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LONDON MARKET OPEN: US Tariff Move Fails To Lift Mood As China Weakens

Wed, 14th Aug 2019 08:55

(Alliance News) - Despite strong gains in the US overnight and broadly upbeat trade in Asia, London stocks got off to a soggy start on Wednesday, after poor economic readings from China and Germany.Stocks on Tuesday got a boost after the US decided it would go ahead with the latest tranche of tariffs on China next month, but would delay the start for cell phones, laptops, computer monitors, video game consoles and some toys, footwear and clothing.However, ING was sceptical of the move. "The trade war is still on, and the latest delay seems self-serving for the US which can load up for the gift-giving season before tariffs stick up prices early next year," said ING, adding that markets "remain nervous".In addition, London's blue-chip index was weighed down by miners following weak Chinese industrial data.The FTSE 100 was 0.1% lower at 7,247.01, while the FTSE 250 was marginally lower at 19,006.07. The AIM All-Share was flat at 877.25.The Cboe UK 100 index was down 0.1% at 12,281.40. The Cboe UK 250 was down 0.1% at 16,891.40, while the Cboe UK Small Companies was up 0.1% at 10,930.25.In mainland Europe, the CAC 40 in Paris was flat while the DAX 30 in Frankfurt was also little changed.In German data, the economy weakened in the second quarter of the year, as widely expected. Quarter-on-quarter, gross domestic product slipped 0.1%, figures from Destatis showed. This was in line with consensus, as cited by FXStreet, for a 0.1% decline and reverses the 0.4% growth posted for the first three months of the year."Trade conflicts, global uncertainty and the struggling automotive sector have finally brought the German economy down on its knee. In particular, increased uncertainty, rather than direct effects from the trade conflicts, have dented sentiment and hence economic activity," said ING."Who remembers that one year ago, the biggest problem for the German economy was supply-side constraints? Last summer the entire economy was close to overheating; now the lack of demand has become a pressing issue."Still to come in the economic calendar, UK consumer price inflation is at 0930 BST, while eurozone GDP is at 1000 BST.Admiral was the top performer in the FTSE 100 in early trade, up 5.1% after the insurer reported a rise in interim profit despite a headwind from the Ogden rate.Net revenue rose to GBP647.1 million from GBP598.1 million, while pretax profit increased 4% to GBP218.2 million from GBP210.7 million. The insurer declared an interim dividend of 63.0p per share, up 5% year-on-year, comprising a normal dividend of 41.8p and a special dividend of 21.2p."If it's a can't-put-down, read-in-one-go page-turner that you're after, then I'm afraid our half-year results don't fit the bill. Frankly, they are a bit dull. Turnover up mid-single digits, profit up low-single digits. Hardly 'hold the front page'," said Chief Executive David Stevens.He continued: "However, for dedicated aficionados who look behind the headlines, there's some reward for reading on. Profit growth, even if modest, is more exciting considering the GBP33 million Ogden headwind."The Ogden rate helps determine the size of personal injury damage awards.Shares in Prudential were higher, up 0.5%, ahead of the financial services firm's interim results, due at 0930 BST.Towards the bottom of the blue-chip index were miners, with Glencore down 1.3%, Anglo American down 1.2% and Antofagasta 1.2%.China's economy showed further signs of strain in July with output at its factories falling to its lowest level in 17 years, official data showed, while investment and retail sales also slowed.Industrial output increased 4.8% on-year in July, down from 6.3% in June and marking the weakest pace since 2002.Retail sales - which have long been a bright spot for the economy - slowed to a 7.6% rise last month, sharply down from 9.8% in June. Fixed-asset investment was up 5.7% in January-July, slowing from 5.8% in January-June. Spending on highways, high-speed trains and airports rose 3.8%, after years of near 20% increases.In Asia overnight, the Japanese Nikkei 225 index closed up 1.0%. In China, the Shanghai Composite is ended 0.4%, while the Hang Seng index in Hong Kong is down 0.3%.Back in London, Balfour Beatty rose 11% to top the FTSE 250 as the construction firm bumped up its interim dividend by almost a third.Revenue for the first half rose to GBP3.40 billion from GBP3.22 billion, leading pretax profit to increase to GBP63 million from GBP50 million. The company's order book increased 5% to GBP13.2 billion, with Balfour Beatty saying its focus on "disciplined bidding" building a "higher quality" order book."This is another strong set of results - increasing profits backed by a strong cash performance, plus carefully managed growth in our order book," said Chief Executive Leo Quinn.He continued: "Combined with the strength of our balance sheet and cash flows, this positions Balfour Beatty to create and return future value to shareholders."The FTSE 250 constituent boosted its interim dividend by 31% to 2.1p. Sports Direct International was down 4.0% after saying Grant Thornton has decided not to seek reappointment as the retailer's auditor.Grant Thornton will cease to be Sports Direct's auditor from September 11, the date of the company's annual general meeting. Sports Direct said Grant Thornton made the decision "following a review of its client portfolio".

