RBS - Round Up

Equity Structured Products and Warrants

This material has been produced by RBS sales and trading staff and should not be considered independent.

The Round Up

26 May 2010

Issue No. 338

The Round Up is a comprehensivedaily note produced by the RBSWarrants team providing an overviewof market movements along withquality ideas for warrant traders andinvestors.

Equities

Move Last % Move Range Volume

ASX 200-130.14265.3-3.0%

-130 to + $6.0 bn(A)

SPI - yesterday-142.04274.0-3.2%

-153 to -63.u.c 39,264(H)

Dow Jones-22.810043.8-0.2%

-292 to -5

AvgS&P 500+0.4 1074.0 +0.0%

-33 to +1

AvgNasdaq-2.62211.0-0.1%

-73 to -2

LowFTSE-128.94940.7-2.5%

-171 to u.c

Low

Commodities

Move Last % Today % Past Month

Oil-WTI spot-0.8069.41-1.1% -18.5% Gold Spot+8.75 1200.40 +0.7% +3.7%Nickel (LME)-45.68957.91-4.6% -21.8% Aluminium (LME)-2.9890.12-3.2% -13.7% Copper (LME)-8.30304.00-2.7% -13.1% Zinc (LME)-3.4682.78-4.0% -23.0% Silver+0.02 17.93 +0.1%-2.2% Sugar+0.06 15.25 +0.4%-2.6%

Global Market Action

Scoreboard, commentary

Aussie Market Action

SPI Comment, Events & Dividends

Newcrest (NCMKZG) MINI Trading Buy –

Flight to GOLD

Equinox (EQNKZA) MINI Trading Buy

– Costs in focus

ANZ (ANZKZN) MINI Trading Buy

– Still Restoring

Australian Strategy US Reporting Season

Equity Structured Products and Warrants

Dual Listed Companies (DLC’s)

Move %Move Last AUD Terms Diff to Aus

NWS (US)-0.18 -1.2%14.89 18.02

+24.6 c

RIO (UK)-103.5 p -3.5%£28.56 49.79

-1191.4 c

BLT (BHP UK)-50.0 p -2.8%£17.635 30.74

-553.9 c

American Depository Receipts (ADR’s)

Move %Move Last AUD Terms Diff to Aus

BHP (US)+0.12 +0.2% 61.62 37.28

+99.8 c

AWC (US)-0.08 -1.5%5.16 1.56

+2.6 c

TLS (US)-0.25 -2.0%11.95 2.89

+0.2 c

ANZ (US)-0.13 -0.7%17.64 21.34

+0.3 c

WBC (US)-1.90 -2.0%92.30 22.34

+7.5 c

NAB (US)-0.46 -2.3%19.55 23.65

-10.6 c

LGL (US)-0.35 -1.1%32.40 3.92

+6.0 c

RMD (US)-0.09 -0.1%62.01 7.50

+15.3 c

JHX (US)-0.92 -3.0%29.97 7.25

+9.2 c

PDN (CAN)-0.04 -1.2%3.27 3.71

+7.8 c

Overnight Commentary

United States Commentary

USmarketswereweakerbutstagedanafternoonrallytobounce3%offlowswiththeS&P500justclosingintheblackwiththemajorindicesimportantlyclosingaboveFebruarylows.TheDowwasoff23pts,theS&PwasflatandtheNasdaqfell0.1%.

Eco -

ConsumerConfidencewas63.3,itshighestlevelintwoyears,vs58.5expectedupfromarevised57.7previously.RichmondFedManufacturingwasinlineat26andtheHousePriceIndexwas+0.3%vsflatexpectedandupfrom-0.4%prior.TheCaseSchilleryearonyeargainwasslightlylowerthanexpectedbutmonthonmonththe20citywasbetterthanexpected.

Financials -

HouseRepBarneyFranksaidaproposaltolimitderivtradingbythebankswenttoofar.Goldmansjumped4.3%,RegionsFinancialwasup3.5%,MSadded1.4%andonthebigboardJP'srose0.8%withBoAup0.6%.

Materials -

Commoditypricesbouncedlatehelpingsomeinthesectortogoodgains.FreeportandNewmontwereup3.1%and2.3%,Alcoaclimbed1.9%butCaterpillarwasflat.AKSteel,up11.4%,wasthebestontheS&P500afterbeingupgradedwithUSSteelup3.7%andNucoradding1.5%.

United Kingdom & Europe Commentary

TheFTSEshed129pointsTuesdayaslingeringEuropeandebtfearsandconflicttalksoutofNorthKoreacausedinvestorstoabandonriskyassets.Banksandminerscontinuetobearthebruntoftheselloffagainunderperformingthebroadermarket.Themarketfinishedtheday-2.5%,theDAX-2.3%andtheCAC-2.9%.

Banks -

BanksweresoldoffasconcernssurroundingEurope'sdebtsituationremainathreattotheglobaleconomicrecovery.Barclays,Lloyds,HSBCandStandardCharteredoff4.3%to8%.

IntheUKGDPwasinlineat0.3%,privateconsumptionwasslightlybetterthanexpectedat0%vs.-0.2%exp.Andimportswerehigherat1.4%vs.0.4%exp.AcrosstheEurozoneindustrialneworderswere5.2%vs.2.5%exp.(mom)and19.8%vs15%(yoy).

Commodities Commentary

Miners -

Minerswereweakerasmetalpricesweresoldoffonthebackofdemandconcerns.ENRC,Antofagasta,Vedanta,RIO,BHPandXstrataoff2.8%to7.1%.

Energy -

OilmajorstrackedthecrudepricelowerandcontinuetobesoldoffonsentimentsurroundingBP'soilspillintheGulfofMexico.BP,BGandRoyalDutchoff1.2%to2%.