Good morning traders!

Well, the US is still waiting to hear if it has a new President... ;-)

On Wall Street last night, the Dow closed down 18.66 points at 10,035.73 after a bumpy ride. Everyone expected trading to be unpredictable with the election going on. The Nasdaq Composite managed to close in the blue, 4.92 points up at 1,984.79, having topped the 2,000 mark during the session for the first time in a long time.

Back with some news in a mo....

Happy trading!

G.

My fellow investors.

I truly hope we all have a great day!

God Bless our portfolio.

MARKEY EXPECTAATIONS
* Carphone Warehouse six months to September pretax profit 27.5 mln stg vs
20.30 mln

* FirstGroup six months to September pretax profit before exceptionals and
goodwill 55 mln stg vs 56.8 mln

* Pilkington six months to September pretax profit before exceptionals and
goodwill 84 mln stg vs 84 mln; interim dividend 1.75 pence, unchanged

MARKETS
FTSE 100 4,693.2, up 19.4
FTSE 250 6,402.9, up 41.7
DJIA 10,035.70, down 18.70
Nasdaq Comp 1,984.79, up 4.92
S&P 500 1,130.55, up 0.05
Tokyo: Nikkei closed
Hang Seng 13,334.93, up 26.19
Gold 421.42 usd (427.97 usd)
Oil - Brent Dec 46.55 usd (47.06 usd)

BREAKING NEWS
* 13 bln stg Airbus deal threatened; EADS pressed on terms of refuelling aircraft contract; MoD procurement chief begins to examine alternatives; competing proposals to be 'pursued vigorously' - FT
* Health department reaches deal with the pharmaceutical industry to cut branded drug prices by an overall 7 pct - FT
* Household energy supplier POWERGEN to raise its prices by almost 10 pct, its third increase this year
* ROLLS-ROYCE wins backing of the government in a bid to try to secure an 818 mln stg contract to supply engines to power a new generation of frigates for the French and Italian navies - FT
* SLOUGH ESTATES sells San Diego campus for 372 mln usd
* One of London's most exclusive shopping destinations - Burlington Arcade - put up for sale by the PRUDENTIAL with a 56 mln stg price tag - Times
* Philip Green hands Arcadia to his wife and saves 150 mln stg tax; wife's Monaco residency means family's 460 mln stg dividend is protected - Guardian

PRESS COMMENT
FT
THE LEX COLUMN comments on drop in crude oil prices over the past week (crude prices could still reach fresh highs this winter), RYANAIR HOLDINGS (at current fuel prices, most European airlines are not viable businesses; without significant capacity rationalisation, all they can do is pray for cheaper oil), UBS (if investment banking remains becalmed, the bank might yet face tougher questioning about the longer-term outlook for its private bank), Secondary equity offerings) - LOMBARD: Martin Dickson comments on MATALAN (stand on a p/e of 15.5, which incorporates a degree of bid speculation - although no offer is on the horizon - and is well up with events, MARCONI's millions, HANSON's legacy
Sun
MATALAN (looks a good each-way bet as the recovery unfolds)
Mail
GEEST (Gossip says Vikings (Bakkavor) are poised to swallow Geest) - NORTHGATE INFORMATION SOLUTIONS (more interesting bolt-on acquisitions could be in the pipeline)
Telegraph
QUESTOR: RYANAIR (best left alone for now), UMECO (worth holding for existing shareholders, otherwise a bit pricey to buy), MONTERRICO METALS (steer clear for the moment)
Times
RUMOUR OF THE DAY: WINCANTON (talk of predatory interest from Kuehne & Nagel) - DEAL OF THE DAY: CHEERFUL SCOUT (director buys 250,000 shares at up to 1p) - TEMPUS: BAA (hold), MATALAN (hold), MCBRIDE (buy)
Express
WHO'S DEALING: NEXT (director sells stock) - SHARE WHISPER: EAST SURREY (according to gossips, several Continental European utility companies have been running the rule over East Surrey) - BROKER'S VIEW: HILL & SMITH (undervalued - Arbuthnot) - Tipster Trevor Webster makes a pitch for HOLIDAYBREAK; he says ALEXANDRA is a firm hold, as is FRIENDS PROVIDENT
Guardian
GEEST (Bakkavor bid speculation)
Independent
THE INVESTMENT COLUMN: MATALAN (take profits), PENNA CONSULTING (have a punt), MCBRIDE (still fairly priced)

AVIVA UPGRADED TO 'BUY' FROM 'HOLD' BY DEUTSCHE BANK

Morning punters.

