Markets

London - The FTSE 100 tumbled 170.68 points, or 3.2%, to 5,194.13 - its biggest daily fall since March - on a day when technical problems halted trading on the LSE for more than three hours. Again, banks were the biggest losers, led by HSBC which fell 4.8%. Shares in the London Stock Exchange itself sank 7.4%, while miners dropped in line with raw materials. Today the FTSE is 30.66 points lower at 5,163.47, although steadily moving higher. Lloyds is the biggest percentage faller, down almost 35%, after going ex-rights.

Burberry tops the riser’s board, up 2.9%, after Goldman Sachs raised its rating on the stock.

New York - US markets were closed yesterday for Thanksgiving.

Tokyo - The Nikkei plunged 301.72 points to 9,081.52 this morning. Construction companies slumped on concern that the Dubai World investment fund may delay debt payments, losing builders "tens of billions of yen" - according to Daiwa Securities SMBC Co. Banking stocks were also lower on concern they may be owed money by the Dubai company. A lower dollar sent exporters lower, including Sony Corp, off 4.4%.

Hong Kong - The Hang Seng has currently plunged 1,086.94 to 21,123.47. Banks lead the index lower as concerns about Dubai’s ability to repay debt spread across the globe.

Economics
There is no major economic news today

 Corporate

Carphone Warehouse Group today reported better-than-expected fiscal first-half earnings and revenue, driven by its mobile phone retail and broadband operations, and raised its full year earnings per share guidance. The U.K.-based company also said the demerger of its two businesses, Talk Talk Group and Best Buy Europe, is "well on track" to be completed by the end of March, 2010. Excluding exceptional items, earnings before interest, tax, depreciation and amortization–the key figure tracked by U.K. analysts–jumped 58% to GBP103 million in the six months ended Sept. 30, ahead of market expectations of GBP100 million. That compares with a restated GBP65 million over the same period a year earlier. Revenue rose 13% to GBP789 million, beating expectations of GBP767.7 million. That compares with a restated GBP697 million a year ago. The year ago results have been restated to reflect a change in the group’s accounting policy for subscriber acquisition costs. Chief Executive Charles Dunstone said the strong progress in the first half of fiscal 2010, particularly in the profitability in both Talk Talk and Best Buy Europe, has resulted in the group increasing guidance for annual earnings per share before exceptional items to between 14.0 pence and 15.0 pence; the mid-point of the range is above analysts’ consensus.

Posted: November 27th, 2009 under Asset Management.
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