31 May 2024
What next week’s US jobs figures mean for interest rate cuts“The US Federal Reserve has, thus far, foxed consensus estimates with regard to interest rate cuts in 2024. The US central bank may have reduced the run rate of its Quantitative Tightening programme to $40 billion a month from $95 billion, but it has yet to reduce the Federal Funds rate from the 5.5% level reached in July 2023. As a result, markets...
30 May 2024
FTSE needs a strong Friday to avoid three bad weeks in a row, Salesforce shares crash and Auto Trader revs up“There were divergent fortunes either side of the Atlantic. The US stock market was in the red after economic data came in weaker than expected,” says Dan Coatsworth, Investment Analyst at AJ Bell.
“In the UK, the FTSE 100 perked up as the day went on and closed 0.6% ahead. While promising, the UK market is still on track to record a 1% weekly...
30 May 2024
Markets stabilise after sell-off, Dr Martens rebounds on cost saving plan, Auto Trader motors ahead on results and Nightcap walks away from Revolution Bars takeover“European markets dug their heels in and tried to stop the declines that dominated yesterday’s headlines. The FTSE 100 was firm, the IBEX 35 nudged ahead 0.7% and the Dax dipped 0.2%. Stability is welcome, but pre-market indicative prices point to another bad day on Wall Street so the jury is still out whether today is going to end up being another...
29 May 2024
M&A fever continues as ConocoPhillips feasts on Marathon and Wood Group receives fourth bid“Global equities shuddered at the prospect of interest rates staying higher for longer. Despite plenty of earlier signals that central banks were in no rush to cut rates until inflation had fallen further, investors are only now coming to terms with the idea that monetary policy will stay tight for just a bit longer,” says Dan Coatsworth...
29 May 2024
FTSE 100 dips despite gains for big oil, BHP requests extension, Pets at Home eyes ‘pivotal year’ and Bloomsbury in US move“The FTSE 100 started on the back foot on Wednesday after the mood darkened through the course of the day yesterday,” says AJ Bell investment analyst Dan Coatsworth.
“Mixed trading in the US followed a positive reading of US consumer sentiment which, in turn, pushed back on expectations for rate cuts.
“The weakness for the UK’s flagship equity...
29 May 2024
Russ Mould: How interest rate expectations have lifted the FTSE 100Reasons why the price and yield on UK government bonds tell us a lot about the market.
28 May 2024
Boohoo backtracks on bonus plan, AstraZeneca hit by trial setback and Persimmon down on talk of Cala acquisition Nvidia“Investors have had time to think about their portfolios over the long weekend and Nvidia’s strong results last week have clearly given individuals enough confidence to want to own more shares,” says Dan Coatsworth, investment analyst at AJ Bell.
“The stock has been bid up to a new record high potentially because the latest messages from the...
28 May 2024
FTSE 100 ticks higher after down week, Boohoo faces pay revolt and Revolution Bars rejects Nightcap approach“After losing some of its momentum last week, the FTSE 100 seems to have come back from the bank holiday mildly refreshed as it nudged into positive territory,” says Dan Coatsworth, investment analyst at AJ Bell.
“Some strength in the aviation, mining, energy and insurance sectors helped give the index a lift after a resilient trading session for...
24 May 2024
FTSE on track for 1.7% weekly loss as worry points pile up, relief for GSK’s Zantac legal battle“It’s not been the best of weeks for the FTSE 100, with the UK blue-chip index on track to end the five-day session down 1.7%. Inflation, interest rates, politics, declining commodity prices, rights issues, the list goes on and it is fair to say the market has had quite a bit to worry about,” says Russ Mould, Investment Director at AJ Bell.
“Risk...
23 May 2024
Investors ponder key questions for business as parties kick off election campaigns and Wizz Air soars on latest update“It’s been some twenty-four hours and UK investors might be forgiven for feeling both shaken and stirred,” says Danni Hewson, Head of Financial Analysis at AJ Bell.
“Whilst US markets have basked in the megawatt fallout from Nvidia’s barnstorming performance, which has seen the chipmakers’ shares hit fresh highs, London markets are still dealing...
23 May 2024
Markets calm on election news, National Grid fundraising spooks utility sector, Rolls-Royce fails to excite, Bloomsbury down on author setback and vet probe fails to knock CVS“While politics has moved to the top of the agenda as the UK general election campaigning machine prepares to get underway, the only shock for investors is the date of the big vote. It’s sooner than expected but until we get full election manifestos from the Conservatives and Labour, markets have stayed calm,” says Russ Mould, Investment Director...
23 May 2024
Russ Mould: The FTSE 100 company many investors have never heard ofThe finance provider is one of the few blue-chip stocks to have grown its dividend more than 10 years in a row.
22 May 2024
Markets wobble as investors and Rishi Sunak are faced with a sea of red“Investors and Rishi Sunak were treated with a sea of red that’s sweeping the country in more ways than one. The prime minister’s announcement of a summer general election has done little to alleviate market disappointment at this morning’s inflation figure coming in hotter than expected,” says Dan Coatsworth, investment analyst at AJ Bell.