FGP - making a comeback after a bad last year?
http://www.uk-wire.com/cgi-bin/articles/20041103070000P5410.html

XTL - more HepC stuff. Real turnaround in the share performance this past couple of weeks.
http://www.uk-wire.com/cgi-bin/articles/200411030700017601E.html

PILK - decent interims methinks
http://www.uk-wire.com/cgi-bin/articles/200411030700027670E.html

MLR - A bio that hasn't bounced in the last 18 months - losses reduced
http://www.uk-wire.com/cgi-bin/articles/200411030700037732E.html

MPH - handy little deal?
http://www.uk-wire.com/cgi-bin/articles/200411030700057749E.html

MOI - chinese order
http://www.uk-wire.com/cgi-bin/articles/200411030700057753E.html

NIS - "materially ahead" - was watching this yesterday and someone know! ;-))
http://www.uk-wire.com/cgi-bin/articles/200411030700057783E.html

GLA - sounds very handy indeed
http://www.uk-wire.com/cgi-bin/articles/200411030700067809E.html

CPW - here's the reason for the good run
http://www.uk-wire.com/cgi-bin/articles/200411030700097828E.html

DTM - "the Board expects profit before tax for the year ended 31st
December 2004 to be ahead of market expectations"
http://www.uk-wire.com/cgi-bin/articles/200411030700097833E.html

AEN - now that's an awful lot of coal!
http://www.uk-wire.com/cgi-bin/articles/200411030700117840E.html

LOK - having used storage facilities, I know they are popular and profitable Hmm
http://www.uk-wire.com/cgi-bin/articles/200411030700127845E.html

RWD - still think they are due a re-rating, but there you go. We all drink milk
http://www.uk-wire.com/cgi-bin/articles/200411030700147846E.html

PTD - another p/w
http://www.uk-wire.com/cgi-bin/articles/200411030700147850E.html

ITF - placing at very small discount to price and they broke up Monday. Can't be bad?
http://www.uk-wire.com/cgi-bin/articles/200411030700197875E.html

BPRG - apparently they've been to court - not a lot of people know that! ;-)) Still not fully resolved and a red herring IMO
http://www.uk-wire.com/cgi-bin/articles/200411030700217878E.html

That seems about it. Have a good day and be careful out there coz the yanks are bound to do something completely stoopid!

;-)

SSRT
There seems to be a problem this a.m. the following usually resolves it
Ss rt click on the icon
Properties
Find target
DATA FILE open
DELETE NEWS FILE
BACK
On the list find
NEWS DAT. FILE
DELETE THE NEWS DAT FILE
CLOSE AND RESTART

Morning all

London shares stay firm midmorning as Bush looks set to win White House

LONDON (AFX) - Leading shares stayed higher in midmorning deals, mirroring strong gains in US futures, as most pundits agree market-favourite President George W Bush looks set to secure a second term in the White House, dealers said.
Although counting is still underway, Bush is expected to be declared the victor with the President winning 254 electoral votes compared to challenger John Kerry's 252 at the latest count.
In response, at 10.11 am, the FTSE 100 was 15.3 points higher at 4,708.5 with the broader indices also showing a strong performance.
And the market was given a further fillip on expectations Wall Street could storm higher at the open, with City Index tipping the DJIA to start the day 120 points higher at 10,155 with the Nasdaq up 30 points.
Back in London, insurers dominated the blue chip leaders board on the back of expectations for further gains on global equities on the back of expectations of a Bush victory.
Legal & General was 1-3/4 higher at 103-3/4 while Royal & Sun moved 3.4 ahead at 77. Prudential was the biggest riser, up 10-1/2, or more than 2.5 pct at 420-1/2, bouncing back from heavy falls after a surprise 1 bln stg rights issue. While peer Aviva was 7 pence fimer at 561-1/2, further boosted by an upgrade in stance by Deutsche Bank.
And the prospects of a Bush win also gave a shot in the arm to blue chip pharmas - AstraZeneca was 47 higher at 2,304 and GlaxoSmithKline was 9 ahead at 1,1179.
According to Morgan Stanley, a Bush White House is likely to lift sentiment in the sector as market watchers fretted that Democratic challenger John Kerry would push through plans to cut drug prices in the US.
Media shares rose as Merrill Lynch argued that President Bush is more likely than John Kerry to allow deregulation and consolidation.
ITV, which has often been cited as a takeover target for US media groups, lifted 1 pence to 108-1/4.
US dollar-sensitive stocks were also in favour, on expectations a clear Bush win would boost the greenback.
Amvescap was 5 at 313-1/2, while miners alos rallied with Xstrata up 16-1/2 at 869-1/2, Antofagasta up 9 at 1,019 and Rio Tinto up 11 at 1,449.
On the downside, ex-dividend factors hit Boots, down 8 at 663, Unilever, 9 lower at 464, Whitbread was off 7 at 812.
Shares in Lloyds TSB were also lower - down 5-1/4 at 433-1/2 - after Morgan Stanley reiterated its 'underweight' stance on the group and recommended switching into HSBC.
On the second line, Pilkington took the top spot among the risers, up 4-1/2 at 94-1/4, as the group reported better-than-expected interim results.
In response, Merrill Lynch reiterated 'buy' on the glass maker.
And bumper results also boosted FirstGroup, up 11 at 299-1/2 after the Aberdeen-based bus and train operator reported consensus-beating underlying first half profit.
On the downside, shares in Carphone Warehouse suffered, falling 7 to 160 as slightly better than expected interim numbers failed to impress.
Cautious comment from CSFB also hit sentiment.

