UK Stockmarket 2009 and beyond

sabretoothtigger

Spotted EMED mentioned in a round up today, it seems to be holding its ground consistently above 10p


Markets have turned up again, I think its a bit too much of a spike to call it a reliable recovery.
This does remind me of autumn 2008 but its quite hard to say whether gains will hold or not when the gains are this strong but that is what makes me doubt its longevity.
It comes from people shorting then rebuying the shares and shorting again I think

HOC is working as hedge, up 7% today as silver futures have broken out from a negative trend.

Hence Dollar index has failed its uptrend but found some support at 79.7, its over the edge on a ledge. This matches cable strength also threatening a recovery, look for 1.58 on cable tomorrow through usa open to confirm this move will last (in theory)

GE&CR restated its 'buy' on EMED Mining* (EMED) with a 36p target price, as the miner announced that it continues to make progress on gaining official approval for its operations in Andalucia. The submission of reports to regulators, together with public consultations and mineral rights approvals will go on into the second half of 2010, with production beginning in 2011. The research house reports that over 3,000 applications for the Rio Tinto project's workforce have been received, indicating the prestige of the project in the local economy and its importance to the region. In addition, EMED has committed to providing 300,000 euros for the support of local community aid programmes and for seeding new small enterprises. A doubling of the copper price to 3 dollars per pound means that the project's viability now appears robust, and successful commencement of production will see increased focus on the company's Slovakian gold prospect. GE&CR said that it expects investors will soon be rewarded for their patience. EMED shares rose by 0.5p to 12.75p. House broker Fox Davies reiterated its 62p target price for the shares.

[FONT=Arial, Helvetica, sans-serif]Blue-Chips[/FONT]
Barclays (BARC) shares surged by 19.2p to 294.25p as pre-tax profit jumped by 91% to 11.64 billion pounds for the year to 31st December 2009, helped by the 6.33 billion pounds raised from the sale of Barclays Global Investors to Blackrock. Income at the bank, which did not require British government funding, rose by 34% to 30.99 billion pounds, while diluted earnings per share climbed by 41% to 81.6p. A final dividend of 1.5p was proposed, for a full-year dividend of 2.5p, down from 2008's 11.5p (which, with 11.412 billion shares in issue, amounts to a total payout of 285.3 million pounds, compared to total bonus payouts of 2.7 billion pounds!). The group's chief executive, John Varley, and the head of its investment bank, Bob Diamond, chose to forego their bonuses for the second year in a row. Barclays' tier one capital ratio improved from 5.6% at the end of 2008 to 10%, while the risk asset ratio increased to 16.6% from 13.6%. 2010 is reported to have started well, with pre-tax profit "well ahead" of run rates for the first half of 2009 and the full year. Shore Capital said that the group's goal of achieving average return on equity ahead of cost of equity underlines the challenges ahead. Nevertheless, the broker repeated its 'buy' recommendation.


Mining giant Anglo American (AAL) reported that it has agreed the sale of its subsidiary Tarmac's construction aggregates businesses in France, Germany, Poland and the Czech Republic to Eurovia, a subsidiary of French group Vinci. Separately, it also sold Tarmac's Polish concrete products business to central European private equity fund Innova/4 LP. The combined proceeds are expected to be around 400 million dollars. The sale itself is part of a shake-up of Anglo American to allow it to focus on its mining activities after the failed bid from Xstrata. Anglo American shares pushed ahead by 96.5p to 2,445.5p.


Intercontinental Hotels (IHG) released its results for calendar 2009, which showed a 16% fall in revenue to 1.538 billion dollars and a 36% fall in operating profit to 363 million dollars (both figures at constant currencies). Adjusted earnings per share fell 15% to 102.8 cents, but the dividend remained unchanged at 41.4 cents. Revenue per available room, the key industry measure, fell 14.9% in the Americas, 17.8% in mainland Europe but by only 9.8% in Britain. The fourth quarter indicated some improvements in trading, but no real improvement is expected until business travellers return in greater numbers. Panmure Gordon shared this cautious outlook, and kept its 'hold' stance and 910p target. The shares fell by 31.5p to 888.5p.


Astrazeneca (AZN) shares fell by 16p to 2,783.5p as it announced that it has licensed Rigel Pharmaceutical's arthritis drug, fostamatinib disodium. The global arthritis market has expanded considerably, and is now valued at 13 billion dollars, up from 1.3 billion dollars in 1998. Astrazeneca will be responsible for all development, regulatory fiilings, manufacturing and commercialisation. New drug applications for the product will be made to regulatory authorities in 2013.


