CYBG Share News (CYBG)

LONDON (Alliance News) - Stock prices in London are seen opening slightly higher on Tuesday over optimism that upcoming talks between the US and China will help resolve their trade dispute.IG futures indicate the FTSE 100 index is to open 16.79 points higher at 7,145.90. The blue chip index closed 57.93 points higher, or 0.8%, at 7,129.11 Monday. In early UK company news, contracts-for-difference trading provider Plus500 warned of lower earnings in 2019 after reporting stellar 2018 results, while roadside assistance provider AA expects to report annual results in line with expectations. Negotiators from the the US and China are meeting this week in Beijing, with White House adviser Kellyanne Conway saying President Donald Trump wants to meet Chinese President Xi Jinping very soon. Two days of high-level talks starting Thursday will involve US Trade Representative Robert Lighthizer, Treasury Secretary Steven Mnuchin and Chinese Vice Premier Liu He.The Japanese Nikkei 225 index ended up 2.6%. Financial markets in Japan reopened after being closed for the National Foundation Day holiday on Monday. In China, the Shanghai Composite closed up 0.7%, while the Hang Seng index in Hong Kong is flat."This cautious optimism appears to be permeating into Asia markets, with the Nikkei rising sharply as Japanese investors return from their long weekend, however the mood remains tentative, with markets in Europe set to open slightly higher," said CMC Markets chief market analyst Michael Hewson.In London, Plus500 said it delivered annual results with record numbers and performance come in ahead of original expectations.For 2018, revenue rose 65% to USD720.4 million from USD437.2 million last year and pretax profit of USD503 million almost doubled from USD253.4 million the year before. Plus500 said it made a positive operational start to 2019 in terms of customer numbers and trading volumes.However, Plus500 said 2019 revenue is expected to be lower than current market expectations following its latest assessment of European Securities & Markets Authority regulatory measures. The company also lowered its profit guidance due to the lower revenue and planned higher marketing spend, saying 2019 profit will be "materially lower than current market expectations".The company declared a total dividend of USD1.9977 per share, up 18% from USD1.6867 in 2017."Following our latest assessment of the ESMA regulatory measures of August 2018, 2019 revenues are now expected to be lower than current market expectations. However, we have seen positive operational metrics since the start of this year, with new and active customer numbers and trading volumes currently above the levels seen at the end of 2018. The longer-term impact of the ESMA measures is being partially mitigated by increased deposit levels across this customer segment and falling churn rates," the company said. In addition, Plus500 said it is prepared for "various scenarios" regarding the UK's departure from the European Union due to its separate EU licence in Cyprus, through which it can operate in other European jurisdictions.CYBG said it has entered into a joint venture with Salary Finance to add an "innovative channel" to its personal lending business. Salary Finance is a FinTech platform connecting the payroll of employers to provide financial benefits to employees.CYBG's Clydesdale Bank unit and Salary Finance are to each acquire 50% stake in the joint venture for GBP500,000 each. Clydesdale Bank is to initially commit GBP100 million of debt funding to the joint venture. AA said it expects to report annual results for the financial year ending January 31, in line with previous guidance.The company expects financial 2019 earnings before interest, taxes, depreciation and amortisation to be "not less" than GBP340 million, in line with the previously guidance range of GBP335 million to GBP345 million. It also expects total capital expenditure spend to be broadly in line with guidance of GBP105 million. AA reported a solid operational performance across its Roadside and Insurance units and the delivery of the strategic plan remains on track."Our Insurance business, comprising the broker, in-house underwriter and our financial services business, continues to perform in line with our expectations. Our motor policy book, in particular, demonstrated strong growth through our new never member channel, which we commenced in May 2018," the company said.Holiday operator TUI Group reported a significantly widened first-quarter loss, having under a week ago warned on full-year earnings.The Anglo-German travel firm's pretax loss for the three months to December stood at EUR135.0 million, versus EUR84.3 million loss the same period a year prior.Revenue did increase, however, by 4.4% year-on-year to EUR3.70 billion.This performance, TUI said, met expectations after a "record" previous financial year. First quarter revenue, and volumes, have grown, but margins have slipped."The main reasons for the decline in earnings included the unusually long and hot summer in Northern Europe," said TUI. Elsewhere Goldman Sachs cut miner BHP to Neutral from Buy and raised peer Rio Tinto to Buy from Neutral. The pound was flat, quoted at USD1.2865 against USD1.2864 at the London equities close Monday.In UK political news, a cabinet minister has insisted there is "no chance" of Theresa May accepting Labour's vision for leaving the EU, despite speculation she could soften her stance on customs union membership.As May prepares to update MPs on the latest developments in the Brexit negotiations on Tuesday afternoon - a day earlier than expected - Andrea Leadsom dismissed the prospect of May adopting Jeremy Corbyn's "world view".In an exclusive interview with the Press Association, the Commons leader insisted she would stay in the Cabinet to help May deliver Brexit and denied that the PM was softening her stance over a customs union in a letter to Corbyn.May's reply sparked concern among Conservative Brexiteers that the PM could concede too much ground to Labour in an attempt to win cross-party backing for a deal with Brussels.In the US on Monday, Wall Street ended mixed, with the Dow Jones Industrial Average down 0.2%, S&P 500 and Nasdaq Composite both ending 0.1% lower.The economic events calendar has South Africa unemployment data at 0930 GMT. Bank of England Governor Mark Carney will give a speech relating to "the latest developments in the global economy and risks to the outlook" in London at 1300 GMT.