21 January 2019
Just Eat and William Hill“The FTSE 100 is doing its best to get back through the psychologically-important 7,000 level as the new trading week kicks off. “Oil producers, pharmaceuticals and tobacco stocks are powering an advance in the blue-chip index, although a negative performance across markets in mainland Europe may weigh on investor sentiment as the day progresses....
18 January 2019
Ryanair and Sophos“European and Asian markets catch a ride on the same tailwind which lifted US stocks last night, being hopes that the US could ease tariffs on China. That would clearly be good news for commodity producers, explaining why miners and oil stocks are among the biggest risers on the UK market. “The FTSE 100 was up 0.8% on Friday morning with many...
17 January 2019
Whitbread and Associated British Foods“UK markets take a small step back with weakness in consumer-facing stocks dragging down the FTSE 250 and banks, insurers, pharma and tobacco weighing on the FTSE 100. The pound reverses recent strength with falls against the US dollar and the euro on Thursday, while oil prices were also weak. “The scale of declines are only minor across the board...
16 January 2019
Reckitt Benckiser and Pearson“Many people may be surprised that the pound is holding firm and the UK-heavy FTSE 250 index is rising off the back of Theresa May’s Brexit vote defeat. “In essence the market believes we are going to get more time for negotiations, we’re less likely to have a hard, economically-damaging Brexit, or Brexit won’t happen at all. “The EU has already...
15 January 2019
BooHoo and Provident Financial“It is voting day for Theresa’s May Brexit plan which means investors are likely to remain nervous until we get the result. Surprisingly the markets opened in positive fashion with a 0.7% gain in the FTSE 100 and a 0.2% advance in the FTSE 250, the latter thanks to a small gain in the pound against the US dollar and the euro. “Key to the FTSE 100’s...
14 January 2019
JD Sports, PageGroup and Revolution Bars“Natural resources companies are primarily to blame for the FTSE 100 falling 0.5% on Monday. Also contributing to the weakness are telecoms, tobacco and utility stocks. Markets across the rest of Europe are also flashing red, so too much of Asia. The standout performer was Japan’s Nikkei index which rose by nearly 1%. “Ongoing Brexit uncertainty...
11 January 2019
AO World and Flybe/Stobart“There is a positive end to the trading week with the FTSE 100 in touching distance of getting back over the 7,000 line. Oil prices find renewed strength with Brent crude up 0.7% and WTI crude up 1%, giving a lift to big FTSE constituents Royal Dutch Shell and BP. Housebuilders are also on the move with Taylor Wimpey and Barratt Developments among...
10 January 2019
Debenhams and Halfords“A weaker session across major markets in Europe and Asia dampens investors’ spirits including a 0.5% decline in the FTSE 100, a 0.8% drop in Germany’s DAX index, and a 1.3% slump in Japan’s Nikkei 225. “FTSE 100 miner BHP drops 6% as it trades without the right to the latest dividend and it is also caught up in general weakness across the mining...
9 January 2019
Sainsbury’s and Taylor Wimpey“At 6,905 the FTSE 100 is now trading at its highest level since the start of December as the market does its best to climb out of a hole. The blue chip index is up 2.6% year-to-date which sends hope to investors that market weakness seen in the second half of 2018 may not necessarily turn into a sustained downward trend. “Housebuilders, tobacco...
8 January 2019
Morrisons and Greene King“UK domestic stocks were back in fashion on Tuesday with supermarkets, engineers, banks, insurers and utilities all helping to give support to the FTSE 100. The blue chip index was up 0.5% to 6,847 with retailer Next topping the leaderboard. “The rise in UK stocks follows speculation that British and European officials might be discussing the...
7 January 2019
Three trends that stock market investors will want to end in 2019“The New Year has begun as the old one ended, with a lot of volatility. It will therefore be of no surprise, at least to the cynically-minded, that the three main sources of investor angst in 2018 – the US Federal Reserve, the White House and China – are already trying to offer comforting words as their credibility rests to varying degrees on stock...
7 January 2019
BT and Dunelm“It’s a relatively quiet start to the new trading week among UK stocks with very little corporate news from large companies to drive trading volumes. “Strength in miners and supermarkets is offset by weakness in banks and utilities, leaving the FTSE 100 flat at 6,839. It is a similarly placid experience with stocks in Continental Europe with only...
