31 August 2022
FTSE 100 steady despite selling in Asia and the US overnight, food prices soar, Dalata Hotels back in profit“The FTSE 100 clawed back some of Tuesday afternoon’s losses on Wednesday morning despite continued selling overnight in the US and Asia,” says AJ Bell Investment Director Russ Mould.
“As was the case earlier in the year, the FTSE 100’s collection of more attractively valued companies and healthy sprinkling of financials is helping at a time when...
30 August 2022
FTSE 100 up as pound sinks against the dollar, Joules insists Next deal remains on track“The FTSE 100 started on the front foot after the Bank Holiday, having careered into the long weekend with some substantial losses after Federal Reserve chair Jerome Powell’s hawkish speech at the Jackson Hole summit,” says AJ Bell Investment Director Russ Mould.
“It helps that US stocks have stabilised to some extent in the interim. Unsurprising...
26 August 2022
Markets poised for Powell at Jackson Hole, UK energy crisis deepens, Micro Focus catches $6 billion bid“The energy crisis continues to escalate in the UK as the latest price cap is announced but for the markets all the focus is on Jackson Hole where, this afternoon UK time, Federal Reserve chair Jerome Powell is set to outline his position on interest rates,” says AJ Bell investment director Russ Mould.
“Gains on Wall Street overnight have helped to...
25 August 2022
UK mortgage approvals and US jobs data UK mortgage approvalsJune’s mortgage approvals figure was 63,726 according to the Bank of England. That undershot economists’ forecasts, representing the seventh time in twelve that approvals had fallen month-on-month and the eleventh consecutive year-on-year decline.
Perhaps most tellingly, that figure also undershot the 12-month average that...
25 August 2022
Bunzl first-half results"After rising by around a sixth over the past year, Bunzl’s share price stands only a fraction below its all-time high, buoyed by June’s trading update, when chief executive Frank van Zanten raised the company’s guidance for 2022 for a second time. Bunzl now expects ‘very good’ revenue growth, compared to a prior forecast of ‘moderate’ growth, and...
25 August 2022
FTSE up after strong trading in US & Asia as Jackson Hole begins, energy producers in focus, CRH delivers double-digit price increases“The FTSE 100 took its cue from strong trading in the US and Asia to make gains on Thursday morning as investors await the crunch Jackson Hole summit in Wyoming,” says AJ Bell investment director Russ Mould.
“There’s a lot riding on US Federal Reserve chair Jerome Powell’s address tomorrow. Speculation is running so hot ahead of his remarks that it...
24 August 2022
Markets lose momentum, Whitbread plans major new hotel on the Strand and Allied Minds heads for the door“Markets seem to have lost their momentum following the rally since mid-June. Investors have become nervous once again, with all eyes on Federal Reserve chair Jerome Powell and what he says this coming Friday,” says Russ Mould, Investment Director at AJ Bell.
“Investors are worried that the US central bank will continue to raise interest rates at...
23 August 2022
FTSE lower as European gas prices surge, Wood Group revenue dips and BT in the clear over Drahi investment“The FTSE 100 was under pressure on Tuesday amid a gloomy global market outlook,” says AJ Bell Investment Director Russ Mould.
“The hopes earlier in the summer that inflation might have peaked, and the Federal Reserve might, in turn, ride to the market’s rescue, are looking increasingly forlorn.
“European natural gas prices saw a renewed surge...
22 August 2022
FTSE downbeat as Jackson Hole looms into view and Cineworld confirms possible bankruptcy filing“The FTSE 100 began Monday in downbeat mood ahead of what could prove to be a critical moment for markets at the end of this week,” says AJ Bell Investment Director Russ Mould.
“The Jackson Hole summit of central bankers and finance ministers is widely expected to see US Federal Reserve chair Jerome Powell take to the floor and puncture optimism...
19 August 2022
Weak consumer backdrop punishes pound, Just Eat gets cash injection from Brazil sale, and Joules goes from bad to worse with another profit warning“The FTSE 100 was broadly flat on Friday after a mixed set of retail sales, and with inflation driving the cost of servicing government debt higher,” says AJ Bell Financial Analyst Danni Hewson.
“The consumer backdrop feels increasingly gloomy and that’s bad news because consumer spending is such an important contributor to the UK economy.
“The...
18 August 2022
Inflation takes a record-breaking bite out of wagesAnother month, another chance for inflation to nibble away at the nation’s pay-packets. Whilst wages are rising, they’re no match for red hot prices and in real terms people’s regular pay fell by 3% in the three months between April and June.
Once again people working in the private sector fared far better than those employed by the public sector...
18 August 2022
FTSE dragged down as several stocks go ex-dividend, Made.com faces emergency fundraise, and AO shares jump“After yesterday’s UK inflation figure shock, it’s no wonder investors weren’t feeling too hungry for equities on Thursday. European markets didn’t want to get out of bed, with minimal movements across the main indices,” says Danni Hewson, Financial Analyst at AJ Bell.
“The FTSE 100 was dragged down by some big names trading without the rights to...
17 August 2022
FTSE flat on inflation reading, Persimmon suffers labour shortages and Boohoo buys stake in Revolution Beauty“The FTSE 100 was flat on Wednesday as UK inflation came in higher than expected,” says AJ Bell financial analyst Danni Hewson.