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20 Mar 2019 08:44

LONDON MARKET OPEN: Inmarsat Up On Takeover Bid; Kier Slashes Payout

LONDON (Alliance News) - Renewed worries over US-China trade talks send UK share prices lower at the open on Wednesday, with UK inflation readings and a US interest decision due later in the was a

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19 Mar 2019 17:08

LONDON MARKET CLOSE: FTSE's Momentum Continues With Help From Ocado

LONDON (Alliance News) - The FTSE 100's recent winning streak continued on Tuesday, joined by gains elsewhere in Europe and the US."The rally is moving from its 'unstoppable stage to

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19 Mar 2019 12:04

LONDON MARKET MIDDAY: Ocado, Antofagasta And Standard Life Boost FTSE

LONDON (Alliance News) - The FTSE 100 on Tuesday was continuing its positive start to the week, supported by gains for individual reasons by constituents such as Ocado, Standard a

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19 Mar 2019 10:54

WINNERS & LOSERS SUMMARY: Ferrexpo Down As It Finds More Discrepancies

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Tuesday.----------FTSE 100 - up 4.3%. The Chilean copper miner's were

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19 Mar 2019 08:48

LONDON MARKET OPEN: Antofagasta, Ocado And Hikma Send FTSE 100 Higher

LONDON (Alliance News) - Stock prices in London opened mixed on Tuesday, with Antofagasta, Ocado and Hikma Pharmaceuticals driving gains in the a

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19 Mar 2019 08:30

TOP NEWS: Antofagasta Cuts Payout 14% As Cost Send 2018 Earnings Lower

LONDON (Alliance News) - Chilean copper miner Antofagasta PLC on Tuesday said cost increases hurt its annual earnings, prompting a dividend cut.Pretax profit for 2018 was USD1.25 billion, a

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19 Mar 2019 07:43

LONDON MARKET PRE-OPEN: Antofagasta Earnings Slip; Ocado Revenue Rises

LONDON (Alliance News) - Stock prices in London are set for a subdued start on Tuesday, following Asian equity markets lower, as the US Federal Reserve starts its two-day monetary policy meeting a

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12 Mar 2019 16:58

LONDON MARKET CLOSE: Pound Slides Ahead Of May's Likely Brexit Defeat

LONDON (Alliance News) - London stocks ended higher on Tuesday amid a volatile session for the pound, which was trading below the USD1.31 mark ahead of UK Prime Minister Theresa May's likely a

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12 Mar 2019 16:10

UK Earnings, Trading Statements Calendar - Next 7 Days

Wednesday 13 March PrudentialFull Year Results (at 0830 GMT)Wm Morrison SupermarketsFull

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12 Mar 2019 12:03

LONDON MARKET MIDDAY: Pound Falls Back Near USD1.30 Before Brexit Vote

LONDON (Alliance News) - The FTSE 100 was on course for a second session of gains on Tuesday as the pound had a volatile day tracking the latest Brexit updates, sinking sharply after the UK's

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11 Mar 2019 11:55

LONDON MARKET MIDDAY: Stocks In Green; Merger Activity Lifts FTSE 250

LONDON (Alliance News) - London stocks made a strong start to the week, with a softer pound supporting the FTSE 100, while the mid-cap FTSE 250 was lifted by news of a potential tie-up between and

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8 Mar 2019 17:16

LONDON MARKET CLOSE: Dismal US Job Growth Adds To Growth Concerns

LONDON (Alliance News) - Stocks in London ended lower on Friday after disappointing US nonfarm payrolls numbers added to the gloomy picture over the health of the global economy.Financial markets

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8 Mar 2019 12:00

LONDON MARKET MIDDAY: Stocks Down On ECB Gloom And Weak China Data

LONDON (Alliance News) - Stock prices in London were lower on Friday, still reeling after the European Central Bank slashed its economic outlook for the eurozone on Thursday.On the London Stock in

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6 Mar 2019 12:00

LONDON MARKET MIDDAY: Tobacco, Miners Keep FTSE 100 On Winning Streak

LONDON (Alliance News) - London's FTSE 100 index was outperforming European counterparts again on Wednesday amid gains for tobacco stocks and miners. The FTSE 100 index was 13.45 points or at

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25 Feb 2019 08:50

LONDON MARKET OPEN: Miners Boost FTSE 100, As Centamin Drags Down 250

LONDON (Alliance News) - London stock prices were mixed on Monday as positive news about a potential US-China deal were offset by some disappointing UK company updates.The FTSE 100 was 7.58 points

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