4 January 2019
Gear4Music“Stocks are bouncing back after yesterday’s Apple-inspired bout of weakness, but the S&P 500 in the US is still on course for its worst first week back after the New Year since 2016 when fears of a currency crisis in China led to significant volatility. And this follows on from the worst December for the index since the Great Depression. “The...
3 January 2019
Share buybacks prove useless as Apple shares get crushed after profit warningApple frightened investors back in November when boss Tim Cook announced the firm would no longer disclose unit sales figures for iPhones, iPads and iMacs and the overnight profit warning has confirmed investors’ worst fears.
At the after-hours trading close of $146 a share, Apple’s total market valuation is now just under $700 billion after the...
3 January 2019
Next and Vectura“Markets were weak across Europe and Asia following yesterday’s choppy trading and a rare profit warning from Apple spooking investors around the world. “The consumer electronics giant’s struggles are tied in closely with market fears about trade wars and the health of the Chinese economy, with a weak revenue performance in the last three months of...
2 January 2019
Debenhams and Ophir Energy“Stock markets didn’t get the memo that we’re supposed to start the New Year with a positive attitude towards being fit and healthy. “A slowdown in China’s manufacturing sector hurt stocks in Asia and also added to investor concerns about a global economic slowdown in 2019, leading to weakness across European markets. “Weak oil prices were also to...
20 December 2018
Kier“Rather than the traditional Santa rally, equities are enduring a Santa rout. A rate hike was widely expected when the US Federal Reserve met last night but the extremely negative market reaction reflects what was said alongside the decision by Fed chief Jerome Powell. Powell delivered a bit of a double whammy, flagging lots of worrying risks to...
19 December 2018
FTSE 100 earnings momentum falters as 2018 draws to a close“Positive earnings momentum helped to carry the FTSE 100 through the first half of the year, as analysts upgraded their profit forecasts and the index peaked on a closing basis at 7,877 in May, but the rate of increases slowed in the third quarter and came to a grinding halt in the fourth,” says Russ Mould, AJ Bell Investment Director.
“In the...
19 December 2018
GlaxoSmithKline“Investors are eagerly awaiting the FOMC meeting in the US later today to find out if there is going to be another interest rate hike. It increasingly looks like previous forecasts for one more hike this year and three in 2019 will have to be revised downwards. While we may get a hike today, concerns about global markets and tepid inflation in the...
18 December 2018
National Grid / Ofgem and Royal Dutch Shell“Further weakness in oil prices has served to weigh on shares in the oil sector and by default pull down the FTSE 100. Any movement in Royal Dutch Shell and BP have a direct influence on the direction of the blue chip index because they are among its largest constituents. “The FTSE 100 dropped 0.7% to 6,727 in early trading, also dragged down by...
17 December 2018
ASOS and SSE“A massive sell-off in retail stocks weighs on the FTSE 100 and FTSE 250 indices with investors worried about disappointing Christmas trading. Mining stocks bucked the trend with a small advance. This included BHP which confirmed details of a $1.02 per share special dividend linked to the sale of its onshore US assets. Markets were also weak in...
14 December 2018
Balfour Beatty“There have been some troublesome figures coming out of China in 2018 and another batch has now served to drag down markets in Asia and Europe. They suggest that China is finding it hard to sustain high levels of economic growth. “China’s industrial production in November grew by 5.4%, below expectations of 5.9%, and retail sales grew at 8.1% which...
14 December 2018
Market falls leave FTSE 100 yielding almost 5% in 2019“The autumn stock market sell-off has boosted the forecast dividend yield for the FTSE 100 to 4.9% for 2019. Dividends paid out by the UK’s blue chip index are forecast to hit a new all-time high of £93.7 billion next year and as share prices have fallen this has pushed up the forecast dividend yield, providing a source of support for UK stocks...
13 December 2018
TUI“Theresa May’s victory at last night’s MP vote has given another lift to sterling, now trading at $1.267 as the market seems happier there will be consistency in the person leading the Brexit negotiations. “While there are still many unknowns regarding Brexit, not having to contend with a new Conservative leader and how they may pick up Brexit...
12 December 2018
Sainsbury’s and Superdry“News that Conservative MPs will vote later today on whether or not Theresa May should remain as their leader failed to knock markets off course. The pound nudged slightly higher to $1.2544 after May came out with fighting talk. “The UK-focused FTSE 250 index moved 0.1% higher to 17,677 and the more international-focused FTSE 100 index advanced 0.4...