“Unlike the US, where there is evidence surging prices have started to peak, inflationary pressures look pretty entrenched in the UK with further increases in energy prices still to come.
“The inflation reading will only...
16 August 2022
BHP posts bumper profit, Ted Baker and Darktrace takeover news, Watches of Switzerland customers keep spending and FTSE higher despite signs of economic turmoil“The FTSE 100 enjoyed steady gains despite continuing signs of economic turmoil in the UK,” says AJ Bell Financial Analyst Danni Hewson.
“In a sign of the weaker backdrop, the number of job vacancies fell for the first time in two years, although it is not a clear picture, with serious issues filling roles in certain sectors.
“This makes life...
15 August 2022
FTSE higher, Rightmove flags fall in house prices, weak Chinese data hits miners and Joules hires new boss“Signs that some of the inflationary pressures in the economy may be easing continue to drive gains for stocks, with the FTSE 100 higher on Monday,” says AJ Bell Financial Analyst, Danni Hewson.
“While in global terms surging prices may be starting to ease, spiralling energy costs in the UK mean it could take longer to get over the peak of...
12 August 2022
Billions wiped off the value of GSK, Haleon & Sanofi, Flutter shares jump as customers keep betting and markets enjoy that Friday feeling“Many people consider healthcare companies to be saviours of the world, with their products helping to ease the pain of countless individuals. What’s often forgotten is when something goes wrong with one of their products, the fallout can be catastrophic,” says Danni Hewson, Financial Analyst at AJ Bell.
“Fears of a multi-billion-dollar lawsuit...
11 August 2022
UK stocks lag Europe & US, Disney subscriber numbers surpass Netflix, Entain expands again and Haleon continues to fall“The pleasant surprise on inflation figures across the pond gave US stocks a welcome lift and this positive sentiment extended to Europe on Thursday, except the UK,” says Danni Hewson, Financial Analyst at AJ Bell.
“The FTSE 100 was flat at the market open, with dollar weakness weighing on the large number of UK stocks which earn revenue in that...
10 August 2022
Tesla shareholders left in a spin, Deliveroo beats estimates, TUI remains resolute and Admiral sees profits drop“ Tesla shareholders may well be seething at Elon Musk’s latest share sale, no doubt arguing they didn’t sign up to such erratic behaviour. To be fair, they have every right to be furious,” says Danni Hewson, Financial Analyst at AJ Bell.
“Musk may argue it is better to have the readies at hand in case he needs to cough up for Twitter.
“If he...
9 August 2022
FTSE 100 flat as Abrdn and IWG see shares fall, while markets anticipate drop in US inflation figure“It was a muted session for European equities on Tuesday morning, with the FTSE 100 flat and the Dax slipping 0.4%,” says Danni Hewson, Financial Analyst at AJ Bell.
“Oil holding firm around $96 per barrel helped to lift shares in Shell and BP, while HSBC and AstraZeneca stock was also in demand. Alas, these gains were offset by a setback at asset...
8 August 2022
FTSE summer rally continues, Next eyes Joules stake, and BHP's offer for OZ Minerals marks return to big acquisitions“The summer is supposed to be a quiet time for markets as many people are sitting on the beach, rather than glued to a screen trading stocks and shares. So far, this summer is proving to be a decent session, and one that will provide a nice surprise when people get back to their desks after a bit of sun, sand and sea,” says Danni Hewson, AJ Bell...
5 August 2022
FTSE 100 lower, house price pressure looms, WPP down despite solid numbers, and Pets at Home enjoys resilient demand“After yesterday’s shocking assessment of the UK economy from the Bank of England, the FTSE 100 was down modestly this morning,” says AJ Bell Investment Director Russ Mould.
“Actually the resulting weakness in the pound is not a bad thing for the index as it flatters the relative value of its dominant overseas earnings.
“That is balanced out this...
4 August 2022
BP's bumper profits and a buyback bonanza for the FTSE 100The debate over the rights and wrongs of BP’s bumper profits will run and run but, from the narrow perspective of investment, the oil major’s latest share buyback means FTSE 100 members are on track to return record amounts of cash to their shareholders in 2022.
A forecast aggregate dividend pay-out of £85 billion almost matches 2018’s peak of £85...
4 August 2022
A strong Q2 for US earnings but what does the future hold?“The US economy may technically be in recession, after two straight quarterly drops in GDP, but corporate America seems to be coping well enough,” says AJ Bell Investment Director Russ Mould.
“According to research from S&P Global, 278 members of the S&P 500 index have already reported earnings. Of those, 209 have beaten earnings forecasts and...
4 August 2022
FTSE 100 dips ahead of rates decision, Next enjoys summer weather boost, and Rolls-Royce sputters“The FTSE 100 dipped ahead of a Bank of England meeting where it is expected to introduce a 50 basis point hike in rates,” says AJ Bell Investment Director Russ Mould.
“Attention is likely to be focused on the surrounding commentary and any signals it provides about inflation expectations and the trajectory of interest rates for the remainder of...
3 August 2022
HSBC ends reporting season for Big Five FTSE 100 banks in styleThe combination of rising interest rates - and therefore improving net interest margins – alongside cost control and low expectations means that HSBC’s second-quarter results are pleasing investors and adding a final polish on reporting season from the Big Five FTSE 100 banks.
Profits and cash returns have either met or beaten forecasts, and only...
