders
- Beazer Homes up 7%(well off highs), its best day in 3 months, returning to profit after 3 years in the red. For theperiod, net income for the 3 months through September came in at 87cps vs an $11.77/share loss in the prior period and well ahead ofconsensus set for a $1.40/share loss. The sector down 3%, not convinced by the quality of the Beazer numbers.
Insurance
- MBIA down 25% on heavy turnover after returning a wider than expected 3Q loss. Blaming among other things, ongoingweakness in the US Housing market, the loss of $3.50/share compares with consensus at $1.09/share.
United Kingdom & Europe Commentary
The FTSE drifted 0.1% or 5pts lower with weakness in miners and telco heavyweight Vodafone outweighing strength in the banks aftera positive update from HSBC. The FTSE Eurofirst 300 was off 0.2%, the DAX fell 0.1% and the CAC ended flat.
UK Banks
- HSBC jumped 4% after the bank said its global banking and markets division was having a record year and losses onconsumer loans had shown their first fall in three years. Barclays sank 5.1% despite also signalling bad debts may be falling withconcern surrounding the future of its investment banking operations. Lloyds was flat after announcing 5,000 job cuts, RBS fell 0.9% butStandard Chartered rose 0.6%.
Insurers
- AXA SA was up 2% after raising €2bn. Some analysts however are worried that AXA has a weaker starting footprint in Asiaand a weaker balance sheet to start acquisitions.
Telcos
- Vodafone was down 1.5% as analysts pointed to underlying weakness and tough competition in emerging markets after thecompany reported in-line results and an extension to its cost-cutting programme to £2bn.
Auto
- VW sank 8% after the Qatar sovereign wealth fund said it would sell half of its 50mn preferred shares to increase the stocksliquidity. Daimler was off 0.3%, BMW fell 2.2%, Peugeot ended 1.3% lower and Renault dropped 3%. Fiat eked out a gain of 0.1% aftera broker upgrade.
 
 
Eco
- Germany's ZEW Economic Sentiment reading came in lower than expected at 51.1 vs 55 expected and down from 56 previously.French industrial production also slipped unexpectedly coming in -1.5% vs +0.5% expected and down from +1.8% previously.
Commodiites Commentary
Miners
- Weaker metal prices saw profit taking after the sector had risen 13% in 5 days. BHP fell 0.3%, Rio was flat, Anglo dropped2.2%, Xstrata sank 1.8% and Vedanta ended down 1.2%.
Energy
- Crude fell back below the $80 mark when the threat of Tropical Storm Ida petered out. BP fell 0.3%, BG Group dropped0.9%, Tullow was off 0.2%, Cairn finished 2.4% lower but Shell managed a gain of 0.3%. In Europe Total was flat, Statoil dropped 1.1%but Repsol finished 0.4% higher.
SPI Commentary
The SPI traded up 50pts or 1.07% to 4734. Open at 4756 with a high of 4783 and a low of 4728. Volume 29,890
SPI Intraday SPI Daily
 
*SPI report taken from the 9:50am open to the 4:30pm close on the previous trading day. Charts taken from IRESS 
Upcoming Economic Events for the Week
MondayAUS
RBA Gov Lowe speaks, ANZ job ads, investor home loans, owner occ housing finance
USTuesdayAUS
RBA’s Broadbent speaks, NAB business confidence, NAB business conditions
USWednesdayAUS
WMI consumer confidence
US
Veterans’ Day holiday
ThursdayAUS
Employment and unemployment
USFridayAUSUS
Trade balance, import prices, Michigan cons confidence
*Dates are indicative only and may change 
of 00

Leave a Comment

You must be to leave a comment.
Submit
Characters: ...
You must be to leave a comment.
Submit
Characters: ...