ADVFN III Evening Euro Markets Bulletin -Wednesday, September 19th 2012-.

	ADVFN III	Evening Euro Markets Bulletin
	Daily world financial news

Wednesday, 19 September 2012

London Market Report

FTSE 100 Euronext Dax perf CAC 40 Please click on the images to view our interactive charts

M&A rumour mill cranks up Market Movers techMARK 2,136.13 +0.17% FTSE 100 5,888.48 +0.35% FTSE 250 11,974.19 +0.34% After trading in positive territory for most of the day Footsie dipped into the red after US markets opened lower, but bounced back into the black in the final 90 minutes of trading. The day started well with the Japanese central bank unexpectedly opting to beef up its quantitative easing programme, a move which prompted a mini-stampede into mining stocks. The minutes from the Bank of England's Monetary Policy Committee meeting earlier this month were, as usual, pored over by the tea-leaf and rune readers. Opinions remain divided on whether an interest rate cut is in the pipeline, but most pundits agree that it won't be long - November, probably - before the Old Lady of Threadneedle Street is following the Bank of Japan and the US Federal Reserve, and turning on the quantitative easing taps again. M&A market showing signs of life Aside from the long-running Glencore/Xstrata saga, the summer has not been a great one for mergers & acquisitions (M&A) but there are signs that activity could be picking up. United Utilities rose sharply on the back of renewed speculation over a potential takeover. Usually it is the Germans or French hoovering up industries vital to Britain's everyday life, but this time the rumours point to a consortium of funds including some from the Middle East as the likely buyers, with BofA Merrill Lynch speculating that the take-out price could be around 900p. Accountancy software firm Sage was also put through the rumour mill. The group has often been touted as a likely acquisition by a bigger software rival, but today's rumours focused on a potential sale of the group's US business. George O'Connor, an analyst at Panmure Gordon, gave the rumours short shrift, describing the suggestion as "tosh". O'Connor did speculate, however, that Sage could be touting one of its under-performing operating units to see whether anyone is interested. "As this fresh rumour seeps into the market the price is likely to tick upwards thereby presenting investors with another opportunity to bag some profit." Sell, is O'Connor's advice. William Hill and GVC Holdings, meanwhile, are in the early stages of putting together a joint bid for online gaming group Sportingbet. The two firms said they envisaged an offer that would leave William Hill with Sportingbet's core Australian market and certain other locally licensed businesses, with GVC acquiring the remaining parts. Africa focus Platinum miner Lonmin initially shot up on the news that striking workers at its Marikana operations are to return to work on Thursday after a settlement was reached late on Tuesday night. By the close, gains were much more modest. Imperial Leather soap maker PZ Cussons was wanted after a well-received trading update. The group said it is confident of a return to profitable growth this financial year, though conditions remain difficult in its core market of Nigeria and challenging elsewhere. Shopper round Online fashion and beauty store ASOS continued its recent barnstorming performance, boosting revenues by a third in the last quarter. Retail sales were up 31% year-on-year, with a 15% rise in the UK and a 42% jump in international trading. It was a different story at French Connection, where the shares took a hammering after the group reported a first half loss. The fashion group, which issued a profit warning in May, posted a pre-tax loss of £6.3m in the six-month period ended July 31st 2012 compared to a profit of £0.7m in 2011. Revenue during the period fell to £96m compared to £102.8m a year earlier. Technology company Smiths Group saw top line growth across all of its divisions last year, as revenue broke through the £3bn barrier. Headline profit before tax rose 7% to £554m