UK and European brokers' recommendations issued today, as collated by AFX News from a range of market sources.

DRESDNER KLEINWORT WASSERSTEIN
Upgrades to Buy from Add Pernod Ricard

NUMIS
Reiterates Reduce Pilkington, raises target to 83 pence from 80 -- Add Robert Wiseman

MORGAN STANLEY
Downgrades to Equalweight from Overweight JC Decaux -- Underweight Lloyds TSB, advises switching into HSBC, Equalweight

ALTIUM SECURITIES
Downgrades to Hold from Buy Trifast

MERRILL LYNCH
Reiterates Buy Software AG, cuts target to 28.5 eur vs 31 -- Neutral Julius Baer, cuts earnings forecasts

UBS
Upgrades to Neutral from Reduce MyTravel

CITIGROUP SMITH BARNEY
Reiterates Buy UBS, 105 sfr target, ups forecasts -- Upgrades to Buy from Hold Pfeiffer Vacuum, 36 eur target

DEUTSCHE BANK
Downgrades to Hold from Buy Randstad -- Upgrades to Buy from Hold Atos Origin --Upgrades to Buy from Hold Aviva -- Sell JD Wetherspoon -- Hold Eniro, 56 skr target -- Hold Pfeiffer Vacuum, 34 eur target -- Hold Verbund, raises target to 165 eur from 135

HSBC
Reiterates Long Term Reduce Publicis, trading Buy

SG SECURITIES
Downgrades to Hold from Buy Nestle

JP MORGAN
Initiated as Overweight Bodycote, 177 pence target -- Overweight UBS, raises target to 100 sfr from 95

LEHMAN BROTHERS
Downgrades to Underweight from Equal-weight Sanofi-Aventis -- Upgrades to Equalweight from Underweight AstraZeneca, raises target to 2240 pence from 2130 -- Equalweight Portugal Telecom, raises sum of parts fair value to 10.50 eur from 10 -- Overweight Publicis, cuts estimates

GOLDMAN SACHS
Reiterates Outperform Actelion, raises estimates -- Underperform Assa Abloy, cuts estimates -- In Line Ryanair, raises estimates -- In Line Scania, raises estimates -- Downgrades to Underperform from In-Line Eurocommercial Property -- Downgrades to In-Line from Outperform Portugal Telecom

London shares - midmorning features

FTSE 100 risers
Prudential 419 up 9
Rally
Aviva 559 up 4-1/2
'Buy' from 'hold' - Deutsche Bank
AstraZeneca 2,305 up 48
'Equal-weight' from 'underweight' with target upped to 2,240p - Lehman
Legal & General 103-3/4 up 1-3/4
Firm market trend
AMVESCAP 313 up 4-1/2
Firm market trend
Xstrata 868-1/2 up 15-1/2
Commodity prices firm
SABMiller 803-1/2 up 3-1/2
Merrill Lynch 'buy'
Rio Tinto 1,451 up 13
Seymour Pierce reiterates 'outperform'

FTSE 100 fallers
British Airways 215 down 3-3/4
Profit-taking
Marks & Spencer 354-1/2 down 4-3/4
Nervous offerings ahead of interims due Nov 9
Lloyds TSB 433-1/4 down 5-1/2
'Underweight' & switch into HSBC - Morgan Stanley
Next 1,696 down 2
Director sells stock

FTSE 250 risers
Pilkington 95-1/2 up 5-3/4
Arbuthnot/Teather & Greenwood 'buy'; interims
FirstGroup 300 up 11-1/2
Better-than-expected interims; Panmure Gordon reiterates 'buy'
Northgate Information Solutions 67 up 1-1/2
Upbeat trading statement; positive comment in Daily Mail
easyJet 174-1/4 up 3-3/4
Sector consolidation hopes
Chrysalis 177 up 1-1/4
Bridgewell positive
Matalan 229-1/2 up 4-1/4
Interims yesterday
Balfour Beatty 287-3/4 up 5-1/2
Rail prospects
Bovis Homes 544-1/2 up 12-1/2
Hopes that interest rates will be pegged
Bodycote 147-1/2 up 1/2
JP Morgan initiates coverage with 'overweight' & 177 pence target

