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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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LONDON MARKET OPEN: Stocks Higher As Investors Await Brexit Vote

LONDON (Alliance News) - Stocks in London opened higher on Tuesday after China's latest economic stimulus measure provided investors with some relief.The main event of the day sees UK voting a

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LONDON MARKET CLOSE: China Trade Figures And Firm Pound Weigh On FTSE

LONDON (Alliance News) - London stocks started the week on a downbeat note, with miners among the worst performers in the FTSE 100 on Monday after worrying trade data from China.Also hindering the

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LONDON MARKET MIDDAY: FTSE Falls As China Trade Data Sets Back Miners

LONDON (Alliance News) - Soft trade data from China was weighing on London stock prices midday Monday, with commodity-exposed mining stocks bearing the brunt of the selling. Meanwhile, the pound a

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LONDON MARKET MIDDAY: Hopes Of US-China Trade Resolution Sparks Rally

LONDON (Alliance News) - London stocks racked up gains on Wednesday as investors took positive cues from US-China trade talks extending into a third day. Miners were benefiting from the prospect a

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Fresnillo Hires Ex-State Mining Executive Sougarret Larroquete As COO

LONDON (Alliance News) - Mexican miner Fresnillo PLC on Wednesday announced the appointment of a former executive of Chile's national mining body as its new operations chief.Andre is of

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4 Jan 2019 17:04

LONDON MARKET CLOSE: Stocks Surge As Chinese Data Boosts Miners

LONDON (Alliance News) - Stocks in London ended the day firmly in the green on Friday, with sentiment buoyed by US-China trade hopes as well as better than expected US employment data. On the have

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4 Jan 2019 12:09

LONDON MARKET MIDDAY: Miners Keep FTSE Higher Ahead Of US Payrolls

LONDON (Alliance News) - Stocks in London remained higher midday Friday buoyed by miners, confirmed US-China trade talks and positive Chinese economic data.The FTSE 100 index was up 92.54 points,

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4 Jan 2019 10:31

WINNERS & LOSERS SUMMARY: Gear4Music Drops An Octave On Profit Warning

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Friday.----------FTSE 100 - up 3.9%, Glencore, up 3.2%,

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3 Jan 2019 17:10

LONDON MARKET CLOSE: Apple's China Warning Sends Stocks Lower

LONDON (Alliance News) - Stocks in London finished broadly lower on Thursday, as strong performance from retailers failed to offset the effects of Apple's revenue warning. "European are a

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2 Jan 2019 16:58

LONDON MARKET CLOSE: FTSE Reverses Losses In Rocky First 2019 Session

LONDON (Alliance News) - The FTSE 100 managed to end in the green on Wednesday after it staged a rebound from heavy losses suffered in the new year opening trade.Dragging on the blue-chip index of

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2 Jan 2019 12:01

LONDON MARKET MIDDAY: Weak Start To 2019 As Miners Slump On China Data

LONDON (Alliance News) - The FTSE 100 got off to a lacklustre start to 2019 on Wednesday, with miners among the worst blue-chip fallers following further disappointing economic data from China. UK

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2 Jan 2019 10:44

WINNERS & LOSERS SUMMARY: Ophir Energy Spikes 33% On Indonesian Offer

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Wednesday.----------FTSE 100 - LOSERS----------Anglo as

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2 Jan 2019 08:55

LONDON MARKET OPEN: Miners Drag FTSE Lower Following Weak Chinese Data

LONDON (Alliance News) - Stocks in London started the first trading day of 2019 in the red, as disappointing Chinese manufacturing data weighed on the market's big miners.Ophir was

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10 Dec 2018 16:59

LONDON MARKET CLOSE: Brexit Vote Uncertainty Hits Pound, Housebuilders

LONDON (Alliance News) - Sterling sank on Monday as Brexit uncertainty was prolonged with the delay of a crunch House of Commons vote on Prime Minister Theresa May's controversial withdrawal a

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6 Dec 2018 17:16

LONDON MARKET CLOSE: Huawei CFO Arrest Sparks Stock Market Sell Off

LONDON (Alliance News) - Stocks in London ended sharply lower on Thursday, with the FTSE 100 slumping to a two-year low, amid heightened trade fears and Brexit concerns. Stocks across the globe in

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