(Alliance News) - Stocks in London are called to open higher on Wednesday, even after local data showed that UK consumer price inflation edged back upwards in July.
In early corporate news, AstraZeneca's Lynparza and Imfinzi combination has been approved in the EU for patients with mismatch repair proficient advanced or recurrent endometrial cancer.
Here is what you need to know at the London market open:
----------
MARKETS
----------
FTSE 100: called up 0.6% at 8,286.20
----------
Hang Seng: down 0.6% at 17,080.21
Nikkei 225: closed up 0.6% at 36,442.43
S&P/ASX 200: closed up 0.3% at 7,850.70
----------
DJIA: closed up 408.63 points, 1.0%, at 39,765.64
S&P 500: closed up 1.7% at 5,434.43
Nasdaq Composite: closed up 2.4% at 17,187.61
----------
EUR: up at USD1.0992 (USD1.0956)
GBP: up at USD1.2858 (USD1.2826)
USD: down at JPY146.92 (JPY147.03)
GOLD: down at USD2,461.17 per ounce (USD2,470.54)
OIL (Brent): up at USD81.03 a barrel (USD80.98)
(changes since previous London equities close)
----------
ECONOMICS
----------
Wednesday's key economic events still to come:
11:00 CEST eurozone unemployment
11:00 CEST eurozone GDP
11:00 CEST eurozone industrial production
08:30 EDT US CPI
10:30 EDT US EIA crude oil stocks
----------
The Office for National Statistics reported that annual consumer price index inflation in the UK increased to 2.2% in July from 2.0% in June. However, this was short of the increase to 2.3% that had been expected by FXStreet-cited market consensus. It marks the first time annual CPI inflation accelerated since December, when it increased to 4.0% from 3.9% in November. On a monthly basis, prices declined by 0.2% in July, compared to an increase of 0.1% in June from May. CPI including owner occupiers' housing costs, or CPIH, rose 3.1% on-year in July, accelerating from 2.8% in June. Producer prices meanwhile rose 0.4% annually in July, up from flat in June, which had been upwardly revised from a previously reported decline of 0.4%. On a monthly basis, producer input prices edged down by 0.1%, slowed from a contraction of 0.4% in June.
----------
Donald Trump is set to attack the Biden administration's economic record, just days before Kamala Harris unveils her economic agenda. Trump's campaign said he would deliver remarks in the city of Asheville, in the crucial battleground state of North Carolina, on the "economic hardships created by the Harris-Biden administration." "Hard-working Americans are suffering because of the Harris-Biden administration's dangerously liberal policies," the campaign said in a statement.
----------
Meanwhile, Tim Walz made his first solo outing as a vice-presidential candidate on Tuesday as the Democratic ticket looks to build momentum in the quickening US election campaign. The Midwesterner addressed union organisers in Los Angeles, pledging he would be part of a pro-worker administration. But in a shout-out to moderate Republicans wary of Trump's hard-right positions, he also invoked a hero of the party, noting that he was the "first union member on a presidential ticket since Ronald Reagan.
----------
Japan's unpopular Prime Minister Fumio Kishida is set to quit after announcing on Wednesday he will not seek re-election as party chief. The ruling Liberal Democratic Party, which has governed almost uninterrupted since 1945, is due to hold a leadership contest next month. "In this (party) presidential election, it is necessary to show the people that the LDP is changing and the party is a new LDP," Kishida told reporters in Tokyo. "...The most obvious first step to show that the LDP will change is for me to step aside," he said.
----------
The US on Tuesday approved about USD20 billion in possible arms sales to Israel, including more than 50 fighter jets and advanced air-to-air missiles, the State Department announced. Secretary of State Antony Blinken approved the possible sale of F-15 jets and equipment worth nearly USD19 billion. Deliveries are estimated to begin in 2029. Blinken had also approved the possible sale of tank cartridges worth about USD774 million and army vehicles worth about USD583 million.
