Utilico Insights - Jacqueline Broers assesses why Vietnam could be the darling of Asia for investors. Watch the full video here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksGlencore Share News (GLEN)

Share Price Information for Glencore (GLEN)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 435.30
Bid: 436.00
Ask: 436.15
Change: 0.00 (0.00%)
Spread: 0.15 (0.034%)
Open: 0.00
High: 0.00
Low: 0.00
Prev. Close: 435.30
GLEN Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

LONDON MARKET OPEN: FTSE 100 rebounds ahead of US inflation print

Wed, 12th May 2021 08:52

(Alliance News) - London stocks staged a partial rebound early Wednesday from big losses the day before, helped by Spirax-Sarco, Diageo and miners.

However, caution lingers ahead of US inflation numbers due later on Wednesday.

The FTSE 100 index was up 40.24 points, or 0.6%, at 6,988.23 early Wednesday, having closed down 175.69 points, or 2.5%, on Tuesday.

The mid-cap FTSE 250 index was up 94.64 points, or 0.4%, at 22,261.78. The AIM All-Share index was up 0.2% at 1,238.48.

The Cboe UK 100 index was up 0.7% at 697.07. The Cboe 250 was up 0.4% at 20,032.89, and the Cboe Small Companies up 0.4% at 15,030.75.

In mainland Europe, the CAC 40 in Paris was down 0.1%, while the DAX 30 in Frankfurt edged up 0.1% early Wednesday.

At the top of the FTSE 100 in opening trade was Spirax-Sarco, up 2.7% after the firm said organic sales growth in the four months to the end of April was ahead of global industrial production.

"The group operating profit margin in the first four months of the year was higher than previously anticipated for the full year 2021, supported by the strong sales growth and higher operational gearing," the thermal energy management and niche pumping specialist said.

Diageo was in second place, rising 2.4%, as it restarted its return-of-capital programme to shareholders following a strong trading performance.

The company said its performance in North America has remained "particularly strong", while Europe has benefited from robust off-trade sales. The brewer and distiller said it now expects organic operating profit growth to be at least 14% in the current financial year, slightly ahead of organic net sales growth.

As a result of its trading performance, Diageo said it will restart the return-of-capital programme of up to GBP4.5 billion to shareholders that was first announced back in July 2019. It is initiating the second phase of the programme of up to GBP1.0 billion to be completed by the end of the 2022 financial year. As such, it has entered into an agreement with UBS to buyback shares worth up to GBP500 million until November 12.

"The board's decision to resume our return-of-capital programme at this time reflects Diageo's improved performance in the first half of fiscal 21, the continued strong recovery of our business, and our expectation that we will be back within the top end of our target leverage ratio of 2.5-3.0x at 30 June 2022, post completion of the second phase of the return of capital programme," said Chief Executive Ivan Menezes.

Miners Glencore, Anglo American and Rio Tinto were up 2.3%, 1.7% and 1.4% respectively early Wednesday, in a week that has seen prices of industrial metals such as copper and iron ore surge.

Gold was quoted at USD1,835.05 an ounce early Wednesday, up on USD1,829.77 on Tuesday. Brent oil was trading at USD68.95 a barrel, up from USD68.08 late Tuesday.

Surging to the top of the FTSE 250 was UDG Healthcare, shares jumping 23% to 1,032 pence after agreeing to be taken private.

Nenelite, an affiliate of private equity manager Clayton, Dubilier & Rice, has agreed to buy UDG for 1,023 pence per share, representing a premium of 22% to Tuesday's closing price of 842.0p. This values UDG's share capital at GBP2.61 billion and implies an enterprise value of GBP2.78 billion.

"While the UDG board remains confident in the long-term fundamentals of the group, we believe that this is an attractive offer for UDG shareholders, which secures the delivery of future value for shareholders in cash today," commented UDG Chair Shane Cooke.

UDG also reported first-half results to March 31. Pretax profit rose by 5% to USD65.1 million from USD62.3 million a year before, despite a 5% revenue decline to USD661.4 million from USD693.6 million.

With market jitters over inflation weighing on markets, focus will be on Wednesday's US consumer price index reading at 1330 BST.

The US annual inflation rate is expected to tick up sharply to 3.6% in April, according to FXStreet, from 2.6% in March. However, the month-on-month rate is set to ease to 0.2% from 0.6%.

"If today's number matches the [year-on-year inflation] forecast, we could see the markets selling off further. The fact the Federal Reserve continues to think that the current increase in the inflation is nothing but transitory will continue to bother traders," said Naeem Aslam, chief market analyst at AvaTrade.

Germany's annual inflation rate ticked up for the fourth month in a row to stand at 2.0% in April, Destatis said on Wednesday. This was in line with the flash result released a fortnight ago, as was April's month-on-month rise of 0.7%.

The annual rate ticked up from 1.7% in March, and now stands at more than double the 1.0% price growth reported for January. The country exited 2020 in deflationary territory.

The dollar was stronger ahead of the US inflation figures.

Sterling was quoted at USD1.4144 early Wednesday, soft on USD1.4150 at the London equities close on Tuesday, after figures showed the UK economy shrank at the start of 2021.

Gross domestic product is estimated to have contracted 1.5% in the quarter to March on a sequential basis, reversing 1.3% growth in the final quarter of 2020. However, Wednesday's figure was slightly ahead of consensus, according to FXStreet, of a 1.6% fall.