FTSE 250 fallers
Carphone Warehouse 160-1/4 down 6-3/4
In-line interims triggers profit-taking; JP Morgan stays 'underweight'
First Choice 134 down 1-3/4
Profit-taking
Dairy Crest 358-1/4 down 2-3/4
Interims Nov 10
JD Wetherspoon 232 down 1-3/4
Deutsche Bank 'sell'

Other risers
MOS International 0.97 up 0.11
China order
Maelor 19 up 1-1/2
On track to reach profitability with need for further capital - company
Datamonitor 118-1/2 up 7
Upbeat trading statement
Entertainment Rights 13.87 up 0.75
Company wins intl TV distribution rights for 3 Hasbro series
XTL Biopharmaceuticals 21-3/4 up 1-1/4
New Drug application to FDA
BioProgress 106-1/2 up 4-1/2
Favourable court rulings in dispute with Stanelco
East Surrey 377-1/2 up 2-1/2
Persistent bid speculation
Galahad Gold 13-1/2 up 1/2
Positive Pebble Project assessment

Other fallers
Pittards 23 down 4
Second-half profits warning
Stanelco 4.12 down 0.38
Negative court rulings in dispute with BioProgress
Christian Salvesen 58 down 5
Merger talks with TDG off
TDG 236 down 1/2
Merger talks with Christian Salvesen off
Heywood Williams 83-1/2 down 4
Customer ceases trading
Monterrico Metals 534-1/2 down 24
'Steer clear for the moment' - Daily Telegraph

Morning all.

Bush, are you still president?

A/Noon all, Alas snoball i think the answer is yes.

That's not very nice!

Snoball

My trusted nanny says I am, so I must be!

Maybe i'll get jelly and ice cream for being such a good boy, now can somebody help the FTSE to regain it's rightful place.

Didn't see you there small cap bush, hey ho.

Dunno if I've posted all today's trades.

Closed AQP +4, XAR +2

Longed DTM 117, AXO 137, PDH 225

That should cover it.

no problem Stan
I've had worse!

Big Al. What do you think of BDH at the moment? My son's doing his Christmas shopping on the money he has made on this but taking a bit of a dive at the moment!!!

jj - I am still long, but failed to cash in when I was away last time. It's still on the up longer term so happy to hold, but haven't done well at trading it as should've taken profits at 150p minimum.

I'll be gone on any further fall, more than likely, as the chart looks like it's come as far back as I'd like it given my trading strategy. Considered adding yesterday on what looked like a turn up, but that changed with today's action.

Well done your son! ;-)

Thanks Al - I shall tell Jamie. I had reckoned he was pretty safe hanging on as he had bought in August 03 and as I pay the CGT, he really is on a no lose situation anyway but it was dipping more than I had anticipated and I was beginning to waiver! Just working out what I could request for my Christmas really :-))

Jen

Congratulations Bush.

jj

You pay the CGT? I'd expect a large prezzie!! ;-))

Hope he bought the early part of Aug03. Price currently hovering around 50SMA with 200SMA almost 125p. A close below 135p might not look good, but then I'm more of a trader and not an investor!! Please remember that.

Best of luck with it.

Al
;-)

Al,

I think I should re-word that! Sadly, as he is too young to have an account in his own name, he buys through mine, therefore "his" CGT liability is actually my CGT :-( In practice, the whole agreement has backfired a bit as initially I agreed to cover expenses so he was happy to sell on minimum gain - at least that has been sorted out!! Purchase was end of August but at 91p - in his eyes, still a nice profit. I shall keep track this week as he is not around.

Thanks, Al

jj:-)

jj50, you should split his money into a separate account which can be in your name but designated with his initials, e.g. SMITH J A/C GH . Then you are effectively trustee for his money and he will have his own CGT allowance. No point in giving the tax man more money than necessary!

Kayak,

Didn't realise I could do this. Shall investigate....sounds good though! In your debt again Kayak, thank you!

Kayak

I didn't realise that either and I've been considering how I could start doing stuff for my kids. This is excellent news - thanks.

jj - in anyone's eyes it's a nice profit. Wish I'd seem it back then. ;-)

One post today!!!! Must be very quite on the market front..

Well done Jen and son, sounds like you'll both be having a
good Chrismas :>)