from £517m the year before. The median forecast from the group of analysts following the stock was £451m. Statutory profit before tax dipped to £366m from £398m as a result of laundry list of exceptional items. Commercial vehicle hire company Northgate said despite economic headwinds affecting both its UK and Spanish businesses, it continues to trade in line with company expectations. Other markets Gilts had a good day with the yield on the 10-year benchmark gilt dipping to 1.84% from 1.88% overnight. Yields move inversely to prices. The most active contract for Brent crude ended the London trading session $3.36 lower at $108.67 a barrel, after the Energy Information Administration said crude inventories rose by 8.5m barrels in the week ended Sept. 14th. FTSE 100 - Risers Weir Group (WEIR) 1,824.00p +2.82% United Utilities Group (UU.) 727.00p +2.76% Rexam (REX) 434.60p +2.36% Fresnillo (FRES) 1,868.00p +2.13% SSE (SSE) 1,400.00p +1.89% AstraZeneca (AZN) 2,959.00p +1.88% ICAP (IAP) 344.00p +1.75% HSBC Holdings (HSBA) 587.80p +1.71% Lloyds Banking Group (LLOY) 39.50p +1.66% ITV (ITV) 89.50p +1.65% FTSE 100 - Fallers Aviva (AV.) 333.40p -3.33% Admiral Group (ADM) 1,090.00p -1.54% Petrofac Ltd. (PFC) 1,622.00p -1.28% Tullow Oil (TLW) 1,393.00p -1.28% Imperial Tobacco Group (IMT) 2,336.00p -1.10% Rio Tinto (RIO) 3,161.50p -1.00% Aggreko (AGK) 2,373.00p -0.84% Meggitt (MGGT) 407.50p -0.80% Shire Plc (SHP) 1,877.00p -0.79% Land Securities Group (LAND) 786.50p -0.76% FTSE 250 - Risers Centamin (DI) (CEY) 95.00p +4.80% PZ Cussons (PZC) 318.10p +3.51% Debenhams (DEB) 102.90p +3.47% Chemring Group (CHG) 360.60p +3.32% Mondi (MNDI) 627.00p +3.12% Bank of Georgia Holdings (BGEO) 1,330.00p +3.10% Talvivaara Mining Company (TALV) 175.70p +2.81% St James's Place (STJ) 369.40p +2.73% Telecom Plus (TEP) 859.50p +2.63% Brewin Dolphin Holdings (BRW) 166.90p +2.52% FTSE 250 - Fallers Aquarius Platinum Ltd. (AQP) 46.75p -8.15% IG Group Holdings (IGG) 449.50p -4.20% Ocado Group (OCDO) 67.20p -3.59% TR Property Inv Trust Sigma Shares (TRYS) 70.75p -2.41% International Personal Finance (IPF) 310.00p -2.36% COLT Group SA (COLT) 119.60p -2.29% Premier Farnell (PFL) 181.10p -2.11% Electra Private Equity (ELTA) 1,705.00p -2.01% ITE Group (ITE) 206.00p -1.95% William Hill (WMH) 312.60p -1.91% FTSE TechMARK - Risers Oxford Biomedica (OXB) 2.50p +13.64% CML Microsystems (CML) 315.00p +4.65% Promethean World (PRW) 24.00p +4.35% Emblaze Ltd. (BLZ) 48.00p +4.35% Phytopharm (PYM) 12.62p +3.06% FTSE TechMARK - Fallers AEA Technology Group (AAT) 0.060p -33.33% Filtronic (FTC) 42.62p -9.79% Optos (OPTS) 167.00p -5.65% Vislink (VLK) 32.00p -3.76% E2V Technologies (E2V) 130.50p -3.33% Skyepharma (SKP) 97.50p -2.50% Europe Market Report FTSE 100 Euronext Dax perf CAC 40 Most European Markets Finished With Modest Gains Wednesday The majority of the European markets finished in positive territory Wednesday, following the weakness of the previous two sessions. One of the major catalysts today came from new stimulus measures announced by the Bank of Japan. The markets received further support in the afternoon, after the U.S. reported some solid housing data. The Bank of Japan on Wednesday announced a fresh round of stimulus to revive the economy by expanding the asset purchase by another JPY 10 trillion. The central bank also cut its assessment of the economy, saying the recovery is "pausing." In addition, the central bank extended the intended timescale for completing the asset purchases till the end of December 2013 compared to its previous deadline of end of June 2013. Bank of England policymakers unanimously decided to maintain quantitative easing at GBP 375 billion and the interest rate unchanged at 0.50 percent, the minutes of the meeting held on September 5 and 6 showed Wednesday. The nine-member Monetary Policy Committee discussed whether it was appropriate to modify or continue with the programme of asset purchases it had agreed at its July meeting. Germany's two-year note fetched positive yield for the first time since June at an auction on Wednesday. The country raised EUR 4.084 