"Compared with the same quarter a year ago, when the initial economic impacts of the coronavirus pandemic began to show, the UK economy fell by 6.1%," the Office for National Statistics said.

The UK economy is now 8.7% smaller than its pre-pandemic size, the statistical body added.

Positively, though, the UK economy is estimated to have grown 2.1% in March, the fastest monthly pace since August 2020 as lockdown measures started to ease.

The euro traded at USD1.2141 early Wednesday, falling from USD1.2165 late Tuesday. Against the yen, the dollar rose to JPY108.74 from JPY108.50.

Before US inflation, the economic events calendar on Wednesday eurozone industrial production at 1000 BST.

By Lucy Heming; lucyheming@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

More News
27 Mar 2024 16:35

Sustainable Finance Newsletter - Under pressure, Vanguard suggests new stewardship limits

March 27 (Reuters) - A pillar of capitalism shook off a challenge last May when the U.S. Federal Energy Regulatory Commission allowed Vanguard Group to keep owning big stakes in the country's power utilities. But the body known as FERC has since begun a review of its policy toward investment company ownership of utilities. Since Vanguard and rivals often own big stakes of major electric companies, new ownership limits could force huge stock divestitures.

Read more
25 Mar 2024 10:19

LONDON BROKER RATINGS: SocGen raises Sage; Numis cuts Virgin Money

(Alliance News) - The following London-listed shares received analyst recommendations Monday morning and Friday:

Read more
22 Mar 2024 07:40

LONDON BRIEFING: UK retail sales slightly better than expected

(Alliance News) - Stocks in London are called to open slightly lower on Friday, as investors pause for breath after a busy week of interest rate decisions.

Read more
22 Mar 2024 06:49

IN BRIEF: Glencore Non-Executive Director Peter Coates to retire

Glencore PLC - Barr, Switzerland based multinational commodity trading and mining company - Says its long-serving Non-Executive Director Peter Coates will not seek re-election at an annual general meeting on May 29, and will retire from the board on that date. Coates joined the board on its initial public offering in 2011. "Peter's retirement marks the end of two long eras. First, it ends a career in mining that goes back more than half a century. Second, it completes a thirty-year association with Glencore, which started in 1994 when he was appointed to lead Glencore's then embryonic coal industrial," Chair Kalidas Madhavpeddi says.

Read more
20 Mar 2024 09:54

Glencore "on track" to meet new Climate Action Transition Plan targets

(Alliance News) - Glencore PLC on Wednesday released its 2024-2026 Climate Action Transition Plan, outlining its intention to achieve net zero by 2050.

Read more
15 Mar 2024 12:11

LONDON MARKET MIDDAY: FTSE 100 underperforms despite mining, oil boost

(Alliance News) - London's FTSE 100 overcame a muted morning to head into Friday afternoon on the up, though its progress was shy of the loftier gains seen by mainland European peers, as investors showed some signs of trepidation ahead of a pair of interest rate decisions next week.

Read more
15 Mar 2024 09:38

LONDON BROKER RATINGS: Jefferies raises Mondi; UBS likes Admiral

(Alliance News) - The following London-listed shares received analyst recommendations Friday morning:

Read more
15 Mar 2024 08:39

RBC hails cash flow potential at Glencore, keeps at 'outperform'

(Sharecast News) - RBC Capital Markets has reiterated its 'outperform' rating on Glencore following the mining and commodities giant's annual results last month, saying its cash generation potential remains "solid".

Read more
14 Mar 2024 10:24

PRESS: Hedge fund urges Glencore to move listing to Sydney - FT

(Alliance News) - Glencore PLC has been asked by a hedge fund to move its primary listing from London to Sydney, the Financial Times reported on Thursday.

Read more
13 Mar 2024 17:05

REPEAT: LONDON MARKET CLOSE: FTSE 100 in green as UK economy rebounds

(Correcting error in article lede.)

Read more
13 Mar 2024 16:54

LONDON MARKET CLOSE: FTSE 100 in green as UK economy rebounds

(Alliance News) - can you change lede to: European stocks closed mostly higher on Wednesday, with the FTSE 100 driven higher by hopes that the UK recession is already over.

Read more
13 Mar 2024 15:00

London close: Stocks mixed as UK economy returns to growth

(Sharecast News) - London markets finished with a mixed performance on Wednesday, following a surge on Tuesday, with investors buoyed by news of the UK economy's return to growth in January.

Read more
13 Mar 2024 09:25

LONDON BROKER RATINGS: JPMorgan raises Flutter and cuts Entain

(Alliance News) - The following London-listed shares received analyst recommendations Wednesday morning and Tuesday:

Read more
11 Mar 2024 14:48

London close: Stocks mixed as investors look to US inflation data

(Sharecast News) - London markets closed in a mixed state on Monday, reflecting a broader trend of cautious trading after a primarily weaker session in Asian markets overnight.

Read more
11 Mar 2024 08:48

LONDON MARKET OPEN: European stocks lower ahead of US inflation data

(Alliance News) - Stock prices in London opened a touch lower on Monday, with miners in the red despite some promising inflation data out of China, as eyes turn to Tuesday's consumer price index reading from the US.

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.