Morning Report - Accendo Markets

Home / Morning Report / Morning Report

This report is not a personal recommendation and does not take into account your personal circumstances or appetite for risk.

Morning Report - 16 December 2021

Yesterday’s FTSE100 Leaders	Price (p)	% Chg
DCC PLC	5,958.0	8.2%
DARKTRACE PLC	401.6	6.8%
SAGE GROUP PLC/THE	818.8	1.8%
AVEVA GROUP PLC	3,275.0	1.3%
FERGUSON PLC	12,570.0	1.3%

Yesterday’s FTSE100 Laggards	Price (p)	% Chg
RENTOKIL INITIAL PLC	520.6	-4.9%
JD SPORTS FASHION PLC	205.6	-2.6%
INTL CONSOLIDATED AIRLINE-DI	129.4	-2.4%
KINGFISHER PLC	331.4	-2.2%
ANTOFAGASTA PLC	1352.0	-2.2%

Major World Indices	Price	% Chg	1 YEAR
UK 100 INDEX	7,171	-0.7%	9.1%
DOW JONES INDUS. AVG	35,927	1.1%	19.1%
DAX INDEX	15,476	0.2%	14.1%
NIKKEI 225	29,066	2.1%	8.6%
S&P/ASX 200 INDEX	7,296	-0.4%	9.2%

Commodities	Units	Price	% Chg
WTI Crude Oil (Nymex)	USD/bbl.	71.83	1.35%
Brent Crude (ICE)	USD/bbl.	74.79	1.23%
Gold Spot	USD/t oz.	1,785	0.4%
Copper (Comex)	USd/lb.	425	1.7%

The UK 100 is called to open +100 points today at 7270.

4 hours; 10 Months

Click graph to enlarge

Markets Overview:

The UK 100 is called to open +100 points today at 7270. A massive bounce is expected this morning for the UK 100 in spite of the wave of Omicron infections sweeping through the UK. Away from Omicron, interest rates are the focus today with the Bank of England announcing its latest decision. Last night the US Federal Reserve responded to rising US inflation by speeding up the end of its tapering or money injection programme and indicating interest rates will rise three times in 2022 and also in 2023. US markets rose strongly, The Dow Jones rose by 1%, the S&P by 1.6% and Nasdaq by more than 2.1%. Shares in Asia were mixed this morning with China’s Shanghai Composite gaining 0.55% while Hong Kong’s Hang Seng index fell 0.33%. The Nikkei in Japan surged 2.13% and South Korea’s Kospi rose 0.57%.

Company News & Broker Comments:

Company News:

Aviva ups their buyback programme to £1bn from £750m, which will be completed no later than March 2022.

Banks: Federal Reserve sees 3 interest rate hikes by the end of 2022 and 2 more in 2023 & 2024. The Bank of England interest rate decision is out today at 12pm.

BHP Group: Australia's competition regulator has approved Woodside Petroleum's agreed $28bn merger with BHP Group's petroleum arm, saying it would not reduce competition in the domestic gas market.

Boohoo warns Omicron could cause more uncertainty as they cut their adjusted EBITDA margin outlook to 6-7% from 9-9.5%.

Domino's Pizza Group raises medium-term guidance to upper end of £1.6-1.9bn system sales, as they expect to beat medium-term target of 200 new stores. They state that results for FY21 will be in line with expectations after they reach a resolution with their franchisees.

Hochschild is on a collision course with Peruvian communities near its key Inmaculada gold and silver mine, after residents have said that the national government had told them it is feasible to legally shut down the mine, even as the firm says it plans to continue operations.

Schroders are in advanced talks to buy a 75% stake in Greencoat Capital worth around £360m.

Broker Comments

Deutsche Bank Downgrades Abrdn to Hold from Buy (6 Buys / 5 Holds / 1 Sell)

Reporting Today:

Serco Group

Reporting Tomorrow:

None

In Focus Today:

European Council Meeting

BoE Interest Rate Decision

ECB Interest Rate Decision

ECB Press Conference

UK Markit Manufacturing PMI

EU Labor Cost

US Initial Jobless Claims

Today's Ex-Dividends:

FTSE 100:

Associated British Foods

Burberry Group

United Utilities Group

FTSE 250:

Sirius Real Estate

MITIE Group

Cranswick

Britvic

discoverIE Group

TR Property Investment Trust

Tritax EuroBox GBP

For any help you may require placing trades or in terms of market information, put a call in to our trading floor – it’s all part of the service.

This research is produced by Accendo Markets Limited. Research produced and disseminated by Accendo Markets is classified as non-independent research, and is therefore a marketing communication. This investment research has not been prepared in accordance with legal requirements designed to promote its independence and it is not subject to the prohibition on dealing ahead of the dissemination of investment research. This research does not constitute a personal recommendation or offer to enter into a transaction or an investment, and is produced and distributed for information purposes only.

Accendo Markets considers opinions and information contained within the research to be valid when published, and gives no warranty as to the investments referred to in this material. The income from the investments referred to may go down as well as up, and investors may realise losses on investments. The past performance of a particular investment is not necessarily a guide to its future performance.

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.