Monthly Archives: August 2015

Oil surges 25% in three trading sessions

©Bloomberg Oil prices have rocketed more than 25 per cent in three trading sessions, with the latest boost coming from data on US production and vague hints of a change of thinking inside the Opec producers’ cartel. The rise has been brutal for bearish traders, who just a week ago had pushed crude to the lowest levels in six and…

Twitter lifted 3% by bank’s upgrade

Twitter shares were buoyed on Monday by an upgrade from SunTrust Robinson Humphrey to ‘buy’ from ‘neutral’, as analysts with the bank warm to the company’s prospects and depressed stock price. Shares in the San Francisco-based group advanced 3.5 per cent to $27.78 after Robert Peck, an analyst with SunTrust, lifted his rating. Mr Peck said that the recent all-time…

Why stock trackers flock to the S&P 500

©Reuters With big swings in the US stock market of late, headlines have focused on “the Dow”, but there are $7.8tn worth of reasons why people should be thinking about another index. For the general public, the Dow Jones Industrial Average, first calculated in 1896 and made up of 30 of the largest publicly traded companies such as General Electric,…

China market rounds off grim August

©AFP China’s benchmark stock index closed down nearly 1 per cent on Monday, taking the combined losses for August to 12.5 per cent, following July’s fall of 14.3 per cent. The smaller-cap Shenzhen Composite Index fell 3.1 per cent Monday, pushing it down 15.2 per cent in August, its worst monthly performance since August 2009. Monday’s fall came after a…

Beijing scraps large-scale stock buying

©AFP China’s government has decided to abandon attempts to boost the stock market through large-scale share purchases, and will instead intensify efforts to find and punish those suspected of “destabilising the market”, according to senior officials. For two months, a “national team” of state-owned investment funds and institutions has collectively spent about $200bn trying to prop up a market that…

Market tumult shows cracks in the armour

©EPA Wild trading on Wall Street has been testing structures put in place to protect investors at times of market stress — with mixed results. Unlike the ‘flash crash’ of 2010 — when stocks suddenly plummeted in an otherwise lacklustre session — investors during last Monday’s market mayhem were responding to concerns about a weakening economy in China, against a…

Banks warn over European privacy rules

©AFP Banks are lobbying Brussels over a sweeping overhaul of the EU’s privacy rules, which would make it harder for lenders as well as technology groups to collect and keep personal data. Bankers warn that the planned law, which includes the “right to be forgotten” rule that has seen Google forced to remove personal information requested by individuals from its…

Strong sales power Smith & Wesson

Shares of Smith & Wesson advanced on Friday after it lifted its full-year forecast and reported better than expected first-quarter results. The gun manufacturer expects full-year fiscal 2016 earnings in the range of $1.14 to $1.19 a share, compared with its previous projection of $1.02-$1.07 and topping estimates for $1.06 a share. Smith & Wesson lifted its sales forecast to…

Debenhams left behind as stocks rebound

©Getty The FTSE 100 ended its most volatile week since 2011 by moving into positive territory. But the rebound left Debenhams behind. A UBS downgrade to “sell” sent Debenhams sliding 7.1 per cent to 75.7p, its lowest since April. Consumers have been preferring the discount chains, a UBS survey found, with Debenhams’ department stores out of favour for clothing and…

Volatile markets: Questions every investor needs to ask

©Bloomberg Billed as the “Great Fall of China”, stock markets around the world plunged on Monday in response to fears that China’s economic growth was running out of steam — only to bounce back and recover their weekly losses by Friday. In a rollercoaster week for investors, the FTSE 100, S&P 500 and FTSE Eurofirst 300 all briefly went into…