billion from the sale of its federal notes due September 2014, Bundesbank said. The auction drew bids totaling EUR 8.446 billion against a target of EUR 5 billion. The yield on the two-year debt known as Schatz rose to 0.06 percent from zero percent seen in the previous sale on August 22. The Euro Stoxx 50 index of eurozone bluechip stocks increased by 0.55 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, added 0.49 percent. The DAX of Germany climbed by 0.59 percent and the CAC 40 of France advanced by 0.54 percent. The FTSE 100 of the U.K. rose by 0.43 percent and the SMI of Switzerland gained 0.51 percent. In Frankfurt, Porsche gained 7.82 percent. The automaker won the dismissal of two investor suits in connection with the allegations that the company had lied about its failed Volkswagen takeover plan in 2008. Volkswagen climbed by 1.96 percent, BMW rose by 1.46 percent and Daimler finished higher by 2.25 percent. Commerzbank increased by 2.14 percent and Deutsche Bank added 1.74 percent. In Paris, Bouygues dropped by 0.54 percent, but peer Vinci rose by 1.07 percent. HSBC downgraded Bouygues to "Neutral" from "Overweight," while initiating Vinci with a "Neutral" rating. Michelin raised its adjusted earnings guidance for 2015 to 2.9 billion euros from its previous target of 2.5 billion euros. The stock closed up by 1.31 percent. STMicroelectronics fell by 2.09 percent, after S&P Equity Research downgraded the stock to "Sell" from "Hold." Renault advanced by 2.11 percent and Peugeot gained 1.40 percent. In London, Lonmin climbed by 0.62 percent. The striking miners at its Marikana platinum mine in South Africa's North West province finally struck a deal with the management on wages after a 39-day violent strike. The protesting miners were demanding pay rises and recognition of a new union. Smiths Group reported a decline in fiscal 2012 profit hurt by one-time costs. The British technology company's revenue, however, increased with growth across all divisions. The stock finished higher by 1.63 percent. HSBC rose by 1.83 percent and Lloyds Banking Group gained 1.65 percent. Royal Bank of Scotland also climbed, by 0.49 percent. Holcim increased by 2.0 percent in Zurich, after JPMorgan raised its rating on the stock. US Market Report Stocks Posting Modest Gains In Mid-Day Trading While buying interest has remained relatively subdued, stocks have moved modestly higher over the course of the trading day on Wednesday. The markets have benefited from a positive reaction to news out of Japan as well as U.S. housing data. The major averages have moved roughly sideways in recent trading, clinging to slim gains. The Dow is up 44.02 points or 0.3 percent at 13,608.66, the Nasdaq is up 4.10 points or 0.1 percent at 3,181.90 and the S&P 500 is up 4.14 points or 0.3 percent at 1,463.46. The modest strength that has emerged on Wall Street is partly due to news of additional stimulus from the Bank of Japan, although the move is largely seen as symbolic. The Bank of Japan increased its asset purchase program by 10 trillion yen, but the purchases are exclusively earmarked for 2013. In a research note, Capital Economics said, "The Bank of Japan surprised markets today with a move that gave the impression of coordinated easing by the major global central banks, providing a welcome boost to confidence." "However, we had already expected them to ease by this amount in October, so although the timing is slightly earlier than we (and most others) had anticipated, it is not a game changer," the firm added. Traders are also digesting a mixed batch of U.S. housing data, including a report from the Commerce Department showing that housing starts rebounded in August but still came in below economist estimates. The Commerce Department said housing starts rose 2.3 percent to an annual rate of 750,000 in August from the revised July estimate of 733,000. Economists had expected starts to climb to 768,000 from the 746,000 originally reported for the previous month. Building permits, an indicator of future housing demand, fell 1.0 percent to an annual rate of 803,000 in August