27 October 2021
FTSE struggles for direction ahead of the Budget, Bloomsbury prints record results“As often transpires, the contents of Rishi Sunak’s battered red briefcase were left looking like Westminster’s worst kept secret as today’s Budget enjoyed more trailers than the latest Marvel film ahead of its announcement,” says AJ Bell Investment Director Russ Mould.
“Certainly the FTSE 100 was in sleepy mood ahead of the Budget announcement...
26 October 2021
FTSE 100 Reckitt lifts sales forecasts, Whitbread recovery gathers pace but warns on staffing“The FTSE 100 made a strong start on Tuesday, lifted by some strong corporate updates and as investors reacted to the fresh records set on Wall Street overnight,” says AJ Bell Investment Director Russ Mould.
“The sharp falls seen in September when the index fell below the 7,000 mark are starting to recede into the distance. However, investors will...
25 October 2021
FTSE starts busy week on front foot, HSBC beats forecasts“The FTSE 100 started a new week in robust fashion on Monday despite a lukewarm reaction to better-than-expected results from index heavyweight HSBC,” says AJ Bell Investment Director Russ Mould.
“The mining sector is doing the heavy lifting, as it did at the end of last week. The coming days look busy as more of the UK’s big companies report on...
22 October 2021
FTSE higher after weak retail sales, InterContinental Hotels gets staycation boost“The FTSE 100 started in decent fashion on Friday after a week in which the markets have turned downwards, albeit modestly,” says AJ Bell Financial Analyst Danni Hewson.
“The rise in the index reflects its global horizons with the latest news on the UK economy hardly doing much to inspire confidence.
“An unexpected fall in retail sales, which came...
21 October 2021
FTSE lower as Evergrande deal collapses, Unilever's inflation warning, Barclays gets investment banking boost“The FTSE 100 slipped in early trading on Thursday as China’s Evergrande crisis reared its ugly head again,” says AJ Bell Financial Analyst Danni Hewson.
“The heavily indebted property developer failed to complete a key asset sale to leave it teetering amid fears of wider contagion from a potential collapse of the business.
“This hit stocks with...
20 October 2021
Are we getting an interest rate rise for Christmas?The market is now expecting an interest rate hike by Christmas, largely thanks to the inflationary pressures which will inevitably follow the energy crisis, and some markedly hawkish rhetoric from the governor of the Bank of England. According to interest rate markets, there is now an 85% chance of a rate rise this year, and a 60% chance of a hike...
20 October 2021
FTSE 100 dips after inflation fall, Netflix subscriptions pick up, Antofagasta production hit by Chilean drought“The FTSE 100 started a bit lower on Wednesday after UK inflation moderated to come in just short of expectations," says AJ Bell Financial Analyst Danni Hewson.
“However, these figures are already firmly in the rear-view mirror and probably bear little comparison to current realities given the surge in energy prices and mounting supply chain...
19 October 2021
Markets marking time, Bellway going for growth, Moneysupermarket quids in after acquisition“The FTSE 100 was marking time on Tuesday morning as investors awaited the latest round of big corporate updates from the US,” says AJ Bell Financial Analyst Danni Hewson.
“Some big names across the Atlantic including Netflix, Johnson & Johnson and Proctor & Gamble are reporting later.
“After a period of recovery for the markets last week it...
18 October 2021
FTSE 100 dips on weak Chinese growth, Playtech hits jackpot after attracting premium-priced bid“The FTSE 100 dipped on Monday, losing some of its recent momentum as China’s GDP figures for the third quarter disappointed,” says AJ Bell Investment Director Russ Mould.
“The problems facing the Chinese economy are familiar ones of supply chain issues and power shortages.
“Bitcoin has resumed its gravity defying exploits on hopes the launch of...
15 October 2021
FTSE hits new 2021 high“Anyone who gets excited by charts should note that the FTSE 100 has seen a breakout and is now trading at a higher level than any of its closing prices year-to-date,” says Russ Mould, Investment Director at AJ Bell.
“At 7,240, the index is up 10.2% so far this year which is good in relative terms to what equities have produced historically. Let’s...
