UK Market News

Wednesday March 11, 07:58 AM
Glance-European Factors -- Futures point lower after Tues share surge

LONDON, March 11 (Reuters) - European stock index futures fell early on Wednesday, pointing to a weaker open, a day after a key benchmark posted its biggest gain for three months, driven by banks which rose on an upbeat memo at Citigroup

(NYSE: C - news) . DJ Euro Stoxx futures were down 0.4 percent;, Germany's DAX futures were down 0.4 percent and France's CAC-40 futures were 0.3 percent lower. Futures for crude oil and copper slipped. Deutsche Lufthansa (Xetra: 823212 - news) will be in focus after reporting a fall in profit in 2008, while UBS (Virt-X: UBSN.VX - news) said its 2008 net loss had increased due to a fine to pay U.S. criminal charges. On Tuesday, the FTSEurofirst 300 index of top European shares rose 5.1 percent to close at 690.89 points, the biggest one-day percentage gain since Dec. 8, with banks and insurers surging. However, the index is still down 17 percent in 2009, battered by a credit crisis that has helped to tip several major economies into recession. U.S. shares rose from 12-year lows, with Citigroup up 38.1 percent. ----------------------MARKET SNAPSHOT AT 0727 GMT---------------------- LAST PCT CHG NET CHG S&P 500 719.60 6.37 % 43.07 NIKKEI (news) 7,376.12 4.55 % 321.14 MSCI ASIA EX-JP 257.11 2.70 % 6.75 EUR/USD 1.2645 -0.28 % -0.0035 USD/JPY 98.52 -0.17 % -0.1700 10-YR US TSY YLD 2.988 -- -0.02 10-YR BUND YLD 3.009 -- 0.00 SPOT GOLD $898.70 0.32 % $2.90 US CRUDE $45.47 -0.53 % -0.24 ----------------------------------------------------------------------- * US STOCKS-Citi's profit view, uptick talk drive rally * Tokyo's Nikkei share average closes up 4.55 pct * TREASURIES-Little changed in Asia ahead of auctions * FOREX-Dollar slips, Citi news pares safe-haven demand * PRECIOUS-Gold hovers below $900/oz as stocks rally * Oil rises towards $46 on equities, eyes inventories * GLOBAL MARKETS-Citi hopes support Asia stocks COMPANY ITEMS UBS UBS said its 2008 net loss had risen to 20.9 billion Swiss francs ($18.06 billion) from the previously reported 19.7 billion francs. The rise takes into account a fine the Swiss bank agreed to pay to settle U.S. criminal charges in a tax fraud case, and adjustments to the valuation of securities. DEUTSCHE LUFTHANSA German airline Deutsche Lufthansa said 2008 operating profit fell 1.7 percent to 1.35 billion euros and revenue rose 10.9 percent to 24.87 billion euros. TULLOW OIL (LSE: TLW.L - news) Tullow Oil reported 2008 net profit of 226 million stg, up 330 percent, on asset sales. It said reserve replacement was 582 percent. INTERNATIONAL POWER (LSE: IPR.L - news) International Power reported profit from operations for 2008 rose 16 percent to 1.05 billion pounds. JC DECAUX (Paris: FR0000077919 - news) JCDecaux, the world's second-largest outdoor advertising group, warned its sales would decline this year amid a global economic slump, and said it would pay no 2008 dividend, after posting lower 2008 earnings. AXEL SPRINGER AG Axel Springer AG said it has to be prepared in 2009 for extremely difficult advertising business and issuing a precise outlook is not possible. TELEPERFORMANCE French call centre operator Teleperformance (Paris: FR0000051807 - news) said it was 'reasonably confident' that it would be able to face up to a difficult economic climate, as it posted a rise in full-year net profit and sales. FINMECCANICA (Milan: FNC.MI - news) Italy's largest aerospace and defence company said its 2008 net profit rose 19 percent, boosted by growth at its aeronautics, energy and space divisions. AER LINGUS (LSE: AERL.L - news) Aer Lingus posted a full-year after-tax loss of 107.8 million euros, against a profit of 105.3 million euros the previous year, and said it was unlikely to meet its previous guidance for 2009. ITALIAN BANKS Italian Prime Minister Silvio Berlusconi said some Italian banks have bought foreign banks which held toxic assets but 'not in worrying amounts'. ENEL (Milan: ENEL.MI - news) The banking consortium for the Italian power company's capital increase will be led by Mediobanca (Milan: MB.MI - news) , JPMorgan Chase & Co and Intesa Sanpaolo (Milan: ISP.MI - news) , a financial source said on Tuesday. HANNOVER RE Hannover Re will report full-year results. (Reporting by Brian Gorman) Keywords: MARKETS EUROPE FACTORS