from 811,000 in July. A separate report from the National Association of Realtors showed that existing home sales jumped by more than expected in August, reaching their highest level since May of 2010. NAR said existing home sales jumped 7.8 percent to an annual rate of 4.82 million in August from 4.47 million in July. Economists had expected existing home sales to climb to an annual rate of 4.55 million. Chris Low, chief economist at FTN Financial, said, "Bear in mind this report, and this morning's housing starts, pre-date the Fed's QE3 mortgage purchase announcement. The Fed's help for housing comes on top of a recovery already in progress." "Housing is not booming, but it is improving and will continue to do so in part because the Fed is determined to drive mortgage rates to new historic lows," he added. Among individual stocks, Cracker Barrel (CBRL), AutoZone (AZO), and General Mills (GIS) are all posting notable gains after reporting their quarterly results before the start of trading. Broker tips Smiths, Ashtead, Kingfisher On the whole analysts at Credit Suisse have a favourable opinion of the final results posted today by Smiths Group. They thus describe the company´s second half performance as “solid,” while highlighting the 10% top line growth and 19.2% margin achieved. Nevertheless, they also take note of the company´s references to the ongoing macro uncertainty and the pressure on government spending, which led to some caution on the outlook for fiscal year 2013 (in particular for the second half of that year) and as a result, trim their forecasts for the next two fiscal years (2013 and 2014) by 2% an 1%. Credit Suisse also calls attention to the fact that the “focus of the group is now shifting towards generating top line growth, primarily through 1) investment in new products and 2) expansion in growth markets.” That now that the main restructuring program has been completed. Credit Suisse analysts have reiterated their outperform recommendation on shares of Smiths, as well as their 1,200p price target. Credit Suisse has issued a very bullish research note today on the shares of plant hire firm Ashtead. More specifically, its analysts cite several factors which, when combined, make the company their favourite in the sector. Additionally, they indicate that the company faces minimal downside risks based on their HOLT model. For all of the above reasons they have decided to raise their price target on its shares to 400p from 316p beforehand, while reiterating their outperform rating. This despite the 149% rise in its stock price over the last twelve months, which has seen the company´s share price outperform by no less than 120%. In particular, they cite two reasons for the above. First of all, they highlight the fact that the structural shift to renting from owning construction equipment in the US is on track. In second place, the company has started to improve the profitability of its UK operations. “Positive” risk-factors to watch out for are the possibility of a mild winter and the fact that their US EBITDA margin targets (39% estimated for this year and 41% in FY14E) remain substantially below management medium term guidance of around 45%. Nomura has this morning downgraded its view on the shares of do-it-yourself retailer Kingfisher to neutral from buy. This as housing starts in France have been declining since the start of the year, which should weigh on Brico’s performance, thus creating uncertainty around near-term trading for the business. Furthermore, and across regions, “improvements in discretionary spend have been few, with significant recoveries unexpected near term,” the broker says. For all of the aforementioned reasons, and the resulting limited visibility in the near-term, they expect the stock to continue trading below their discounted cash flow (DCF) valuation of 338p. Rather, they believe it will trade more in line with its 12x price-to- earnings multiple, hence their downgrade and the reduction in the price target to 287p from 328p before.

ADVFN Morning Euro Markets Bulletin -Wednesday, September 19th 2012-.