14 October 2021
FTSE given a boost by commodities, and Domino’s Pizza could find life a bit harder soon“A 0.7% rise in the FTSE 100 to 7,188 should certainly bring a smile to investors, with similar gains seen across most of the key markets in Europe. Even parts of Asia had a spring in their step, with the Nikkei up 1.5%,” says Russ Mould, Investment Director at AJ Bell.
“Brent Crude pushed ahead 0.8% to $83.85 per barrel, natural gas showed no...
13 October 2021
THG shares remain in freefall and equity markets settle down after yesterday’s wobble THG“Capital market days are meant to be informative events, helping analysts and investors better understand a business. In THG’s situation it was eye-opening for the wrong reasons. It seems that attendees didn’t get the level of information they wanted, and messages were quickly fed back to HQ to dump the stock,” says Russ Mould, Investment...
12 October 2021
Energy crisis and China crackdown haunt markets again, and EasyJet declares aviation recovery is on“A sea of red flashing prices across Asian and European markets followed an equally depressing showing on Wall Street last night,” says Russ Mould, Investment Director at AJ Bell.
“The energy crisis is showing no signs of abating, which means considerable cost pressures on companies, and consumers facing the prospect of having less money in their...
11 October 2021
FTSE 100 dividends in touching distance of pre-pandemic peakThe FTSE 100 is currently expected to yield 4.1% in 2021, helped by the first year of dividend growth since 2018. The index’s total dividend pay-out is expected to reach £84.1 billion in 2021, compared to £61.8 billion in 2020, an increase of 36%.
Total payments peaked at £85.2 billion in 2018 and 2022 is expected to get tantalisingly close to that...
11 October 2021
Sustainable investment trends - performance, flows and greenwashingThere’s no doubting the strength of the sustainable investment tide, as last year responsible funds accounted for around a third of overall industry sales. This year looks set to be even bigger, and on current trends will eclipse 2020 to post a new record for ethical fund sales. These funds still only make up around 5% of total assets, so there’s...
11 October 2021
ASOS setback leads to CEO departure, and Asian markets press ahead with tech stocks back in favour ASOS“The market had a sense that life has been a bit of struggle for ASOS, given the gloomy update from rival Boohoo in recent days which seemed to confirm that the fast fashion industry was not enjoying the best of times,” says Russ Mould, Investment Director at AJ Bell.
“The scale of the problems at ASOS appear to have been underestimated but...
8 October 2021
Hollywood Bowl beats forecasts and Royal Mail expands in Canada with acquisition“On Friday the FTSE 100 consolidated its gains from yesterday but investors appeared to be marking time ahead of the key US jobs report later,” says AJ Bell investment director Russ Mould.
“A really weak number might just put the US Federal Reserve off tapering its support for the economy as expected in November.
“However, its scope to do so is...
7 October 2021
James Halstead extends dividend growth streak to 44 years“The pandemic couldn’t knock flooring specialist James Halstead off its stride and now investors will be waiting to see how the Bury-based company tackles raw material shortages and rising input costs but the latest dividend increase suggests management has every confidence it will come out on top,” says AJ Bell investment director Russ Mould.
“Af...
6 October 2021
Tesco’s sales and profits are ahead of expectation, and TUI lines up €1.1 billion rights issue“A continuing surge in energy prices means the sceptre of inflation is looming large over the markets again with the FTSE 100 down more than 1% in early trading,” says AJ Bell investment director Russ Mould.
“Oil prices are camped above $80 per barrel after producers’ cartel OPEC failed to increase output and natural gas continues to touch record...
5 October 2021
Greggs outlines growth ambitions and Hotel Chocolat beats expectations“OPEC’s decision not to lift production volumes gave oil prices a lift into Tuesday, helping the FTSE 100 to solid gains as index heavyweights BP and Shell gushed higher,” says AJ Bell investment director Russ Mould.
“This followed a tech-led sell-off in the US overnight as investors turned away from the likes of Apple, Amazon and, perhaps most...
