15/08/07 FTSE 100 6143.5, -75.5 Dow 13028.9, -207.6 FTSE 250 10998.6, -169.3 Nasdaq 2499.12, -43.12 FTSE All Share 3179.17, -39.88 S&P 500 1426.55, -26.35 Nikkei 16475.6, -369 Hang Seng 21307.1, -700.2 Oil (Brent) $70.17 Gold $679.70 Base Rate 5.75% 10 Yr Gilt 5.17% £/$ 1.991 Euro/Gbp 0.6775 Market report  US markets dropped for a fourth consecutive session yesterday, with all three major indexes wiping at least another 1.5% off their value. Further signs of turmoil in the credit market continued to weigh on investors while weak profit forecasts from both Wal-Mart and Home Depot dampened spirits further. Economic data also showed the Producer Price Index rising 0.6%, topping forecasts, while the US trade gap fell unexpectedly in June. This suggests the Federal Reserve will have to remain cautious about an interest rate cut next month. The Dow Jones dropped 207.6 points to finish at 13,028.9, the S&P 500 sank 26.35 points to close at 1,426.55. The Nasdaq ended 43.12 points lower at 2,499.12. Wal-Mart Stores led the S&P lower following a disappointing earnings report, which it blamed on the pressure from the housing market. The company also provided the market with a reduction in its full year earnings forecast, sending shares 5.1% lower to $43.82. Home Depot fell after reporting its first quarterly sales decline in more than four years. The home improvement retailer sank 4.9% to $33.52, an 11 month low, after reiterating that its per share profit will fall as much as 18% this year. Boeing Co caused the biggest drag on the Dow on concerns that some orders for its planes rely on financing that could be threatened by the troubles in the credit market. Shares lost 2.4% to close at $97.63. US investment firm Sentinel Management Group Inc delivered the most recent blow to the credit environment. The firm, which oversees $1.6 billion in assets, told clients it wants to stop investors withdrawing their cash in a bid to avoid forced liquidation. On the upside VMWare, a spin off from parent company EMC, rallied 73% to $51.00 on its debut as a public company. EMC fell 3.7% as a result to close at $18.34. US light crude for September delivery gained $0.76 to $72.38 a barrel. COMEX gold for December delivery fell $1.20 to $679.70 an ounce. Treasury prices went higher as investors sought security from equities, lowering the yield on the 10 year note to 4.72%. The Nikkei dropped 369 points to close at 16,475.6 this morning. Financials continued to drop in line with the US as a number of large investment companies disclosed losses on investment related to US subprime loans. Exporters including Sony Corp slid after poor earnings from Wal-Mart stoked concerns about consumer spending. The Hang Seng is currently 700.2 points lower at 21,307.1. A number of large local and Chinese firms reporting strong results was not enough to overshadow the global credit crisis. Li & Fung led exporters lower, as investors again eyed Wal-Marts results and outlook. The London market slumped in afternoon trading yesterday after a poor opening on Wall Street knocked investor sentiment. A steeper-than-expected fall in inflation to below the Bank of England's 2% target had boosted stocks earlier in the session, with investors hopeful for a prolonged freeze on interest rates. But the FTSE 100 Index reversed the gains to close down 75.5 points at 6143.5 as fears over the collapse of the sub-prime mortgage market returned to spook investors in the US. Property groups in the UK saw some of the biggest falls with real estate investment trust Hammerson sliding 32p to 1214p and Segro off 14p to 524p, while house builders Persimmon and Barratt Developments both slipped by almost 2%, or 21p to 1211p and 16p to 920p respectively. Financial stocks also suffered with fund manager Man Group sliding 17.5p to 494.5p, while Barclays lost 21.5p to 637p and Alliance & Leicester dropped 26p to 1056p. Cadbury Schweppes fell more than 3% or 19.5p at 556p after a downgrade from Credit Suisse due to the prospects of a lower selling price for its US drinks business because of credit market volatility. Meanwhile supermarket group Morrisons, was down almost 3%, or 7.5p, to 258.5p after halting cold meat sales at two stores in Scotland following a health scare. Brewing group Scottish & Newcastle was one of the session's strongest risers on speculation that Danish brewer Carlsberg was investing in the stock as a prelude to a bid for the group. The stock rose 7.5p to 580p. But it was mining group Lonmin which topped the risers' board with a gain of 52p to 3114p after the International Finance Corporation invested (£10m) in the company's shares. The rest of the mining sector did not fare so well as BHP Billiton fell 50p to 1298p and Xstrata dipped 69p to 2725p. Economic report  UK Bank of England MPC Minutes (Aug) 0930 BST Analysts don't believe any members voted for a hike at the August meeting. They had only just raised rates the previous month and financial markets were in turmoil. Indeed, at the Inflation Report press conference, the Governor said that the range of views on the Committee weren't that large at present. The last time he said this, in May the vote showed a 9-0 vote to raise rates. UK Unemployment (Jun/Jul) 0930 BST After a weak year for the UK labour market, the last report showed some pick up in employment. Analysts expect a more modest improvement this month. US CPI (Jul) 1330 BST/0830 EDT Analysts expect core CPI to rise 0.13%, with the year-on-year rate falling to 2.1% from 2.2%. US Empire Manufacturing (Aug) 1330 BST/0830 EDT The Empire index should drop back, given signs of deceleration in last month's Chicago PMI and ISM manufacturing surveys. Still, the Empire region has been outperforming on a relative basis with new orders rising to 26.5 last month, along with strong shipments and lower inventories. Analysts expect the headline index to fall to 18. US Industrial Production (Jul) 1415 BST/0915 ED Analysts expect industrial production to rise 0.2%. Manufacturing hours worked were flat in July, as declines in areas, including electrical equipment, furniture, rubber and plastics, offset increases in other industries. Meanwhile the latest ISM manufacturing index slowed to 53.8 from 56, with the production index falling to 55.6 from 62.9. Look for the capacity utilisation rate to remain at 81.7%. US NAHB Housing Market Index (Aug) 1800 BST/1300 EDT The NAHB housing index has fallen 15 points since February, from 39 down to 24. This was the lowest reading so far this cycle and only a few points above the all time low of 20 back in January 1991. The details published in this e-mail are intended for information only and should not be construed as advice under the Financial Services and Markets Act 2000. Aventus Capital Management will not accept responsibility for any actions taken (or not taken) on the basis of information published in this e-mail. Aventus Capital Management is a trading style, "Aventus" is a trade mark and the Aventus logo is a registered trade mark of Rickerbys Solicitors.  Rickerbys is regulated by the Solicitors Regulation Authority.  Authorised and regulated by the Financial Services Authority.