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Morning Report - 24 September 2020

Wednesday’s UK 100 Leaders Price (p) % Chg
GVC HOLDINGS PLC 887.4 4.1%
JD SPORTS FASHION PLC 792.2 3.8%
DS SMITH PLC 280.7 3.5%
FLUTTER ENTERTAINMENT PLC 12,020.0 3.5%
FERGUSON PLC 7,510.0 3.4%

 

Wednesday’s UK 100 Laggards Price (p) % Chg
FRESNILLO PLC 1204.5 -5.8%
BT GROUP PLC 101.7 -1.7%
ANTOFAGASTA PLC 1041.0 -1.5%
POLYMETAL INTERNATIONAL PLC 1674.0 -1.5%
INTL CONSOLIDATED AIRLINE-DI 100.6 -1.4%

 

Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 5,899 1.2% -19.1%
DOW JONES INDUS. AVG 26,763 -1.9% -0.7%
DAX INDEX 12,643 0.4% 2.7%
NIKKEI 225 23,346 -0.1% 5.7%
S&P/ASX 200 INDEX 5,924 2.4% -12.2%

 

Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 39.31 -1.55%
Brent Crude (ICE) USD/bbl. 41.77 0.12%
Gold Spot USD/t oz. 1,856 -0.4%
Copper (Comex) USd/lb. 295 -1.4%
UK 100 called to open -67 points this morning at 5840

2 hours; 4 Months

Click graph to enlarge

Markets Overview:

 

UK 100 called to open -67 points this morning at 5840. Shares in Asia were down across the board last night, as US markets slumped after a fairly positive start to the day. This was due to a series of warnings from US Federal Reserve officials underscoring the worry felt by investors over the strength of the economic recovery. One official commented that the US remains in a "deep hole" of joblessness and weak demand, and called for further stimulus. In the UK markets were positive for the day as PM Boris Johnson assured job protection, with Chancellor Rishi Sunak potentially looking at an alternative furlough scheme that would be for targeted sectors. Oil prices fell, weighed by concerns about the US recovery slowing and the increase in COVID-19 cases in Europe, leading to travel restrictions again. Brent dropped 0.89% to $41.40 per barrel whilst US Crude was 1.15% lower at $39.48 per barrel. Gold hit a 2-month lower on a stronger dollar but stayed around $1863.61 per ounce.

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Company News:

Cineworld posts HY loss before tax of $1,644.7m (2019: $139.7m) and revenues of $712.4m (2019: $2.151bn). There can be no certainty as to the future impact of COVID-19 on the group. 561 of 778 sites are now re-opened and if governments were to strengthen restrictions on social gathering, it would likely need to raise additional financing.
 
National Express reports that tight cost controls remain in place to drive positive EBITDA and cash flow. Their underlying liquidity position remains strong, broadly in line with HY position.
 
DFS Furniture reports that new year sales have started strongly.
 
Mitchells & Butlers reports that sales fell 35%, due to store closures and sharp slump in demand amid widespread COVID-19 restrictions.
Pets At Home expects FY pretax profit to be materially above market estimates due to easing lockdown restrictions.
SIG posted a H1 loss of £53.7m due to the coronavirus hit to construction activity but said that its 2020 revenue would be modestly higher than prior forecast.
 
Smiths Group sees FY 2020 headline operating profit fall 23% to £327m.
United Utilities see HY group revenue lower than last year with current trading in line with group's expectations.

Reporting Today:

 

United Utilities 

Hansard Global

Portmeirion Group

 

Reporting Friday:

 

Pennon Group

 

In Focus Today:

 

Eurozone Economi Bulletin

German Business Climate

US Initial Jobless Claims

US New Home Sales

 

Today's Ex Dividends:

 

UK 100:

 

Hargreaves Lansdown

Morrison (Wm.) Supermarkets

 

UK 250:

 

IG Group Holdings

Ferrexpo

Law Debenture Corporation

Fidelity European Values

Mercantile Investment Trust

HgCapital Trust

John Laing Group

Computacenter

 

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