LONDON MARKETS: U.K. Stocks Rebound From Three-year Low
10 February 2016 - 11:43PM
Dow Jones News
By Sara Sjolin, MarketWatch
ARM Holdings shares slide after earnings
U.K. stocks jumped on Wednesday and rebounded from a three-year
low, with investors picking up beaten down stocks after a three-day
selloff.
The FTSE 100 index rose 1% to 5,688.22, after a choppy start to
the day. The London benchmark on Tuesday marked its weakest closing
level since Nov. 16, 2012 as investors dumped so-called risk assets
on worries over the persistent slump on oil prices and slowing
global growth.
Read: Cheap oil may trigger a new era of OPEC dominance, warns
IEA
(http://www.marketwatch.com/story/cheap-oil-for-longer-may-trigger-a-new-era-of-opec-dominance-warns-iea-2016-02-09)
Oil prices rebounded a bit on Wednesday
(http://www.marketwatch.com/story/oil-hovers-above-28-a-barrel-as-market-braces-for-more-supply-data-2016-02-10),
but not enough to broadly lift shares in the energy industry.
"Crude oil prices may be ticking higher, but they are still in
what could be termed 'distressed' territory below $30 a barrel,"
said Tony Cross, market analyst at Trustnet Direct, in a note.
Shares of Tullow Oil PLC (TLW.LN) slumped 10% after the oil and
exploration company reported a loss for the year
(http://www.marketwatch.com/story/tullow-loss-narrows-for-2015-on-lower-write-offs-2016-02-10),
albeit it narrowed compared to 2014.
BP PLC (BP.LN) (BP.LN) fell 0.3%, while Royal Dutch Shell PLC
(RDSB.LN) (RDSB.LN) climbed 1.4%.
Mining shares posted some of the biggest losses in the FTSE on
Wednesday, tracking losses for all major metals. Shares of Glencore
PLC (GLEN.LN) (GLEN.LN) fell 3.2%, Fresnillo PLC (FRES.LN) lost
3.1%, and BHP Billiton PLC (BLT.LN)(BHP.AU) (BHP.AU) dropped
0.8%.
Among other fallers, shares of computer-chip designer ARM
Holdings PLC (ARMH) (ARMH) lost 1.8% even as the Apple supplier
(AAPL) reported a rise in profit
(http://www.marketwatch.com/story/apple-supplier-arms-pretax-profit-up-17-2016-02-10).
On the data front, U.K. industrial production fell more than
expected in December
(http://www.marketwatch.com/story/uk-industrial-production-surprises-with-11-dip-2016-02-10),
dropping 1.1% on the month, compared with estimates of a 0.2%
decline.
You're invited to Investing Insights: A global markets survival
guide
If you'll be in London on Tuesday, Feb. 23, you're invited to
join us for an evening of cocktails and conversation on the topics
of shifting monetary policy, growth, currencies, and the outlook
for investing opportunities and risks in European and global
markets.
Our panelists for the evening will include MarketWatch Personal
Finance and Investing Columnist Robert Powell; and Mark Hulbert,
Editor of the Hulbert Financial Digest.
The event is free and open to the public, but reservations are
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email (MarketWatchevent@wsj.com).
(END) Dow Jones Newswires
February 10, 2016 07:28 ET (12:28 GMT)
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