	ADVFN III	Morning Euro Markets Bulletin
	Daily world financial news

Wednesday, 19 September 2012

London Market Report

FTSE 100 Euronext Dax perf CAC 40 Please click on the images to view our interactive charts

BoJ action lifts miners Market Movers techMARK 2,133.66 +0.05% FTSE 100 5,891.01 +0.39% FTSE 250 11,978.61 +0.38% Investors are giving a tip of the hat to the Bank of Japan this morning, after the Japanese central bank opted to beef up its quantitative easing programme. The news from the world's third largest economy has lifted miners in particular, and even with the usual Wednesday glut of stocks going ex-dividend - among them Aviva, G4S, Interserve, Melrose, Petrofac, Premier Farnell, IG Group and Kier - the major benchmarks are making headway. Lonmin leads the advance Striking workers at Lonmin's Marikana operations are to return to work on Thursday after a settlement was reached late on Tuesday night. The agreement includes a signing bonus of R2,000 and an average rise in wages of between 11% and 22% for all employees falling within the "Category 3-8" bargaining units, effective from 1st October 2012. This includes the previously agreed 9-10% rises for these employees due to come into effect in October 2012. It also addresses issues of promotion for some categories of workers as well as other allowances. Technology company Smiths Group saw top line growth across all of its divisions last year, as revenue broke through the £3bn barrier. Revenue for the year ended July 31st rose 7%, or an underlying 5%, to £3,038m from £2,842m the year before, beating the £2,978m expected by the market. Headline profit before tax was also above market expectations, rising 7% to £554m from £517m the year before. The median forecast from the group of analysts following the stock was £451m. Statutory profit before tax dipped to £366m from £398m as a result of laundry list of exceptional items. International engineering firm AMEC is buying a stake in a Brazilian oil and gas company as it builds its presence in the largest deep-water market in the world. The agreement will mean AMEC acquires a 50% stake in Kromav Engenharia from its owner managers for $12.5m in cash. Kromav is a privately owned Brazilian offshore oil and gas and marine engineering company based in Rio de Janeiro. Shopper round Online fashion and beauty store ASOS continued its recent barnstorming performance, boosting revenues by a third in the last quarter. Retail sales were up 31% year-on-year, with a 15% rise in the UK and a 42% jump in international trading. It was a different story at French Connection, where the shares took a hammering after the group reported a first half loss. The fashion group, which issued a profit warning in May, posted a pre-tax loss of £6.3m in the six-month period ended July 31st 2012 compared to a profit of £0.7m in 2011. Revenue during the period fell to £96m compared to £102.8m a year earlier. FTSE 100 - Risers Kazakhmys (KAZ) 764.00p +2.96% Anglo American (AAL) 2,064.50p +2.76% Smiths Group (SMIN) 1,065.00p +2.21% Rexam (REX) 433.30p +2.05% Fresnillo (FRES) 1,866.00p +2.02% Eurasian Natural Resources Corp. (ENRC) 362.10p +1.77% Evraz (EVR) 284.40p +1.75% Polymetal International (POLY) 1,108.00p +1.56% Vedanta Resources (VED) 1,092.00p +1.49% Ashmore Group (ASHM) 339.70p +1.40% FTSE 100 - Fallers Aviva (AV.) 333.80p -3.22% Imperial Tobacco Group (IMT) 2,335.00p -1.14% British American Tobacco (BATS) 3,219.00p -0.74% Diageo (DGE) 1,705.50p -0.73% G4S (GFS) 265.40p -0.60% Rolls-Royce Holdings (RR.) 859.00p -0.46% ARM Holdings (ARM) 586.00p -0.42% Admiral Group (ADM) 1,103.00p -0.36% Experian (EXPN) 1,031.00p -0.29% National Grid (NG.) 684.00p -0.22% FTSE 250 - Risers Lonmin (LMI) 696.50p +7.15% Ferrexpo (FXPO) 226.80p +5.34% Centamin (DI) (CEY) 94.25p +3.97% Petropavlovsk (POG) 450.30p +3.49% Talvivaara Mining Company (TALV) 176.00p +2.98% Stobart Group Ltd. (STOB) 119.80p +2.92% Big Yellow Group (BYG) 321.00p +2.42% Ruspetro (RPO) 110.00p +2.33% Hunting (HTG) 891.00p +2.24% Aquarius Platinum Ltd. (AQP) 52.00p +2.16% FTSE 250 - Fallers IG Group Holdings (IGG) 452.80p -3.50% COLT Group SA (COLT) 118.80p -2.94% Kier Group (KIE) 1,321.00p -2.65% Savills (SVS) 396.00p -2.51% St. Modwen Properties (SMP) 195.70p -2.39% Daejan Holdings (DJAN) 2,850.00p -2.23% RPS Group (RPS) 246.90p -2.18% Computacenter (CCC) 386.10p -2.03% JD Sports Fashion (JD.) 705.00p -1.88% Premier Farnell (PFL) 182.40p -1.41% UK Event Calendar FTSE 100 Euronext Dax perf CAC 40  INTERIMS Anpario, Optimal Pay, Paragon Entertainment Ltd (DI) INTERIM DIVIDEND PAYMENT DATE Hiscox Ltd., New World Resources A