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| Yesterday’s UK 100 Leaders | Close (p) | Chg (p) | % Chg | % YTD |
| International Consolidated Airlines | 478.8 | 6 | 1.3 | -22.52 |
| AstraZeneca | 6013 | 75 | 1.3 | 2.38 |
| Fresnillo | 732.8 | 4.2 | 0.6 | -14.79 |
| Paddy Power Betfair | 5782 | 32 | 0.6 | -9.66 |
| SSE | 1012.5 | 4.5 | 0.5 | -6.38 |
| Yesterday’s UK 100 Laggards | Close (p) | Chg (p) | % Chg | % YTD |
| Morrison (Wm) Supermarkets | 197.25 | -12.1 | -5.8 | -7.5 |
| TUI | 740.2 | -40 | -5.13 | -34.23 |
| Melrose Industries | 166.75 | -7.8 | -4.47 | 1.77 |
| Smurfit Kappa | 2205 | -100 | -4.34 | 5.91 |
| Antofagasta | 779.6 | -32.6 | -4.01 | -0.46 |
| Major World Indices | Mid/Close | Chg | % Chg | % YTD |
| UK UK 100 | 7,231.0 | -103.1 | -1.4 | 7.5 |
| UK | 19,031.2 | -276.1 | -1.4 | 8.7 |
| FR CAC 40 | 5,281.4 | -97.6 | -1.8 | 11.6 |
| DE DAX 30 | 11,952.4 | -216.3 | -1.8 | 13.2 |
| US DJ Industrial Average 30 | 25,490.5 | -286.0 | -1.1 | 9.3 |
| US Nasdaq Composite | 7,628.3 | -122.6 | -1.6 | 15.0 |
| US S&P 500 | 2,822.2 | -34.0 | -1.2 | 12.6 |
| JP Nikkei 225 | 21,117.2 | -33.9 | -0.2 | 5.5 |
| HK Hang Seng Index 50 | 27,372.3 | 105.1 | 0.4 | 5.9 |
| AU S&P/ASX 200 | 6,456.0 | -35.8 | -0.6 | 14.3 |
| Commodities & FX | Mid/Close | Chg | % Chg | % YTD |
| Crude Oil, West Texas Int. ($/barrel) | 58.54 | 0.3 | 0.6 | 28.9 |
| Crude Oil, Brent ($/barrel) | 67.27 | 0.5 | 0.8 | 24.2 |
| Gold ($/oz) | 1284.63 | -1.7 | -0.1 | 0.2 |
| Silver ($/oz) | 14.44 | 0.0 | 0.0 | -6.7 |
| GBP/USD – US$ per £ | 1.2681 | – | 0.1 | -0.6 |
| EUR/USD – US$ per € | 1.1198 | – | 0.1 | -2.4 |
| GBP/EUR – € per £ | 1.1324 | – | 0.0 | 1.8 |
Click graph to enlarge
UK 100 called to open +20pts at 7251, after finding support at 7210 following a 2% sell-off. Bulls need a break back above yesterday’s 7265 breakdown if we are to see an upside of 7300. Bears require a break below 7240 to breach overnight rising support for a retest of yesterday’s 7210 lows. Watch levels: Bullish 7270, Bearish 7240
Calls for a positive open come in spite of a negative US close and a mixed session in Asia as US-China trade war concerns remain to the fore. Fears of a worsening of the dispute and retaliation continue to dampen sentiment towards the Tech sector.
Oil is off its lows having been seen demand concerns related to trade uncertainty compound higher US inventories. Copper also bouncing. Watch Miners and Oil stocks after yesterday’s weakness, with BHP and RIO positive in Australia overnight.
Spectris 4-month like-for-like sales +3%, despite moderation in end-markets. Acquisitions contributed an extra 1% and FX another 2%. Net debt falls. On track for £15-20m benefits in 2019. Performance consistent with FY, normal H2 weighting, some macro challenges/uncertainties.
Stagecoach brings forward claim against UK Department for Transport over procurement decision for West Coast Partnership rail franchise. Already started proceedings for East Midlands franchise after being disqualified, along with partner groups, for refusal to accept pension related risks.
Serco raised £140m via share placing, more than expected; 111.2m shares sold at 126p each, a 4% premium to Weds share price; Proceeds to help fund $225m acquisition of Alion Science & Tech.
National Grid pleased Ofgem refined approach to incentives, including option to allow bespoke Output Delivery Incentives. Despite corrections to calculations and continued consultation, still disappointed with proposed cost of equity range, which does not fairly reflect risk borne by networks.
Informa says it performed well through first four months of year, with steady trading across enlarged portfolio of specialist international brands. Well placed to meet FY expectations.
Bodycote full year expectations unchanged; Civil aerospace remains strong, and revenue growth for Specialist Technologies' expected to be good. With easing comparatives in automotive in H2, and provided current macro conditions do not deteriorate, year on year growth should strengthen.
Mothercare says full year pre-tax loss narrows to £66.6m on better than expected cost savings, despite revenues -12%. Trading remains challenging, like-for-like sales -9%; store numbers -41%. Expects to meet 2020 consensus.
Glencore Agriculture division boss to retire after 17 years, replaced by the division’s current head of European and Asia operations.
US retailer Target is in talks to buy retail advertising firm Triad Retail Media from WPP, which acquired the digital ad-buying group from private equity for circa $300m in 2016.
Realty Income closes £429m sale-and-leaseback transaction with Sainsbury's
Inchcape starts £100m buyback program.
The latest from Westminster (déjà vu?) with talk of PM May finally setting a firm departure date/timetable, not for Brexit itself but for her as Conservative party leader.
All the while we await Sunday’s European Election outcome, likely to be a Brexit protest vote from unhappy remainers and leavers alike, against the UK’s ruling party for its mishandling and delay, respectively, of the UK referendum on EU membership. Watch GBP and UK Index indices/stocks.
Data-wise, UK Retail Sales (9.30am) could move the UK Index Retailers, especially if April delivers the consensus contraction pencilled in, and while the annual pace may also slow, it would merely be normalising from a March jump. UK CBI Sales (11am) may also show a pullback.
Thereafter, US Durable Goods Orders (1.30pm) may also show headline contraction, although the less lumpy ex-transport figure suggests a mere slowing.
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Prepared by Michael van Dulken, Head of Research