4 October 2021
Future results at top end of expectations but finance boss to leave“There may still be 27 days to go until Halloween, but the fear factors are out in force and investors are not in the mood to be spooked,” says Russ Mould, investment director at AJ Bell.
“Inflation, the energy crisis, supply chain issues, economic growth stuttering, concern that interest rates could go up sooner rather than later and China’s...
1 October 2021
S&U shows the benefits of keeping it simple as profits and dividend rise“Lower loan impairments as the pandemic’s impact starts to ease, prudent lending policies and a new online portal all mean that specialist finance provider S&U is making the most of an upturn in demand for both cars and property refurbishments in the UK,” says AJ Bell investment director, Russ Mould.
“Profits are up, the dividend is growing again...
1 October 2021
FTSE makes sorry start to October, Wetherspoons posts record loss and AO knocked for six by sales disappointment“At times it has felt like UK stocks have been performing a high wire act this week as they continued to make progress despite myriad worries facing investors,” says AJ Bell Investment Director Russ Mould.
“On Friday they fell off the wire as the FTSE 100 started October down more than 1%. This followed a weak session on Wall Street overnight and...
30 September 2021
FTSE defies market woes, Boohoo slumps as sales growth below expectations, and Diageo is riding high“There is a decent showing across European equities including a 0.6% gain in the FTSE 100 to 7,148,” says Russ Mould, Investment Director at AJ Bell.
“That’s quite surprising given how a cocktail of issues have been clouding the market in recent sessions, namely rising bond yields making tech stocks less attractive, ongoing supply chain issues...
29 September 2021
FTSE shrugs off sell-off in US and Asia, Next raises guidance despite challenges and SSP’s earnings recovery is still a long way off“If investing is often about climbing a wall of worry, then market participants arguably face the equivalent of the Matterhorn right now but on Wednesday investors seemed to be undaunted,” says Russ Mould, Investment Director at AJ Bell.
“Despite a big sell-off in Asia and the US overnight, with tech stocks leading the way down, the FTSE 100 was...
28 September 2021
Oil hits $80 a barrel and Moonpig lifts sales guidance“Brent Crude smashed through the $80 per barrel level as the energy crisis worsened. While energy shortages are likely to have a negative impact on economic growth, strength in the oil price was good news for Royal Dutch Shell and BP,” says Russ Mould, Investment Director at AJ Bell.
“Shell and BP are among the biggest constituents of the FTSE 100...
27 September 2021
FTSE up as oil prices approach 3-year high“There were plenty of factors to trouble investors as the new trading week kicked off, yet there certainly isn’t panic in the air,” says Russ Mould, Investment Director at AJ Bell.
“Evergrande’s problems have not gone away, inflation remains problematic for many companies and is hurting profit margins, and Germany’s elections failed to produce a...
24 September 2021
Markets end the week on a sour note, Nike and In The Style hit by disruption, and Tortilla plots IPO as it looks to win wrap battle“Markets flashed red across Europe and Asia on Friday as uncertainties remained over the future of troubled Chinese property developer Evergrande, with no news on whether it had made its latest bond interest payment,” says Russ Mould, Investment Director at AJ Bell.
“Persistent and rising inflation would suggest that central banks have to act soon...
23 September 2021
What does the bear market in mining stocks mean for the FTSE 100?“Oil, gas and energy prices are grabbing all of the headlines as they rise but investors will be fretting over industrial metal prices, albeit for the opposite reason, because they are falling. The FTSE All-Share’s Industrial Metals and Mining sector is down by more than a fifth from its May high – and that is technically bear market territory,”...
23 September 2021
FTSE consolidates gains as Fed hedges its bets, Royal Mail upbeat despite cost pressures, and pubs look to prepare for a difficult winter“The FTSE 100 consolidated its recent gains on Thursday after a meeting of the US Federal Reserve overnight which ultimately revealed few surprises,” says AJ Bell Investment Director Russ Mould.
“There was nothing to really upset the apple cart. Tapering is still ‘coming soon’. As a teaser this is about as welcome for markets as a trailer...
22 September 2021
Markets pick up, Netflix strikes major deal, PZ Cussons finds life harder going, and Saga travel bookings beat pre-Covid levels“A lot can change in a week on the markets,” says Russ Mould, Investment Director at AJ Bell.
