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Morning Report - 5 January 2023

Yesterday’s UK 100 Leaders Price (p) % Chg
Fresnillo PLC 978.7 8.6%
Ocado Group PLC 692.0 6.7%
Burberry Group PLC 2,168.0 4.9%
Bt Group PLC 120.1 4.6%
Prudential PLC 1,230.0 4.5%

 

Yesterday’s UK 100 Laggards Price (p) % Chg
Glencore PLC 510.3 -6.3%
Centrica PLC 88.4 -3.8%
BP PLC 465.6 -3.7%
Shell PLC 2,282.5 -3.6%
Anglo American PLC 3,185.0 -2.5%
Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 7,572 0.2% 1.2%
DOW JONES INDUS. AVG 33,176 0.1% -9.9%
DAX INDEX 14,457 1.9% -11.1%
NIKKEI 225 25,717 -1.5% -12.3%
S&P/ASX 200 INDEX 7,059 1.6% -6.7%
Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 73.25 -4.78%
Brent Crude (ICE) USD/bbl. 78.34 -4.58%
Gold Spot USD/t oz. 1,858 1.0%
Copper (Comex) USd/lb. 373 -0.9%
The UK 100 called to open -17 points at 7568. 

4 hours; 8 Months

Click graph to enlarge

Markets Overview:

The UK 100 called to open -17 points at 7568.  The UK 100 is expected to open lower after two days of gains following the release of the FOMC minutes which showed Fed officials remain steadfast in their commitment to tackling inflation.  US markets in the main shrugged off the minutes but closed off earlier highs with the Dow Jones up 133 points, or 0.4%, to 33,270, the S&P up 29 points, or 0.75%, to 3,853 and the Nasdaq up 72 points, or 0.69%, to 10,459.

 

Company News & Broker Comments:

Company News:

AstraZeneca says US regulatory submission accepted for Nirsevimab for RSV in infants.

 

 

B&M European Value Retail says their FY23 adjusted EBITDA estimate was higher than the £557m analysts’ forecasts.

 

 

Cineworld has shut 23 theatre sites since filling for bankruptcy protection last year and plans more closures.

 

 

Greggs reported an 18.2% rise in like-for-like sales in its final quarter, helping take its total sales for 2022 to a better-than-expected £1.51bn. They have continued to see material cost inflation but they are confident that they will make good progress in 2023.

 

 

Next have forecast lower profit for its 2023-24 year, reflecting uncertainty over the consumer outlook and cost inflation. They reported a 2023 pretax profit of £860m (forecast £840m) after full price sales rose better than expected 4.8% in nine weeks to Dec 30th. They have forecast a dip to £795m for the following year.

 

 

Ryanair have hiked their forecast for after-tax profit by up to 325m euros, citing recent pent-up travel demand.

 

 

Broker Comments:

 

Exane BNP Downgrades Prudential to Underperform from Neutral (11 Buys / 1 Hold / 1 Sell)

 

 

Jefferies Upgrades HSBC to Buy from Hold (8 Buys / 10 Holds / 0 Sells)

Reporting Today:

B&M European Value Retail SA

 

Greggs Plc

 

Next plc

Reporting Friday:

None

 

In Focus Today:

Chinese Caixin Services PMI

 

German Trade Balance s.a.

 

UK S&P Global/CIPS Composite PMI

 

US ADP Employment Change

 

US Goods and Services Trade Balance

 

US Initial Jobless Claims

 

US S&P Global Composite PMI

 

Today's Ex-Dividends:

UK 100 companies going  ex-dividend on 5th January 2023:

 

 

Auto Trader Group

 

Experian

 

F&C Investment Trust

UK 250 companies going  ex-dividend on 29th December 2022:

 

 

Qinetiq Group

 

WH Smith

 

Workspace Group

 

Big Yellow Group

 

Dr. Martens

 

Murray International Trust

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