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Morning Report - 17 October 2022

Yesterday’s UK 100 Leaders Price (p) % Chg
OCADO GROUP PLC 456.8 4.8%
SEGRO PLC 739.4 3.8%
UNITE GROUP PLC 829.5 2.9%
RENTOKIL INITIAL PLC 500.2 2.7%
UNITED UTILITIES GROUP PLC 854.4 2.5%
Yesterday’s UK 100 Laggards Price (p) % Chg
HARBOUR ENERGY PLC 399.1 -5.0%
FRESNILLO PLC 702.2 -3.5%
BAE SYSTEMS PLC 790.8 -3.5%
RIO TINTO PLC 4751.5 -2.5%
PRUDENTIAL PLC 872.2 -2.3%
Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 6,859 0.1% -4.8%
DOW JONES INDUS. AVG 29,653 -1.3% -15.1%
DAX INDEX 12,438 -0.7% -19.6%
NIKKEI 225 27,091 3.3% -6.8%
S&P/ASX 200 INDEX 6,759 1.8% -8.2%
Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 85.71 -3.82%
Brent Crude (ICE) USD/bbl. 91.81 -2.92%
Gold Spot USD/t oz. 1,640 -1.6%
Copper (Comex) USd/lb. 341 -1.0%
The UK 100 is called to open -13 points this morning at 6860.

4 hours; 8 Months

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Markets Overview:

The UK 100 is called to open -13 points this morning at 6860. The UK bluechip index is set to open the new week on the back foot, with focus on UK political developments as Prime Minister Liz Truss faces calls to step down despite a dramatic effort to steady the ship on Friday. The Dow closed -1.3%, S&P -2.4% and Nasdaq -3.1%. In Asia on Monday, stock prices were mostly lower. The Nikkei closed -1.3%, Shanghai +0.1% and the Hang Seng -0.7%.

 

 

Company News & Broker Comments:

Company News:

Asos confirms they are in the financial stages of agreeing an amendment to their financial covenants (worth £350m) with lenders to give them greater financial flexibility, which is prudent in an uncertain environment.
GlaxoSmithKline says their meningitis vaccine Menveo has been approved by US FDA in single-vial presentation.
 
Hargreaves Lansdown raises their FY23 revenue margin guidance to 49-52bps from 44-47bps. They also state that their CEO Chris Hill will retire after serving as CEO for 6 years.
IQE signs a "multi-year strategic" deal with a global consumer electronics leader based in Asia.
Vodafone: Activist investor Cevian Capital has slashed its stake in Vodafone. Vodafone and Altice today announce thay are creating a joint venture to deploy fibre-to-the-home of up to £7m homes over a 6-year period.

Broker Comments:

Barclays Downgrades Royal Mail to Equal Weight from Overweight (6 Buys / 3 Holds / 3 Sells)
 
Morgan Stanley Downgrades Lloyds to Equal Weight from Overweight (10 Buys / 4 Holds / 1 Sell)
 
Morgan Stanley Upgrades Standard Chartered to Overweight from Equal Weight (10 Buys / 7 Holds / 1 Sell)

Reporting Today:

Rio Tinto

 

City of London Investment Trust

 

Reporting Tuesday:

Bellway

 

Quilter

 

In Focus Today:

Japanese Industrial Production

 

 

This Week's Ex-Dividends:

UK 100 companies going  ex-dividend on 20th October 2022:

 

Smiths Group

 

BAE Systems

 

UK 250 companies going  ex-dividend on 20th October 2022:

 

ITV

 

PZ Cussons

 

Marshalls

 

Coats Group

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