Markets Overview:

UK 100 called to open down 12pts at 7212; Further market negativity during yesterday’s trading sessions saw a continuation of the fall out from trade talk dispute between the US and China & The Trump administration formally labelling China a currency manipulator. The Dow Jones gave up 700 points during the trading session (nearly 3%) The S&P 3% also, now 5% away from recent all time highs!  Asian markets also weaker overnight, however less so, could this be a sign that investors are now seeing value on the back of the "Trump Dump and Recovery" play? Oil slipped from Yesterday’s $61 level to fall to $60 a barrel as gold continued to rally to $1463 as the safe haven surged on.

In corporate news this morning:

Boohoo confirmed today that it has made an offer to acquire the online business and intellectual property rights of Karen Millen & Coast.

Domino’s announces the retirement of CEO David Wild and have reported a -7.4% drop in 1H 2019 profit. They confirmed a pre-tax profit of £42.3m (2018: £45.7m). . 

IHG announces HY Group revenue of $2,280m (2018: $2,113m). Profit of $457m (2018: $401m). Interim dividend per share of 39.9 cents. IHG are confident on their outlook for the rest of 2019. 

IWG reported a strong period for trading. They look forward to delivering a good result for the year. YoY, Revenue +10.3%; Gross Profit +15.1%; Overheads +10%; profit after tax +579%; EPS +8%; Dividend per share +10.3%; EBITDA +11%. 

Meggitt announces strong 1H 2019 trading. They have increased their full year organic revenue growth guidance to 4-6%. YoY Orders +7%; Revenue +9%; EBITDA +2%; Op Profit +2%; EPS +6%; Free Cash flow +80%; Net Borrowings-1%; Dividend +5%. 

Rolls Royce said they delivered further progress across the group in 1H 2019, in line with full year expectations. They expect a significant improvement in cash in 2H 2019. Revenue +7%; Gross profit +10%; Operating profit +33%; Earnings per share -4.6p; Free cash flow -£401m. 

Ryanair July traffic number grow 9% to 14.8m customers +9%

Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Upgrades/Downgrades:

London Stock Exchange Upgraded to Hold by Morningstar (Bloomberg: 6 Buys / 6 Holds / 0 Sell)

Ferrexpo Downgraded to Equalweight by Barclays (Bloomberg: 7 Buy / 6 Holds / 1 Sells)

IMI Downgraded to hold by HSBC (Bloomberg: 8 Buys / 10 Holds / 1 Sell)

Cobham Downgraded to Hold by Jefferies (Bloomberg: 1 Buy/ 10 Hold/ 1 Sell)

In focus today:

German factory orders (7.00am)

Feds Bullard speech (4.00pm)

Company reporting day reaction:

Rolls Royce, IWG, ICAP, Meggitt, Dominos Pizza

Companies reporting tomorrow:

Glencore, Standard Life Aberdeen Asset Management, Flutter, Acacia Mining, Legal & General

Companies reporting this week (Full list available on Week in advance)

Hargreaves Lansdown, Bellway, Cineworld, Aviva, William Hill, WPP

This Week's ex-dividend payers

BT: 5.8%

Informa: .86%

GSK: 1.12%

AstraZeneca: 1.02%

Unilever: 0.74%

Diageo: 1.23%

Hiscox: 0.66%

BP: 1.54%

Fresnillo: 0.35%

Lloyds: 2.10%

Rentokil: 0.35%

Direct Line Group: 2.23%

Barclays: 1.92%

Standard Chartered: 0.82%

Rio Tinto: 3.81%

Ashtead: 1.47%

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.