“Having seen some very bad days for equities in recent sessions, Europe and parts of Asia were more upbeat on Wednesday. The FTSE 100 was up 0.9% to 7,042 and China’s SSE index jumped back to life after markets were closed for a few days’ holiday. The SSE...
21 September 2021
Markets rebound from Evergrande sell-off, National Express in talks to buy Stagecoach, and Kingfisher’s tough act to follow“Bargain hunters appeared to be out in force on Tuesday as the FTSE 100 bounced back from a torrid start to the week,” says AJ Bell Investment Director Russ Mould.
“The miners, scarred by heavy selling on Monday, eked out a recovery while British Airways owner International Consolidated Airlines continued the ascent which begin yesterday afternoon...
20 September 2021
Evergrande and gas crises sees FTSE sink to lowest levels since July, Prudential announces big Hong Kong fundraise and SSE responds to break-up talk“The FTSE 100 starts a new week in a similar fashion to the way if finished the previous one as the index drops firmly below 7,000 to its lowest level since July, dragged down by the mining sector,” says AJ Bell Investment Director Russ Mould.
“There’s plenty for the market to fret about and those arguing the markets were looking frothy are seeing...
17 September 2021
FTSE makes decent start as travel stocks fly but retail sales under pressure and Chinese concerns linger“Steadying Asian markets and a potential easing of UK travel restrictions provided the backdrop for some decent gains for the FTSE 100 on Friday,” says AJ Bell Investment Director Russ Mould.
“Navigating the UK’s traffic light system has felt more like Spaghetti Junction than a clear open road for holidaymakers and reports that the amber list...
16 September 2021
FTSE 100 makes progress but miners fall on China fears, THG set for a corporate break up and Wickes beats expectations“The FTSE 100 started on the front foot on Thursday as investors faced competing catalysts from East and West,” says AJ Bell Investment Director Russ Mould.
“Some decent corporate news and an upbeat report from the US manufacturing sector outweighed continuing worries about China which dragged down mining stocks and other firms with links to the...
15 September 2021
Muted market response to iPhone 13 is the rule, not the exceptionApple’s shares didn’t do much at all in response to boss Tim Cook’s launch of iPhone 13 and updated versions of its Watch and iPad, but this seems to be a normal trading pattern for product releases from the tech giant and as much the result of the old formula of ‘buy on the rumour and sell on the fact’ as anything else.
In the six months before...
15 September 2021
FTSE flat despite surging UK inflation, Darktrace stars in maiden results and Restaurant Group not ready to party yet“Surging UK inflation figures and more volatility in Asian shares didn’t upset the apple cart too much on Wednesday morning as the FTSE 100 started more or less flat,” says AJ Bell Investment Director Russ Mould.
“Weakness among airlines and Burberry, whose fortunes are closely tied to China, reflected a shift in investors’ concerns from the risks...
14 September 2021
JD Sports continues to thrive and Ocado counts cost of robot collision“If mining stocks are bellwether for the global economy, then investors need to sit up and take notice that the sector has been one of the worst performers in the past month,” says AJ Bell investment director Russ Mould.
“Metals and minerals producers were principally to blame for the FTSE 100 falling 0.3% to 7,046, in part caused by concerns...
13 September 2021
Associated British Foods contends with volatile Primark trading, and FirstGroup on track but under pressure“The FTSE 100 started the week with solid gains despite fresh turmoil in Asia as the Chinese crackdown on the tech sector showed little sign of ending,” says AJ Bell investment director Russ Mould.
“News that Beijing is looking to break up Ant Group’s Alipay hit the wider Hang Seng index which was down more than 2% but UK investors seem to have...
10 September 2021
GDP miss fails to derail UK stock market“A big miss on UK GDP expectations didn’t do any harm to the pound, with the currency rising 0.2% against the US dollar to $1.3862. In turn, the main indices on the UK shrugged off the news,” says Russ Mould, investment director at AJ Bell.