Royal Bank of Scotland (RBS) finally achieved the sale of part of its commodities trading arm Sempra to JP Morgan for 1.7 billion dollars, less than half of the 4 billion dollars it had originally hoped to gain from the sale. RBS is still looking for a buyer for the US operations of Sempra but, due to the new banking regulations in the US, JP Morgan is reluctant to oblige. RBS shares rose by 1.74p to 33.34p.

[FONT=Arial, Helvetica, sans-serif]Mid-Caps [/FONT]

Like-for-like sales at Domino's Pizza * (DOM) rose 8.4% during 2009 and 2010 has started at a cracking pace. Sales in 2009 rose by 16% to 407 million pounds, with pre-tax profit up by 27.8% at 29.9 million pounds. Demand from potential new franchisees and expansion plans from current outlets has caused the group to expand its store opening programme, and 55 stores are expected to open each year, up from a previous estimate of 50. Like-for-like sales in the first six weeks of 2010 were up 11%, and the full-year dividend was increased by 31.4% to 7.75p. Brewin Dolphin said that it sees positive forecast momentum, and it left its 'buy' stance and 404p target unchanged. Dominos' shares cooled by 1.3p to 326.4p.


Premier Foods (PFD) managed to swing back into the black, reporting a pre-tax profit of 47 million pounds in 2009, from a loss of 405 million pounds in 2008. Sales rose by 2.2% to 2.6 billion pounds, with sales of branded products up by 6.5% to 1.68 billion pounds, but the benefits of these increased sales were offset by rising input and promotional costs. Adjusted earnings per share from continuing operations fell 59.7% to 5.8p. No dividend was declared. Premier said that it plans to continue delivering efficiency gains and that its strategy of growing branded sales and expanding gross margins would continue into 2010. Panmure Gordon increased its target price from 35p to 45p, saying that the firm has laid out a detailed and plausible way forward. The 'buy' stance was left unaltered. The shares gained 0.89p to 33.18p.

ses6jwg

Been holding AMINEX since October and starting to pay off.

Nice rise in the run up to Likdonde and Shoats Creek spudding.

tradetime

Hehe, Goldman Sachs, America's favourite whipping boy is now becoming the world's favourite whipping boy as everybody angles to blame them for the fact that Greece couldn't run it's country. I'm sure Goldman was simply exercising the "financial innovation" we're so desperate not to stifle!

SPX levels 1103 and 1115 on the upside, 1080 should now provide support on the downside. US$ correcting overbought, primary uptrend intact at 79 ish, support expected in the 78.8 area if needed.

StevieJ

BP went XD today.

tradetime

StevieJ wrote: »

BP went XD today.

Out of interest, what is their current yield Stevie?

StevieJ

tradetime wrote: »

Out of interest, what is their current yield Stevie?

BP yield 5.74 Shell yield 6.46 as of last night.

Source TD Waterhouse, not sure if that is backwards or forwards (forecasts).

tradetime

StevieJ wrote: »

BP yield 5.74 Shell yield 6.46 as of last night.

Source TD Waterhouse, not sure if that is backwards or forwards (forecasts).

Cheers mate, very nice, I should look at shares more often I think, those are nice rates on solid stocks.

sabretoothtigger

They been a bit shaky recently and have gained like 5% in the last year (bp is a bit better to be fair). Definitely one for the investor type

I like that shell is opting for a LNG bias so I presume that will reflect eventually. RDS are big in Qatar where Hilary Clinton recently encouraged gulf states to increase and replace Iran's energy supply capacity in order to control the unstable state


Speaking of high div shares
Does it make much difference if I buy Telefonica in euros or us dollars ? TNE5 or TEF

The two rates vs sterling have been divergent recently and Im not that certain whether I need to make a currency judgement or they'd both pan out the same in the end.

tradetime

Does it make much difference if I buy Telefonica in euros or us dollars ? TNE5 or TEF

Not sure what difference it would make really. TEF I can see trades on the NYSE, TNE5 trades on a whole range of European exchanges, If you have access to all those exchanges I'd say trade it on the one with the most liquidity.

tradetime

tradetime wrote: »

VIX up over 16% a little fear on the street sold some March 30 SSO puts

Covered SSO puts