US & Brent Crude Slide Ahead of Inventories Data Release, Meggitt Issues Profit Warning
October 28, 2015 7:06 am
Both US and Asian stocks closed in the red in the previous session as investors took risk off the table due to uncertainty over a US rate rise ahead of the Federal Reserve Policy meeting that finishes today. Investors will be looking for cues from the Fed’s language regarding whether the market will see a rate rise this year or on 2016. The Dow dropped 46 points to close at 17851, the SP500 fell 5 points to close at 2065.
The Euro fell about 0.1% to $1.1034, but stayed above Monday’s two and half month low of $1.0989. The Dollar was steady at 120.45 Yen while the Euro inched down 0.1% to $1.1034. Commodity currencies like the Canadian Dollar were hit by a slide in crude oil prices. The Dollar was steady at C$1.3275 after surging 0.9% overnight. The Australian Dollar struggled near a three week low of $0.7112, having lost about 1% on the day.
U.S. crude oil edged up to $43.24 a barrel after sliding 1.7 percent overnight to a two-month low, ahead of official inventories data later in the session which will provide further information as to whether there’s a persistent supply glut dogging the market. Brent crude was little changed at $46.81 a barrel following a 1.5 percent decline overnight to a low last hit in mid-September. Spot Gold was trading at $1170.
Within the equity space, Meggitt warned that full year profits will be well below forecasts after the aerospace and industrial components supplier endured softer trading during the third quarter of 2015, with a “marked deterioration” in September in energy markets. Operating profit for the year will be “meaningfully below” the current consensus estimate of £369m, the FTSE 100 company said, but it was attempting to reduce the impact with even more cost-cutting measures. The stock is bottom of the FTSE100, down 21% in early trade at 364p per share.
Both US and Asian stocks closed in the red in the previous session as investors took risk off the table due to uncertainty over a US rate rise ahead of the Federal Reserve Policy meeting that finishes today. Investors will be looking for cues from the Fed’s language regarding whether the market will see a rate rise this year or on 2016. The Dow dropped 46 points to close at 17851, the SP500 fell 5 points to close at 2065.
The Euro fell about 0.1% to $1.1034, but stayed above Monday’s two and half month low of $1.0989. The Dollar was steady at 120.45 Yen while the Euro inched down 0.1% to $1.1034. Commodity currencies like the Canadian Dollar were hit by a slide in crude oil prices. The Dollar was steady at C$1.3275 after surging 0.9% overnight. The Australian Dollar struggled near a three week low of $0.7112, having lost about 1% on the day.
U.S. crude oil edged up to $43.24 a barrel after sliding 1.7 percent overnight to a two-month low, ahead of official inventories data later in the session which will provide further information as to whether there’s a persistent supply glut dogging the market. Brent crude was little changed at $46.81 a barrel following a 1.5 percent decline overnight to a low last hit in mid-September. Spot Gold was trading at $1170.
Within the equity space, Meggitt warned that full year profits will be well below forecasts after the aerospace and industrial components supplier endured softer trading during the third quarter of 2015, with a “marked deterioration” in September in energy markets. Operating profit for the year will be “meaningfully below” the current consensus estimate of £369m, the FTSE 100 company said, but it was attempting to reduce the impact with even more cost-cutting measures. The stock is bottom of the FTSE100, down 21% in early trade at 364p per share.
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