“The FTSE 250, which is more focused on UK domestic businesses, nudged 0.1% ahead to 23,830 while the more...
9 September 2021
FTSE down again, EasyJet rejects takeover approach and 888 wins the jackpot“The FTSE 100 experienced its third day in a row of sharp falls as concerns about global growth come to the fore. The blue-chip index was down 1% at 7,020 with energy, financials and miners among the worst performing sectors – and all three driven by economic activity, which shows you how investors are thinking,” says Russ Mould, investment...
8 September 2021
IQE could yet earn a good slice from its wafers, even after testing first half“As investors keep reading about shortages of silicon chips, strong demand for electronic gadgets and the wonders of fifth-generation (5G) mobile technology, they could be forgiven for being a bit disappointed with a first-half results statement from IQE which reveals an operating loss on a stated basis and offers no upgrades to management’s sales...
8 September 2021
European markets retreat, while Dunelm and Halfords deal with supply chain pressures“Economic growth fears have cast a black cloud over global markets, leading to some hefty share price declines across Europe on Wednesday. The FTSE 100 fell 0.8% to 7,090 while the major markets in mainland Europe suffered declines greater than 1%,” says Russ Mould, Investment Director at AJ Bell.
“Only five stocks on the FTSE 100 were in positive...
7 September 2021
FTSE bucks positive trend for global stocks to make downbeat start, Vistry hikes expectations and Parsley Box losses mount“The FTSE 100 was the odd one out and not in a good way on Tuesday as it made a lacklustre start despite strong trading in Asia, a decent start in Europe and US futures implying gains as trading resumes after the Labor Day holiday,” says AJ Bell Investment Director Russ Mould.
“Not helping sentiment was some data overnight from the British Retail...
6 September 2021
FTSE 100 gains as investors digest US jobs figures and aluminium hits 10-year high“The shockwaves are still reverberating from the sickly US jobs numbers on Friday, but the markets appear taking the positives from the news on Monday,” says AJ Bell Investment Director Russ Mould.
“The US Federal Reserve has consistently reiterated that its decision making will be heavily led by the unemployment situation and therefore a...
3 September 2021
Tax and cost worries weigh on Barratt sharesPerhaps it is down to concerns over the expiry of the stamp duty tax break in October, or worries over an increasing reliance on Help-to-Buy, or the potential impact of the proposed April 2022 launch of the Residential Property Developer Tax, but investors do not seem unduly moved by Barratt Developments’ strong full-year results.
Perhaps it is...
3 September 2021
Nikkei jumps as PM bows out, markets await US jobs numbers and Berkeley manages to offset higher costs for now“Ahead of the all-important US jobs numbers, the big story of the day has been the Nikkei’s 2% surge after Prime Minister Yoshihide Suga confirmed he would not run for re-election,” says Russ Mould, Investment Director at AJ Bell.
“He has been an unpopular leader and the country has struggled with the Covid vaccine rollout, leading to low levels...
2 September 2021
Gold bugs still swear by precious metal, 50 years after the end of Bretton Woods“Gerald Scarfe’s famous ‘Expletive deleted’ cartoon made his views on Richard M. Nixon very clear and for all of the revisionist analysis of the foreign policy implemented by America’s thirty-seventh President, holders of the US dollar could still have a few choice words to say about him, too. The American currency has been on a one-way trip lower...
2 September 2021
Markets pause for breath, JD Sports still nursing Footasylum headache, and Barratt numbers suggest cracks in property market“Markets appear to have stopped in their tracks, with very little movement across Europe and Asia. Investors may well be waiting for the latest US jobs data before deciding on their next trades,” says Russ Mould, Investment Director at AJ Bell.
“Strong job numbers could strengthen the argument for the Federal Reserve to start tapering its bond...
1 September 2021
European markets in good mood, WH Smith issues mild profit warning and 888 faces growth challenge“Summer holidays are over; children are returning to school and we’re now only weeks away from the start of autumn. This shift in mindset also applies to investors as they sharpen their focus on market opportunities in the final section of the year,” says Russ Mould, Investment Director at AJ Bell.
“With the start of a new month comes a pick-up in...