Anglo American Share News (AAL)

(Alliance News) - Stocks in London ended mixed on Wednesday, with heavyweight miners weighing on the FTSE 100, while the pound gained as the UK marked a new era in politics as Boris Johnson bbecame the country's new prime minister. The FTSE 100 finished down 55.40 points, or 0.7%, at 7,501.46.The mid-cap FTSE 250 index ended up 35.44 points, or 0.2%, at 19,787.78, while the AIM All-Share closed up 5.31 points, or 0.6% at 925.87.

In Paris, the CAC 40 ended down 0.2%, while the DAX 30 in Frankfurt ended up 0.3%.The Cboe UK 100 ended down 0.8% at 12,728.61, the Cboe UK 250 closed up 0.3% at 17,694.20 and the Cboe Small Companies ended down 0.1% at 11,059.14.City Index analyst Fiona Cincotta said: "The FTSE started the day on a stronger note in the wake of Boris Johnson's victory Tuesday but turned sour once the US markets opened under the cloud of an anti-monopoly investigation of the big FAANG tech stocks. "In London, miners were the weakest link with Rio Tinto, Anglo American and BHP leading the way lower after iron ore prices dropped sharply overnight. Iron ore has been trending higher since February when major Brazilian producer Vale had to stop part of its production because of a broken dam, but then declined sharply yesterday after the company said it would restart output from its processing facility."On the London Stock Exchange, ITV ended the best blue chip performer, up 6.6% after the broadcaster said its advertising revenue fall in the first half was less steep than expected due to strong viewership numbers for the hit Love Island dating show. Advertising revenue slipped 4.6% to GBP849 million from GBP890 million a year ago, while non-advertising revenue was 6.1% lower at GBP900 million. Back in May, the company guided for a 6% decline in advertising revenue. ITV Studios revenue fell 5.6% to GBP758 million, while Broadcast & Online revenue decreased 5.2% to GBP991 million. "Online revenue grew strongly up 18% despite tough comparatives, with Love Island providing a strong finish to the half. This was reflected in better than expected total advertising revenue," said Chief Executive Carolyn McCall.Informa closed up 6.5% after the publishing and events company reported sharp growth in interim profit and revenue following the completion of its Accelerated Integration Plan, which combined the portfolio of UBM with the company's own portfolio. In the six months to June 30, Informa recorded GBP232.8 million pretax profit, nearly double the GBP118.7 million reported the year before. Informa's revenue jumped 47% in the first half to GBP1.41 billion from GBP957.1 million the year before.At the other end of the large cap index, miners ended among the worst performers, following a drop in iron ore prices after Brazilian miner Vale won approval to resume some processing operations.Vale said the resumption at the Vargem Grande complex should add 5 million tonnes to annual production, and also reaffirmed its 2019 guidance for iron ore and pellets sales, easing concerns over supplies of the steel making component.Rio Tinto closed down 4.6%, BHP down 4.0% and Anglo American, down 3.3%. Compounding their woes, the mining triumvirate were all downgraded to Hold from Buy by Liberum. In the FTSE 250, Sports Direct International ended the best performer, up 11% after the sportswear retailer confirmed it will release its annual results later this week.Sports Direct last week said that increased regulatory scrutiny and the complex integration of House of Fraser, alongside uncertainty over the troubled department store's future prospects, were the reasons for the delay.Mike Ashley's Sports Direct rescued the store chain in August, buying it out of administration for GBP90.0 million in a pre-pack deal."The accounts and audit are at an advanced stage and the results are expected to be within the guidance issued by the company on 13 December," the retailer said in a short statement. It intends to release its annual results on Friday. Languishing at the foot of the midcap index, Aston Martin Lagonda closed down 26% at 766.80p after the sports car maker issued a profit warning on the back of weak global demand and Brexit.The company listed on the London Stock Exchange with much fanfare in October 2018, amid concerns about its high valuation and how the company would generate growth against a tough market backdrop and in the milieu of Brexit. Investors fears came to pass, as Aston Martin on Wednesday cut its annual guidance due to a worsening trading environment. The company blamed the cut to weak markets in the UK and Europe and economic uncertainty. Aston Martin now sees 2019 wholesale sales at 6,300 to 6,500 vehicles, with the company describing this downgrade as "disappointing". Wholesale volumes in 2018 were 6,441, and it had previously guided for 2019 sales of 7,100 vehicles to 7,300 vehicles.The stock is down 60% since its IPO in October. The pound was quoted at USD1.2488 at the London equities close, up from USD1.2438 at the close Tuesday, as the UK ushered in a new prime minister after Theresa May tendered her resignation.Johnson assumed the mantle of UK prime minister on Wednesday, promising to pull his country out of the European Union on October 31 by any means necessary.Johnson's rise to take the top job in UK politics marks the culmination of a lifelong ambition for the former London mayor, famous for his bluster and trademark jauntiness, but he now faces an immense challenge ahead.Johnson has promised to deliver Brexit by the end of Ocrtober, but faces opposition in Brussels and has only a wafer-thin majority in parliament.UBS Chief Investment Officer Mark Haefele