US government partial shutdown after failure to agree new budget.

The US government has begun a partial shutdown after senators failed to agree a new budget for next year. The midnight deadline passed without agreement despite President Barack Obama’s last minute efforts to reach a deal. The shutdown threatens more than 700,000 US government workers who could end up on unpaid leave. However, despite a large downside move on Sunday evening, markets seem little fazed with many investors expecting the two sides would strike a deal imminently.

Asian stocks recovered overnight despite the uncertainty in the US after Japanese Prime Minister Shinzo Abe said the nation will increase its sales tax as planned. Abe said he had decided to raise the sales tax as planned from April 1 next year to 8 percent from the current 5 percent to help sustain the country’s public finances.

WTI crude slid for a third day on uncertainty the US government will fail to reach a deal, threatening to slow the economy and reduce the demand in the world’s largest oil consumer.

Risers

Wolseley, +2.35% Shares in Wolseley have been given a boost by an impressive rise in profits on the back of US growth. Building and heating supplies group Wolseley announced £473m pre-tax profit for the year ending 31 July, leaping from £198m the year before. The company's success has been driven by its US division, but weakness continues in Europe with the UK starting to show early signs of a recovery.

Experian, +1.95% Investors in Experian had reason to cheer this morning after analysts at JP Morgan Chase & Co reiterated their “overweight” rating on the stock. The firm currently has a 1,347p price target. A number of other firms have also recently commented on EXPN including Citigroup. Analysts at Citigroup reiterated a buy rating on shares of Experian in a research note to investors on Monday, September 16th. They now have a 1,410p price target on the stock.

ITE Group, +4.19% Climbing the most amongst shares within the FTSE 350, ITE Group an international exhibitions group specialising in emerging and developing markets, said it expects higher annual revenues in line with market expectations. In an update for the year ending September 30, the firm said revenues for the fourth quarter reflect positive trading conditions in most of our overseas markets. Revenue for the full year is expected to be about 191 million pounds, compared to 172 million pounds last year.

Regus, +2.75% Regus was upgraded by stock analysts at Goldman Sachs Group from a “neutral” rating to a “buy” rating. The firm currently has a 227p price target on the stock, up from their previous target price of 173p. Goldman Sachs Group’s target price points to a potential upside of 23.71% from the company’s current price.

Vatukoula Gold Mines, +27.8% Registering the most impressive gains amongst AIM listed stocks, Vatukoula Gold Mines shares have rocketed after issuing encouraging full-year operations update. Vatukoula said there was a 29% increase in grade (5.85 g/t) delivered from underground compared to the previous quarter, whilst there was an 18% reduction in cash costs per tonne to US$148 per tonne in the twelve months ended August 2013 from US$180 per tonne during the same period last year.

Fallers

Unilever, -3.85% Unilever shares slid on Tuesday after the consumer goods giant surprised the market with its first profit warning in a decade. Unilever have cited a disappointing slowdown in emerging markets, where it generates almost 60% of sales, which only accelerated in Q3. Unilever said it expected underlying sales growth of between 3pc and 3.5pc in the period, compared with a weaker-than-expected 5pc rise in the second quarter. The announcement was Unilever's first profit warning since 2004.

Reckitt Benckiser, -2.81% Equities researchers at Panmure Gordon decreased their price target on shares of Reckitt Benckiser Group from 4,750p to 4,625p. The firm currently has a “hold” rating on the stock. Panmure Gordon’s target price would suggest a potential upside of 2.37% from the company’s current price.

Diageo, -1.91% Shares in Diageo have taken a hit during today’s session after the company announced that it purchased 600,000 ordinary shares through UBS. The shares were bought at a price of 1963.3367p. The purchased shares will be held in treasury for the purpose of satisfying options grants and share awards made under the Company's employee share plans.

Sunrise Resources, -14.29% Despite reporting positive results at Cue Diamond project in Australia, shares in the mineral exploration and development firm have taken a dive trading over 10% lower. Commenting today, executive chairman Patrick Cheetham said that the positive result is one of the best diamond sampling results.

Begbies Traynor, -8.33% Shares in Begbies Traynor Group dropped this morning after it warned that its full-year expectations were unchanged, but were heavily dependent on trading in its traditionally busier months and on insolvency market conditions that hadn't improved. The company said that it had realised year-on-year cost reductions of £2million as of July, which had partially mitigated a reduction in revenue. It said that it retained the resources to handle an increase in activity levels should it arise and it would continue to plan for persistently suppressed market conditions.