Highlights of the Day
Asian Markets
Asian stock markets were mixed performance, asthe U.S. dollar steadied after President Donald Trump expressed support for a strong greenback. Investors also digested economic data, including Japan’s core consumer price data for December, which was in line with expectations. |
U.S. Markets
U.S. stocks spent a second day flipping between small gains and losses as investors again looked for hints about the Trump administration’s stance on international trade and the dollar. Major indexes ended the day mixed; airlines plunged while biotech drugmakers climbed. |
Today's News
AstraZeneca said its PT010 treatment for patients with severe chronic obstructive pulmonary disease showed “statistically significant” improvement in eight out of nine lung function primary endpoints.
In comments that seem to contradict remarks by Treasury Secretary Steven Mnuchin, President Donald Trump has expressed support for a strong US dollar. Trump suggested in an interview with CNBC on Thursday that the strength of the US economy would be reflected in an increase in the value of the currency. “Our country is becoming so economically strong again and strong in other ways, too, by the way, that the dollar is going to get stronger and stronger” Trump said. “And ultimately I want to see a strong dollar.”
Spectris said it had bought Concept Life Sciences from Equistone Partners Europe and company management for £163m on a debt and cash-free basis. UK-based Concept Life Sciences provides integrated drug discovery, development, analytical testing and environmental consultancy services to an international customer base, mainly in the pharmaceutical, biotechnology, agrochemical and environmental sectors.
The Post Office said it would now only offer its mortgages online, resulting in a number of jobs losses. The decision to stop selling mortgages over the counter would result in 73 redundancies and generated an angry response from the Unite union, which has more than 600 managers working in the Post Office.
Walmart will team up with Japan’s Rakuten to launch a new online grocery delivery service. Customers will place orders through Rakuten, which will then be fulfilled by the joint venture. The operation – to launch later this year – will replace Walmart’s existing online grocery delivery service in Japan. As part of the deal, Rakuten subsidiary Kobo will sell e-books, audiobooks and e-readers through US Walmart stores.
The pound shot up on Friday morning as Bank of England governor Mark Carney said he could see a “conscious re-coupling” between the UK and the booming world economy and defended his gloomy Brexit predictions. Carney, along with the European Central Bank’s bond-buying chief Benoit Coeure and Bank of Japan governor Haruhiko Kuroda, will be addressing the World Economic Forum later on Friday.
HICL Infrastructure Company updated the market on its operations on Friday following the liquidation of Carillion earlier in the month, reporting that its priority is the continuation of services to public sector clients and the users of the facilities at the affected PPP projects.
GVC Holdings has made a provision of around €200m in its 2017 financial accounts after its Greek subsidiary received a €186.77m tax bill for 2010 and 2011. During that period, the business was owned by Sportingbet, as this was prior to its acquisition by GVC in 2013.
Gold edged up, after falling from 1-1/2-year highs in the previous session, as the dollar remained weak despite U.S. President Donald Trump backing a stronger currency.
Oil Prices fell ahead of the end of the peak-demand winter season in the northern hemisphere, although ongoing supply cuts and the weakening dollar offered broad support to the market.
Companies Reporting this week
Day |
Companies |
No Companies Reporting |
|
Early Market Movements
Market |
Index |
Change |
% Change |
UK 100 |
7,641.20 |
+25.36 |
+0.3% |
UK 250 |
20,512.03 |
-9.71 |
-0.1% |
GER 30 |
13,297.1 |
-1.3 |
-0.0% |
FRA 40 |
5,502.4 |
+21.2 |
+0.4% |
U.S. 30 |
26,392.79 |
+140.67 |
+0.5% |
U.S. 500 |
2839.3 |
+1.7 |
+0.1% |
OIL (BRENT) |
70.44 |
+0.02 |
+0.0% |
GOLD |
1,355.82 |
+7.56 |
+0.6% |
UK Risers & Fallers (8:15am)
Company |
Price |
Change |
% Change |
National Grid |
807.5 |
+11.9 |
+1.5% |
Shire |
3408 |
+44 |
+1.3% |
Close Brothers Group |
1595.5 |
+26.5 |
+1.7% |
Kingfisher |
345.5 |
-2.4 |
-0.7% |
British American Tobacco |
4846 |
-24 |
-0.5% |
GVC Holdings |
909.25 |
-38.75 |
-4.1% |
Latest Broker Views
Company |
Broker |
Recommendation |
Price |
Target |
United Utilities |
Goldman Sachs |
Neutral |
740.2 |
778 |
St James’s Place |
JPmorgan |
Overweight |
1221 |
1347 |
Smith & Nephew |
Goldman Sachs |
Neutral |
1293.5 |
1300 |
Ashmore Group |
Barclays |
Equal Weight |
432 |
430 |
Forthcoming Economic Data
Time/Date |
Previous |
Forecast |
Outcome |
10:30am: U.K. Prelim GDP q/q |
0.4% |
0.4% |
– |
2:30pm: U.S. Advance GDP q/q |
3.2% |
3.0% |
– |
2:30pm: U.S. Core Durable Goods Orders m/m |
-0.1% |
0.5% |
– |
3:00pm: Bank of England Governor Mark Carney Speaks |
– |
– |
– |
Sources
http://www.londonstockexchange.com/exchange/news/alliance-news/detail/1516951304394684400.html
http://www.londonstockexchange.com/exchange/news/alliance-news/detail/1516948950334522800.html
https://uk.webfg.com/news/news-and-announcements/gvc-holdings-makes-euro200m-provision-for-greek-tax-bill-says-it-will-appeal–3098121.html
https://uk.webfg.com/news/news-and-announcements/hicl-infrastructure-anticipates-50m-impact-from-carillion-collapse–3098076.html
https://uk.webfg.com/news/news-and-announcements–/bank-of-englands-carney-sees-uk-re-coupling-with-global-economy–3098129.html
https://uk.webfg.com/news/m-a/spectris-buys-concept-life-sciences-for-163m–3098054.html
https://uk.webfg.com/news/news-and-announcements–/post-office-to-withdraw-mortgage-service-from-shops–3095468.html
http://www.bbc.co.uk/news/business-42828053
http://www.nasdaq.com/article/asian-markets-exhibit-mixed-trend-20180125-01550
http://www.latimes.com/business/la-fi-markets-20180125-story.html
https://www.reuters.com/article/us-global-oil/oil-dips-as-demand-weakens-ahead-of-refinery-maintenance-idUSKBN1FF05D
https://uk.reuters.com/article/global-precious/precious-gold-heads-for-weekly-gain-on-softer-dollar-despite-trump-comments-idUKL4N1PL1N3