Crude oil fell $1.26 to close at $87.15 per barrel for a front month contract, natural gas increased 5 cents to $7.99 per mBtu, and gasoline futures decreased 5.41 cents to close at 225.69 cents per gallon.

Gold increased $14.00 in New York trading to close at $904.00 per ounce, silver closed down 19 cents to $16.53 per ounce, and copper for front month delivery increased 7.50 cents to 328.70 per pound and in London copper futures decreased $127.00 to $7,136.00.

Dollar edged higher but traded near record lows against euro to $1.4622 and edged lower against yen to 106.45.


2:00PM New York, 7:00PM London – Stocks in the UK traded in a tight range after consumer confidence report showed a decline. British Sky Broadcasting reported 11% rise in revenue in the first half of fiscal 2008 and increased dividend.

Market Sentiment

Stocks in London closed up on stronger earnings report from British Sky Broadcasting, which helped offset a negative report on the jobs market.

In London trading FTSE 100 rose 0.13% or 7.4 to 5, 875.40.

Of the FTSE 100 stocks traded, 66 gained, 34 declined, and 2 were unchanged. British Sky Broadcasting led advancers with a rise of 7% after the company reported full-year profit will be at £740 million and maintained its target of 10 million pay TV customers by 2010.

Economic Data

The Recruitment and Employment Confederation reported today on its web site in its January’s Report on Jobs, that the UK labour market continued to slow in January 2008.

The report noted that slow growth of demand for staff resulted in moderate rises in permanent placements and temp billings and pay growth weakened as skills shortages eased.

Nationwide Building Society said in a statement an index gauging sentiment fell 4 to 81 on inflationary pressures, a weaker currency and declining share prices, to the lowest level on record since 2004. The Expectations index fell 4 to 79 on the worries related to future job market in the next six months.

The Present Situation Index (how consumers feel about the current economic and employment situation) fell five points to 83 (from 88 in December), reflecting consumers increased gloom about the current state of the economy. In spite of this, the Spending Index (consumers’ willingness to spend) remained stable in January. However, at 68, it’s still considerably lower than the same time last year (90 in January 2007).

Gainers and Losers

British Sky Broadcasting led advancers of the 102 FTSE 100 index shares with a rise of 7.05% followed by rises in Reckitt Benckise of 4.39%, in British Energy of 4.16%, in WM Morrison of 3.75%, and in Cadbury Schweppes of 3.72%.

British Sky Broadcasting rose the most in five years after forecasting that full-year operating profit will be at £740 million.

BHP Billiton Plc led decliners of the 102 FTSE 100 with a drop of 4.82%, in Cairn Energy of 2.68%, in Taylor Wimpey of 2.65%, in Vedanta Resources of 2.54%, in Legal & General Group Plc

BHP declined after recording the first profit decline in five years. The company reported today that first half profit fell 2.8% to $6 billion from $6.1 billion a year ago.

British Sky Broadcasting Earnings

BSkyB reported revenue rise in the first half of 11% to £2.5 billion and adjusted profit of £307 million. The basic loss per share increased to 6.4 pence including £282 million and adjusted earnings per share declined to 9.7 pence from 11.3 pence in fiscal 2007.