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Morning Report - 29 October 2020

Yesterday’s UK 100 Leaders Price (p) % Chg
ADMIRAL GROUP PLC 2,781.0 0.9%
NEXT PLC 6,134.0 0.7%
OCADO GROUP PLC 2,313.0 0.0%
B&M EUROPEAN VALUE RETAIL SA 488.1 0.0%
FLUTTER ENTERTAINMENT PLC 12,285.0 -0.2%
Yesterday’s UK 100 Laggards Price (p) % Chg
FRESNILLO PLC 1160.5 -6.1%
POLYMETAL INTERNATIONAL PLC 1668.0 -5.6%
INFORMA PLC 424.0 -5.3%
ANGLO AMERICAN PLC 1796.4 -5.1%
JOHNSON MATTHEY PLC 2198.0 -5.0%
Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 5,583 -2.6% -23.9%
DOW JONES INDUS. AVG 26,520 -3.4% -2.1%
DAX INDEX 11,561 -4.2% -10.7%
NIKKEI 225 23,419 -0.3% 1.9%
S&P/ASX 200 INDEX 6,058 0.1% -10.2%
Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 37.33 -5.66%
Brent Crude (ICE) USD/bbl. 39.07 -5.17%
Gold Spot USD/t oz. 1,877 -1.7%
Copper (Comex) USd/lb. 307 -0.9%
UK 100 called to open -36 points this morning at 5555. 

1 Day; 10 Months

Click graph to enlarge

Markets Overview:

 

UK 100 called to open -36 points this morning at 5555.  Calls for a negative open com on the back of the UK 100 hitting its lowest levels for 6 months yesterday as investors reacted to surging rates of infections. Overnight falls in Asian markets were less pronounced on Thursday, however, as the COVID-19 pandemic there is seen more under control, with Hong Kong’s Hang Seng index down 0.6%, and Japan’s Nikkei 225 index off 0.4%.  Yesterday Stateside the Dow Jones Industrials Average plunged 943 points, or 3.4%, the biggest one day fall since June to close at 26,519, while the S&P 500 index fell by 3.5%, and the tech heavy Nasdaq dropped by 3.7% with a shedload of key US tech results due after-hours on Thursday.

 

 

Company News:

BT Group say they delivered a strong operational performance in H1 2020, given the challenges of COVID-19 as they raised the lower limit of their earnings guidance for the year.  They reported an 8% drop in revenue to £10.59bn and a 5% fall in adjusted earnings to £3.72bn, broadly in line with expectations.

Evraz reports that Q3 crude steel output was down 4.4% q/q to 3.2m tonnes.

KAZ Minerals reports that all metals are on track to achieve or exceed FY production guidance.

Lloyds posted forecast beating Q3 2020 profit, lowering its provisions for expected bad loans due to the pandemic and cashing in on a demand for mortgages. They reported pre-tax profits of £1bn, compared with £588m average of analysts' forecasts. They set aside a further £301m to cover expected customer loan defaults, less than the £721m analysts had forecast. They expect loan loss provisions for the FY to be at the lower end of the £4.5-5.5bn range previously given.

Royal Dutch Shell increases their dividend by 4% after reporting stronger-than-expected profits in the quarter. Adjusted earnings fell 80% to $955m, but easily beat the average analysts forecasts of $146m profit.

Smith and Nephew reported that revenue recovered strongly in Q3 2020, as hospitals managed to carry out more elective surgeries after the initial wave of coronavirus infections.

WPP says client wins from Uber, Alibaba and HSBC had help trading to improve in Q3. Like-for-Like net sales fell by 7.6%, compared with a drop in Q2 of 15.1%. They are on track to hit the upper end of a £700-800m cost reduction target and was on track for analyst expectations.

Reporting Today:

 

BT Group

Royal Dutch Shell

Smith & Nephew

Indivior

Evraz

WPP

Lloyds

Standard Chartered

Kaz Minerals

 

 

Reporting Tomorrow:

 

Convatec

AIB Group

Natwest Group

 

In Focus Today:

 

BoJ Interest Rate Decision

US GDP

ECB Interest Rate Decision

German Harmonised Index of Consumer Prices

Eurozone Consumer Confidence

US Inital Jobless Claims

 

 

 

Today's Ex Dividends:

 

UK 100:

 

Unilever

 

UK 250:

 

Foresight Solar Fund

City of London Investment Trust

Hilton Food Group

Vesuvius

 

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