Shares, St James's Place INTERIM EX-DIVIDEND DATE Aviva, BBA Aviation, Chime Communications, Computacenter, Costain Group, EMIS Group, G4S, Highcroft Investment, InterQuest Group, Interserve, Irish Continental Group Units, Maintel Holdings, Melrose, Molins, Neptune-Calculus Income & Growth VCT, Petrofac Ltd., Playtech Ltd., Premier Farnell, RPS Group, Tikit Group, Total Produce, Tribal Group INTERNATIONAL ECONOMIC ANNOUNCEMENTS Building Permits (US) (13:30) Crude Oil Inventories (US) (15:30) Existing Home Sales (US) (15:00) Housing Starts (US) (13:30) MBA Mortgage Applications (US) (12:00) FINALS Galliford Try, Origin Enterprises, Redrow, Smiths Group, Swallowfield ANNUAL REPORT Haynes Publishing Group IMSS PZ Cussons AGMS AEA Technology Group, Bango, Cable & Wireless Worldwide, PetroNeft Resources, PZ Cussons, Stagecoach Theatre Arts, Warner Estate Holdings UK ECONOMIC ANNOUNCEMENTS BoE Interest Rate Minutes (09:30) FINAL DIVIDEND PAYMENT DATE Cohort, Falkland Islands Holdings FINAL EX-DIVIDEND DATE Best of the Best, Brooks Macdonald Group, Consort Medical, Henderson Smaller Companies Inv Trust, IG Group Holdings, Kier Group, Renishaw, Standard Life UK Smaller Companies Trust US Market Report Stocks drift as investors wait for Spain Market movers Dow Jones: +12 at 13,565 S&P 500: -2 at 1,459 NASDAQ Composite: -1 at 3,178 Tuesday was a day of gentle decline for leading US stocks although the narrowly-based Dow Jones industrial average went in the opposite direction to most other US benchmarks, finishing the day with a small gain. Waiting for Spain to bite the bullet US investors are reluctant to commit too hard until they know what Spain's plans are regarding a bailout. Comments from both high level European Central Bank officials and the Spanish Deputy Prime Minister, Saenz de Santamaria, have indicated the cash strapped Mediterranean country could make a formal request for assistance, in the form of bond buying by the European Central Bank (ECB), but the clock is ticking and Spanish bond yields are creeping back up again. European Central Bank member Luc Coene warned that rising bond yields may force Spain to ask for aid and assume conditions by the European Union. If Spain does not ask for assistance, "then it will not last long before spreads will rise again, and then Spain will be somewhat forced to come back on its decision and submit to the conditionality program,” Coene said. Coene insisted that the ECB will not buy Spain's bonds if the country does not ask for assistance. Additionally, Coene said that the ECB would stop buying immediately if countries failed to comply on agreements with the central bank. There was some positive news emanating from Spain, however, with the Iberian country's bond auction going well. The Spanish Treasury was able to issue 12 and 18-month bills for €4.6bn, which is more than the top end of the €3.5bn - €4.5bn target. 18-month bills were issued for €1.02bn (maturity: February 21, 2014) at a yield of 3.072%, lower than the previous 3.335%. 12-month bills were issued for €3.56bn (maturity: September 20, 2013) at a yield of 2.835%, lower than the previous 3.07%. Stateside, there was some cheery news on the housing front, with the National Association of Home Builders/Wells Fargo housing market index climbing 3 points to a seasonally adjusted level of 40 in September. Charles Evans, President of the Chicago Federal Reserve, did his bit to boost sentiment, saying in a speech that the third round of quantitative easing (QE3) announced by the Federal Reserve last week will help boost the economy despite European debt problems and the upcoming 'fiscal cliff' in the US. "Given the slow and fragile recovery, the large resource gaps that still exist, and the large risks we face, it remains clear that we needed a more resilient economy," Evans said in a prepared text of a speech in Ann Arbor, Michigan. Last week's Fed action "provided a more accommodative monetary policy that can help us achieve such resilience." Bellwether stock signals slow-down US delivery company FedEx has lowered its projected outlook after it presented fiscal first quarter net income that fell shy of last year's mark. Earnings for the fiscal first quarter came in at $1.45 per diluted share compared to $1.46 per share last year. FedEx now expects 2013 earnings per share (EPS) of $6.20 - $6.60 compared to its prior estimate of $6.90 - $7.40. Second quarter EPS is expected to come in at $1.30 - $1.45. The company said that the weakening global economy is impacting its results. The company announced that it will raise shipping rates in 2013 in an attempt to offset