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Morning Report - 22 February 2023

Yesterday’s UK 100 Leaders Price (p) % Chg
Smith & Nephew PLC 1,222.0 5.2%
HSBC Holdings PLC 649.6 4.7%
Bae Systems PLC 906.0 1.9%
Burberry Group PLC 2,585.0 1.5%
Frasers Group PLC 805.0 1.4%

 

Yesterday’s UK 100 Laggards Price (p) % Chg
Anglo American PLC 3,171.5 -5.0%
Glencore PLC 503.8 -3.1%
Persimmon PLC 1,423.3 -3.0%
Prudential PLC 1,259.0 -2.9%
Barratt Developments PLC 454.2 -2.7%
Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 7,984 -0.4% 6.3%
DOW JONES INDUS. AVG 33,334 -1.5% -2.2%
DAX INDEX 15,418 -0.4% 3.9%
NIKKEI 225 27,473 -0.2% 3.9%
S&P/ASX 200 INDEX 7,336 -0.2% 2.4%
Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 76.10 -0.31%
Brent Crude (ICE) USD/bbl. 82.95 -1.33%
Gold Spot USD/t oz. 1,838 -0.2%
Copper (Comex) USd/lb. 421 2.5%
The UK 100 called to open -27 points at 7950.

1 Day; 2 Years

Click graph to enlarge

Markets Overview:

The UK 100 called to open -27 points at 7950.  The UK 100 is expected to open lower following heavy falls in the US as fears that the Federal Reserve might increase interest rates further rattled investors.  On Wall Street, the Dow Jones Industrial Average closed down 697.10 points, or 2.1%, at 33,129.59. The S&P fell 81.75 points, or 2%, to end at 3,997.34 and the Nasdaq tumbled 294.97 points, or 2.5%, to close the day at 11,492.30.

Company News & Broker Comments:

Company News:

Lloyds reported flat annual profit for 2022 as a jump in income driven by higher interest rates was offset by mounting bad loan provisions. They reported a pretax profit of £6.9bn, unchanged on the prior year and in line with analyst forecasts compiled by the bank. They announced a 1.6p per share final dividend and a share buyback of up to £2bn, whilst setting aside £1.5bn to cover troubled loans in 2022.

 

 

Primary Health Properties reports a 2022 pretax profit of £56.9m, down from £141.6m YoY. Their total dividend for 2022 was increased by 4.8% to 6.5p per share. They will engage with government bodies to help ease healthcare burdens.

 

 

Rio Tinto reported a 37.9% drop in annual profit and more than halved their dividend as iron ore prices fell on slower demand, particularly from China, while higher labour and material costs ate into earnings. They reported underlying earnings of $13.3bn for 2022, compared with a record $21.4bn in 2021. They missed average analyst estimates of $13.8bn.

 

 

 

Broker Comments:

Credit Suisse Upgrades WPP to Outperform from Neutral (8 Buys / 5 Holds / 1 Sell)

Reporting Today:

UK

 

Lloyds Banking Group

 

Primary Health Properties

 

Rio Tinto

 

The Renewables Infrastructure Group

 

 

US

 

Fiverr International

 

Etsy

 

Lucid Group

 

NVIDIA

 

Teladoc Health

 

Unity Software

 

Virgin Galactic

Reporting Tomorrow:

 

UK

 

Anglo American

 

BAE Systems

 

Drax Group

 

Hays

 

Hikma Pharmaceuticals

 

Howden Joinery Group

 

Mondi

 

Morgan Sindall

 

Rolls Royce

 

Serco Group

 

Spectris

 

WPP Group

 

US

 

Alibaba Group

 

Keurig Dr Pepper

 

Moderna

 

Newmont

 

Intuit

 

Lemonade

 

Liberty Global A

 

Liberty Global C

 

 

In Focus Today:

German Harmonized Index of Consumer Prices

 

German IFO – Business Climate

 

German IFO – Current Assessment

 

German IFO – Expectations

 

German 10-y Bond Auction

 

Fed FOMC Minutes

 

Tomorrow's Ex-Dividends:

UK 100 companies going  ex-dividend on 23rd February 2023:

 

Barclays

 

Endeavour Mining

 

Standard Chartered

 

Astrazeneca

 

Land Securities Group

 

GSK

 

Unilever

UK 250 companies going  ex-dividend on 23rd February 2023:

 

BBGI Global Infrastructure S.A.

 

Redrow

 

Plus500

 

BlackRock Throgmorton Trust

 

Witan Investment Trust

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