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Morning Report - 7 August 2020

Thursday’s UK 100 Leaders Price (p) % Chg
PEARSON PLC 605.0 7.8%
AVIVA PLC 297.5 4.6%
ITV PLC 63.3 3.9%
MONDI PLC 1,469.5 3.1%
GVC HOLDINGS PLC 724.0 2.9%
Thursday’s UK 100 Laggards Price (p) % Chg
GLENCORE PLC 180.3 -8.1%
LAND SECURITIES GROUP PLC 579.8 -5.0%
TAYLOR WIMPEY PLC 118.4 -4.3%
INTL CONSOLIDATED AIRLINE-DI 186.1 -4.0%
BARRATT DEVELOPMENTS PLC 500.0 -3.9%
Major World Indices Price % Chg 1 Year
UK 100 INDEX 6,027 -1.3% -16.0%
DOW JONES INDUS. AVG 27,387 0.7% 5.2%
DAX INDEX 12,592 -0.5% 8.9%
NIKKEI 225 22,418 -0.4% 9.3%
S&P/ASX 200 INDEX 6,042 0.7% -7.3%

 

Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 41.95 -0.57%
Brent Crude (ICE) USD/bbl. 45.13 -0.09%
Gold Spot USD/t oz. 2,064 0.0%
Copper (Comex) USd/lb. 291 -0.2%

 

UK 100 called to open flat this morning at 6025.

1 hour; 29 Days

Click graph to enlarge

Markets Overview:

 

UK 100 called to open flat this morning at 6025.  Calls for a muted open come as Trump orders bans on China-owned TikTok and WeChat.  During trading in the US yesterday, The Dow Jones closed up 185 points, or 0.7%. The S&P 500 rose 0.6%, while the Nasdaq added 1% to close above 11,000 points for the first time.  This followed the latest figures from the U.S. Department of Labour, which showed that 1.186 million people filed initial claims for unemployment benefits in the week ended Aug. 1, compared with the 1.4 million economists expected.  In commodity news Gold extended a record rally to a fifth straight day.

 

Company News:

 

AstraZeneca: Japan will soon agree a supply deal for over 100 million doses of AstraZeneca’s coronavirus vaccine, while Brazil will provide $365m in funds to purchase and produce the shot.

 

Hargreaves Lansdown reports FY pretax profit jumps 24% to £378.3m with net new business of £7.7bn. Their total dividend is up 31% to 54.9p per share. They recorded 1,412,000 active clients, an increase of 188,000 from 2019.

 

Hikma Pharmaceuticals raises annual sales outlook for top two units and reported higher H1 2020 profit as hospitals and distributors stocked up on critical medicines during COVID-19 pandemic. Core operating profit rose 15% Y-o-Y to $284m.

 

Rightmove reported a lower H1 2020 operating profit as the coronavirus outbreak halted property deals, hammering agents and developers who are its main clients. Average revenue per advertiser fell 34% to £712 per month, whereas operating profit slid to £61.7m (2019: £108.2m).

 

Rolls Royce‘s activist shareholder ValueAct Capital has sold its entire stake in the company.

 

Standard Life Aberdeen reports that pre-tax profit fell 30% to £195m in H1 2020 due to the impact of the coronavirus pandemic on markets. Fee-based revenue dropped 13% to 706m due to 2019 outflows, clients switching to lower-fee assets in the tough environment and a scheduled mandate withdrawal by Lloyds Banking Group. Assets under management fell 6% and the interim dividend is unchanged at 7.3p (above analysts forecast of 6.8p).

 

Reporting Today:

 

Hargreaves Lansdown

Hikma Pharmaceuticals

Rightmove

Standard Life Aberdeen

Metrobank

 

Reporting Friday:

 

Acacia Mining PLC

 

 

In Focus Today:

 

Chinese Trade Balance

German Retail Sales

US Nonfarm Payrolls

 

Next Week’s Ex Dividends:

 

UK 100:

 

Phoenix Group Holdings

Smurfit Kappa Group

Legal & General Group

Aviva

Diageo

BP

Ashtead Group

GlaxoSmithKline

Pearson

Royal Dutch Shell B

Royal Dutch Shell A

AstraZeneca

SEGRO

 

UK 250:

 

Direct Line Insurance Group

Ferrexpo

Centamin

Renewables Infrastructure Group

Greencoat UK Wind

Civitas Social Housing

GCP Student Living

Tritax Big Box REIT

Scottish American Investment Company

UK Commercial Property REIT

ICG Enterprise Trust

Spirent Communications

Lancashire Holdings

BMO Commercial Property Trust

Games Workshop Group

 

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