falling volume and falling margins, especially for priority services. Computer chip firm Advanced Micro Devices (AMD) tumbled after announcing it would part company with its Chief Financial Officer. The group has been hit by the growth of mobile computing and harsh competition from long time rival Intel. The stock is down 32% since the start of the year. Another tech company enduring board room upheaval is OCZ Technology, which produces computer goods aimed at the "modder" (modification, or customisation) end of the market. Chief Executive Officer Ryan Petersen has resigned from the firm, best known for solid state drives and super-fast memory chips. Computer networking company F5 Networks upheld the honour of the tech sector, topping the S&P 500 leader board after a positive research note on the stock from Piper Jaffray. On a day when Apple's share price cracked through the $700 level, the toppled king of the technology sector, Microsoft, announced plans to hike the company dividend by 15% to 23 cents a share. Other markets Crude oil stockpiles rose by 2m barrels in the week ended September, the American Petroleum Institute revealed. The news is sure to put additional pressure on the price of oil, which has been heading south this week. The price of West Texas intermediate crude for October delivery fell $1.33 to $95.29 a barrel on the New York Mercantile Exchange. The US dollar had a solid day in the foreign exchange markets, while US Treasury yields declined, with the benchmark 10-year Treasury seeing its yield dip to 1.80% from 1.84%, as concerns about Spain linger and worries grow over rising tension in the always fractious relationship between Japan and China. FX and Commodities round-up Dollar firms as profit taking hits euro The dollar made further headway on Tuesday as safe haven flows increased amid fears about growing tensions between China and Japan and the ongoing Eurozone crisis. The dollar index, which measures the greenback against six major currencies, rose to 79.227 from 79.044 on Monday. Markets grew increasingly nervous about anti-Japan protests China over a territorial dispute. Many Japanese companies have been forced to close operations in fear of them being targeted by protestors. Meanwhile risk appetite was kept at bay while markets await Spain's plans with regards to a bailout. European Central Bank officials and the Spanish Deputy Prime Minister, Saenz de Santamaria, have signalled that Spain could make a formal request for assistance. However time is running short and while Spain successfully sold €4.6bn in short-term debt, the yield on the 10-year government bonds, which is a key measure of borrowing rates, again rose above 6%, a level which is seen as unsustainable. Sterling rose against the euro on Monday amid nerves about Spain and following a good deal of profit taking after the single currency's recent rally. Against the dollar, it rose to a four-and-a-half month high on Tuesday. Against the Japanese yen, the greenback bought ¥78.88 from ¥78.74 previously. The Australian dollar fell to $1.0444 from $1.0457 on Monday after the release of the Reserve Bank of Australia's dovish minutes from its latest interest-rate meeting. Crude down for second day Crude oil futures fell for the second consecutive session on Tuesday, in the wake of Monday's dramatic sell-off, amid increasing nerves about the health of the global economy. Crude for October delivery settled at a three week low of $95.29 a barrel, down $1.33 on the New York Mercantile Exchange. Nerves about the global business activity were shaken after US economic bellwether FedEx Corp slashed it profit forecast while markets also mulled reports that Saudi Arabia plans to maintain currently high oil output. Spain's rising bond yields were also in focus. The nation successfully sold €4.6bn in short-term debt, however the yield on 10-year government bonds, which is a key measure of borrowing rates, again rose above 6%. Anything over this level is regarded as unsustainable. Investors are also looking ahead to the week’s inventories reports, which are expected to a bigger-than-expected increase in crude supplies. Brent oil futures, the European benchmark, fell $1.99 to $111.80 per barrel. Among precious metals gold eked out modest gains on Tuesday after a choppy session while platinum futures nursed steep losses on reports that striking South African miners will return to work. Gold futures for December delivery added 60 cents to end at $1,771.20 an ounce on the Comex division of the New York Mercantile Exchange. Platinum for October delivery declined $36.30 to close at $1,636.30 an ounce.