said: "Even if Prime Minister Johnson is willing to countenance a no-deal exit, he faces various barriers. The Conservative Party currently lacks a majority in parliament to push through its preferred option. The party itself is not united, with several leading lawmakers - such as Dominic Grieve, the former attorney general - opposed to a no-deal Brexit. Grieve has said he would be willing to vote against the government in a vote of no-confidence if Johnson pushes for a no-deal Brexit. Other Conservative MPs have also suggested as much, and more are likely to follow. "In short, the prime minister is changing, but the composition of the House of Commons and its speaker, John Bercow, are not. The majority of British MPs have, and continue to, express their opposition to leaving the EU without a deal. Moreover, the speaker of the Commons has a shown a willingness to be flexible with parliamentary procedure in order to let MPs have their say on this topic. Thus, notwithstanding Johnson's claimed desire to leave the EU on the 31 October 'deal or no-deal', we believe that MPs with the help of the speaker will prevent him from doing so. Should Johnson attempt to pursue a 'no deal', we believe that this would via one route or another, lead to a general election."Meanwhile, one of former PM May's final acts was to receive the resignations of Philip Hammond, David Gauke and Rory Stewart from their Cabinet roles.However, uncertainty surrounds the future of Johnson's defeated leadership rival Jeremy Hunt after he reportedly turned down a demotion from foreign secretary to defence secretary.The euro stood at USD1.1141 at the European equities close, slightly lower than USD1.1155 late Tuesday, following disappointing PMI readings from the eurozone. Eurozone economic growth edged lower in July as a deepening manufacturing downturn was accompanied by a slight moderation in service sector growth, a report from IHS Markit revealed on Wednesday.Flash Eurozone PMI composite output fell to 51.5 in July from 52.2 in June, hitting a 3-month low.Furthermore, Services PMI fell to 53.3 in July from 53.6 in June, but the biggest declines were recorded for manufacturing PMI, which fell to 46.4 from 47.6. Manufacturing output PMI fell to 47.0 from 48.5 in June.Meanwhile, the European Central Bank Governing Council meets on Wednesday in Frankfurt, announcing its latest policy decision at 1245 BST on Thursday. This will be followed by a press conference with ECB President Mario Draghi at 1330 BST on Thursday.Draghi on Thursday is expected to extend the message given in Portugal last month, when the central bank chief emphasised that the ECB still has room to cut interest rates while also implementing measures to cushion the side effects from low interest rates.Berenberg acknowledged that there was a chance the ECB "does more than just talk" on Thursday, with the probability of a summer rate cut 33%. However, the German bank thinks the ECB will wait for the autumn to start lowering rates.Stocks in New York were mixed at the London equities close amid weak economic data and mixed corporate results.The DJIA was down 0.3%, the S&P 500 index up 0.1% and the Nasdaq Composite up 0.3%.Caterpillar was down 4.5% in New York after reporting second-quarter earnings that missed analyst expectations and signaling full-year profits would be on the low end of its range, citing higher costs and weak activity in China and some other markets.Boeing Co sunk to a loss in the second quarter following a USD4.9 billion charge for grounding of 737 MAX aircraft.In the three months to June 30, the aircraft manufacturer recorded a net loss of USD2.94 billion compared to a net income of USD2.20 the year before.Boeing's revenue declined in the quarter 35% to USD15.75 billion from USD24.26 billion the year before.Last week, the embattled aerospace manufacturer said the grounding of 737 MAX will lead to a USD5.6 billion decline in quarterly revenue. Boeing's 737 MAX aircraft fleet has been grounded since mid-March by aviation regulators following two fatal crashes. The stock was down 2.0% in New York. In addition, technology stocks were under the spotlight after the Justice Department announced it would begin an antitrust review of major online platforms to determine if they have "stifled" innovation or reduced competition.Amazon fell 0.7%, Google parent Alphabet dropped 1.1% and Facebook 1.3%, while Apple was flat.Ahead in the US earnings calendar, social media platform Facebook and carmaker Ford Motor Co will report earnings after the market close in New York. Meanwhile, US Manufacturing PMI slumped to lowest level since 2009, IHS Markit said. According to the IHS Markit's Flash US PMI report, business activity in the manufacturing sector stagnated in July with the Manufacturing PMI dropping to 50 in July from 50.6 in June. The score was level with the 50.0 mark that separates expansion from contraction. Brent oil was quoted at USD a barrel at the London equities close from USD63.14 at the close Tuesday. Gold was quoted at USD an ounce at the London equities close against USD1,421.60 late Tuesday.The economic events calendar on Thursday has South Africa producer prices at 1030 BST and US durable goods data at 1330 BST. The UK corporate calendar on Thursday has annual results from distiller Diageo, interim results from information and analytics provider RELX, drugmaker AstraZeneca, miner Anglo American and consumer goods giant Unilever. There are also third-quarter earnings from accounting software provider Sage Group and contract caterer Compass Group. London Close is available to subscribers as an email newsletter. Contact info@alliancenews.com