----------
Three months after the failed takeover of The Telegraph by Abu Dhabi-backed group Redbird IMI, the right-wing British daily finds itself at the centre of fierce negotiations to find a new owner. The Daily Telegraph reported on Monday that a bid led by former chancellor of the exchequer Nadhim Zahawi – in which ex-prime minister and former Telegraph correspondent Boris Johnson could play a role – has made it onto a shortlist of potential buyers. Speculation includes Johnson being made global editor-in-chief of the paper. The newspaper, widely considered the "Tory bible" for the Conservatives who were in power for 10 years until last month, also reported a competing offer was made by hedge fund manager Paul Marshall, who owns media group Unherd and right-wing TV channel GB News. His bid is backed by American billionaire and Republican Ken Griffin, of Citadel hedge fund, a source close to Griffin confirmed to AFP. The Financial Times, citing sources close to the process, reported that an offer by UK media group National World was also under consideration.
----------
BROKER RATING CHANGES
----------
Redburn starts IMI with 'buy' - price target 2,380 pence
----------
Investec raises Domino's Pizza to 'buy' (hold) - price target 383 (355) pence
----------
UBS raises Flutter price target to 22,200 (21,700) pence - 'buy'
----------
COMPANIES - FTSE 100
----------
AstraZeneca's Lynparza and Imfinzi combination has been approved in the EU for patients with mismatch repair proficient advanced or recurrent endometrial cancer, the pharmaceutical firm reported. Imfinzi plus chemotherapy as a first-line treatment, followed by Lynparza and Imfinzi, has been approved for patients with mismatch repair proficient disease, while Imfinzi plus chemotherapy followed by Imfinzi alone has been approved for patients with mismatch repair deficient disease.
----------
COMPANIES - FTSE 250
----------
Balfour Betty said it was on track to achieve full-year expectations, after reporting pretax profit for the six months ended June 28 of GBP112 million, up from GBP82 million a year prior. Revenue came to GBP4.7 billion, up 3% from GBP4.5 billion, driven by increases at Support Services and Gammon. Underlying profit from operations was GBP77 million, down from GBP80 million, while the order book stood at GBP16.6 billion, up from GBP16.5 billion the year before. The firm raised its interim dividend by 9% to 3.8 pence from 3.5p.
----------
OTHER COMPANIES
----------
UBS Group AG reported a fall in second-quarter profit amid a fall in net interest income. The Zurich-based bank announced a 96% dive in second-quarter net profit attributable to shareholders, falling to USD1.14 billion from last year's USD27.33 billion. Profit before tax was USD1.47 billion, down 95% from last year's USD27.70 billion. Underlying profit before tax was USD2.06 billion, compared to USD891 million a year earlier, reflecting client franchise strength and disciplined execution of its strategy and integration plans. Total revenue climbed 25% to USD11.90 billion from USD9.54 billion last year, largely driven by the consolidation of Credit Suisse revenue. Underlying revenue was USD11.1 billion, compared to USD9.16 billion last year. Net interest income, meanwhile, declined 10% from the prior year to USD1.54 billion.
----------
Glanbia posted a pretax profit fall of 21% to USD169.7 million for the six months ended June 29, from USD214.0 million a year prior. Revenue was down 1.2% to USD1.82 billion from USD1.84 billion. Adjusted earnings per share came to 68.20 cents, up 12% from 60.78 cents a year before. Chief Executive Officer Hugh McGuire said: "The category trends remain positive, and with the continued consumer and customer demand for our Better Nutrition brands and ingredients we will see a sequential improvement in volumes across GPN and NS in the second half of the year. Today we are reiterating our full year guidance of 5% to 8% growth in adjusted EPS." Separately, the firm also announced the start of a EUR50 million share buyback to be run by Davy stockbrokers.
----------
By Holly Beveridge, Alliance News senior reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2024 Alliance News Ltd. All Rights Reserved.
.jpg)
