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Morning Report - 6 July 2022

Yesterday’s UK 100 Leaders Price (p) % Chg
DECHRA PHARMACEUTICALS PLC 3,616.0 5.3%
SEGRO PLC 984.2 3.5%
CRODA INTERNATIONAL PLC 6,780.0 3.1%
OCADO GROUP PLC 805.4 2.6%
SPIRAX-SARCO ENGINEERING PLC 10,320.0 1.9%
Yesterday’s UK 100 Laggards Price (p) % Chg
HARBOUR ENERGY PLC 316.2 -9.6%
ROLLS-ROYCE HOLDINGS PLC 79.1 -8.6%
SHELL PLC 2016.0 -8.5%
ANGLO AMERICAN PLC 2605.0 -8.3%
GLENCORE PLC 400.0 -8.0%
Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 7,025 -2.9% -1.1%
DOW JONES INDUS. AVG 30,968 -0.4% -11.0%
DAX INDEX 12,401 -2.9% -20.8%
NIKKEI 225 26,108 -1.2% -8.9%
S&P/ASX 200 INDEX 6,595 -0.5% -9.2%
Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 100.16 0.66%
Brent Crude (ICE) USD/bbl. 103.92 1.12%
Gold Spot USD/t oz. 1,766 0.1%
Copper (Comex) USd/lb. 335 -2.0%
The UK 100 is called to open +50 points this morning at 7075.

4 Hours; 12 Months

Click graph to enlarge

Markets Overview:

 

The UK 100 is called to open +50 points this morning at 7075.  The UK 100 is seen slightly higher today following yesterdays near 3% drop and last nights shock resignations of both Chancellor Rishi Sunak and health secretary Sajid Javid, leaving British PM Boris Johnson, in a precarious political position.  It was a mixed session on Wall Street yesterday after a wobble at the start of the session, the S&P and Nasdaq finished higher.  The Nasdaq climbed 1.75% to 11,322.24 after opening the day sharply lower. The S&P rose 0.16% to 3,831.39 after being down more than 2% at session lows. The Dow Jones closed down 129.44 points, or 0.4%, at 30,967.82 but was down more than 700 points earlier.


 

Company News & Broker Comments:

 

Company News:

ABRDN announces that it will commence a return of £300m through the repurchase of the Company's ordinary shares, with a first phase of up to £150m being undertaken by Goldman Sachs International.

 

 

AO World, online electricals retailer, announces its intention to conduct a placing of new ordinary shares of 0.25p each in the capital of the Company at a price of 43 pence per share.  The new share placing intends to raise gross proceeds of approximately £40 million to provide the flexibility to capitalise on market opportunities.

 

 

Kier Group plc announces the appointment of Chris Browne as a non-executive director to its board of directors.  The appointment will take effect on 15 September 2022.

 

 

REDDE NORTHGATE PLC this morning announced revenue growth of 12%, reflecting strong customer demand, recovery post-COVID in business volumes and traffic activity, and lower de-fleeting disposal activity and a final dividend of 15.0p, bringing total dividend to 21.0p reflecting the Board's confidence in Group outlook.

 

 

Topps Tiles said group sales in the third quarter were up 9.2% year on year, including the benefit of a full quarter of trading from Pro Tiler Tools.  However like-for-like sales were 0.9% lower when compared to a very strong period of trading last year. Rob Parker, CEO, said they remain confident that the business will break even in the second half of the year and then move into profitability in FY23.

 

 

Trainline announced in the first four months of FY2023, Trainline's net ticket sales are up 16% versus the same period in FY2020 (pre-COVID). This performance reflects a faster than anticipated recovery in rail passenger volume across Europe - including a notable resurgence of inbound customers from the U.S. - as well as the benefit of Trainline increasing its investment in its International business.

Broker Comments:

Credit Suisse gives Lloyds an Outperform rating with a price target of 71p

 

Reporting Today:

 

Ocado*

 

Redde Northgate

 

Sequoia Economic Infrastructure*

 

 

Reporting Wednesday:

Currys

 

Entain

 

Ferrexpo

 

Persimmon

 

Victrex

 

Watches of Switzerland

 

Wood Group

 

 

In Focus Today:

 

German Factory Orders s.a.

 

BoE's Pill speech

 

EU European Commission releases Economic Growth Forecasts

 

EU Retail Sales

 

German 10-y Bond Auction

 

US S&P Global Services PMI

 

US ISM Services PMI

 

US FOMC Minutes

 

Tomorrow's Ex-Dividends:

 

FTSE 100:

Coca-Cola HBC AG

 

Next

 

British American Tobacco

 

AVEVA Group

 

JD Sports Fashion

 

FTSE 250:

Workspace Group

 

Sirius Real Estate

 

Paragon Banking Group

 

Big Yellow Group

 

Primary Health Properties

 

Murray International Trust

 

Safestore Holdings

 

ICG Enterprise Trust

 

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