“Sunak...
22 May 2024
Markets hit by inflation disappointment, Marks & Spencer crowned king of retail, RS Group slumps and Mitchells & Butlers’ revival intact“A slower than expected drop in the rate of UK inflation has spooked the market, pushing back the likely point at which the Bank of England will cut interest rates. Naturally, that led to a sudden jump in sterling and gilt yields and pulled down the FTSE 100,” says Russ Mould, Investment Director at AJ Bell.
“Add that situation to investor gloom...
22 May 2024
Silver shines as precious metal hits highest mark since 2013“Gold may stand at a new all-time high, but silver is moving sharply higher, and it now trades above $30 an ounce for the first time since 2013,” says AJ Bell investment director Russ Mould.
“This could yet fire the imagination of stock market investors, too, at least if they are inclined to be contrarian, as shares in FTSE 100 silver miner...
21 May 2024
Disney in focus amid reports of Pixar job cuts, while markets get off to lacklustre start to new trading week“It’s a lacklustre start to the week for equities as the major indices tread water on both sides of the Atlantic,” says Dan Coatsworth, Investment Analyst at AJ Bell.
“Consumers and businesses are buckling under the weight of higher interest rates and investors are growing increasingly frustrated about when central banks will start chopping.
“Mark...
21 May 2024
AstraZeneca aims for the stars, retail companies tread water including Kingfisher and Shoe Zone, Greencore feasts on corporate turnaround“Investors want the Federal Reserve to say inflation is comfortably on track to hit its 2% target and that interest rates will undergo a series of cuts. However, the central bank is loathed to make such a commitment and so we’ve got underlying uncertainty in the market even though data points are supportive to this line of thinking,” says Russ...
20 May 2024
Investors remain optimistic despite geopolitical uncertainty, British Land disposes of stake in Sheffield shopping centre, Ryanair hints at ticket price cuts and Kainos surges after bright update“Investors have plenty to keep them occupied, with geopolitical uncertainty butting up against China growth hopes and a few domestic nerves ahead of Wednesday’s inflation figures,” says AJ Bell Head of Financial Analysis Danni Hewson.
“Optimism still seems to be the primary driving force with mining stocks up significantly after copper prices hit...
17 May 2024
Markets wobble, Reddit soars on AI tie-up and Chinese retail data disappoints“After notching up new record intraday highs yesterday, US markets ran out of steam towards the end of the session and left Wall Street limping towards the finish line,” says Russ Mould, Investment Director at AJ Bell.
“A sea of red at the market close left US markets below where they started and that negativity set the tone for European markets...
16 May 2024
The FTSE 100 might be at a record high, but these three UK stock indices aren’tIt’s been a tremendous month for the UK stock market, with the UK index forging ahead of international peers, including the mighty S&P 500. This is an encouraging performance for long suffering investors in the UK’s flagging benchmark index, but we shouldn’t get too carried away with ourselves. The rise in the Footsie has been part of a global risk...
16 May 2024
Walmart shares soar with business now worth more than $500 billion and Chevron to sell North Sea assets“The Guinness Book of World Records will need updating given the performance of stock markets this year. UK and US equities have been racking up new highs on multiple occasions and today is it is the turn of the S&P 500, Nasdaq and Dow Jones to ascend to new record levels,” says Dan Coatsworth, investment analyst at AJ Bell.
“Investors have been...
16 May 2024
BT soars, Roche excites on weight-loss breakthrough and EasyJet boss to leave“After a sparkling session on Wall Street last night amid hopes that the latest inflation data raises the chances of a US interest rate cut, European markets didn’t share the joy. The FTSE 100, Dax, CAC 40 and IBEX 35 were all down in early trading amid mixed corporate news,” says Russ Mould, Investment Director at AJ Bell.
“The FTSE 100 was...
15 May 2024
Vodafone looks to set new tone with full-year results“ Vodafone’s use of its own, preferred profit metrics and a new group structure pending two major disposals (and a possible merger) mean that understanding the business and the full-year results is trickier than ever, but the absence of any new profit warnings means no news is good news, especially as the plan to halve the dividend in the year to...
15 May 2024
Russ Mould: what to expect from utility companies on the stock marketKey reasons why the sector has lagged the FTSE 100’s rally and what might come next.
15 May 2024
FTSE 100 hits new record with investors in optimistic mood, Burberry shares return to Covid lows, Imperial Brands demonstrates pricing power, Experian impresses and Raspberry Pi to boost UK market’s tech exposure“The market’s optimism is starting to look rather heroic. Despite higher than anticipated factory gate prices, US stocks made progress overnight and the FTSE 100 has followed this cue to reach a new record high,” says AJ Bell Investment Director Russ Mould.
“The next test of the prevailing positive sentiment comes tonight with US consumer prices...