LONDON MARKET PRE-OPEN: Foxtons Swings To Loss And Skips Payout

LONDON (Alliance News) - Stocks in London are seen opening in the red on Monday, tracking Asian markets lower in the wake of tech-stock selling in the US on Friday, as GVC Holdings confirmed reports of a tie-up in the US and Foxtons swung to a loss. IG futures indicate the FTSE 100 index is to open 42.71 points lower at 7,658.60. The blue chip index closed up 0.5% at 7,701.31 on Friday.In corporate news, gaming company blue-chip GVC Holdings announced a joint venture with US casino operator MGM Resorts in a move to create a "leading sports betting and interactive gaming platform". GVC said the US Supreme Court's recent decision to allow sports betting will give new access to 15 US states and 90 million users."MGM Resorts is a world leading entertainment business and the most trusted name in gaming, with the highest quality brands and management, and strong sports connectivity. This combined with GVC's technology and experience in successfully building online gaming businesses across multiple markets presents a truly exciting opportunity for US players and our respective shareholders. To be able to team up with a partner with such pedigree and knowledge, particularly in the US, is a real opportunity for GVC," Chief Executive Kenneth Alexander said. Midcap pork products producer Cranswick said trading in the first quarter of its financial year has been in line with management's expectations.For the quarter ending June 30, revenue was 3.2% ahead of the same period last year, with positive contributions from each of the the company's product categories.During the quarter, Cranswick said it commissioned its new, purpose-built continental products factory in Bury, Greater Manchester. The facility, which consolidates production from its two original continental products sites, provides substantial additional capacity to support future growth, it said."With experienced management at all levels of the group, a strong range of products, a well-invested asset base and a robust financial position, the outlook for the current financial year remains unchanged, and the board is confident in the continued long-term success and development of the business," Cranswick said.Estate agent Foxtons Group said a weak London sales market hit its financial performance in the first half of 2018, offsetting a strong lettings business.For the half year ending June 30, the company swung to a pretax loss of GBP2.5 million from GBP3.8 million profit last year. Revenue fell 10% to GBP53.0 million from GBP58.5 million the year before. Within this, sales revenue was down 23% to GBP17.2 million.Foxtons said the property sales market in London is undergoing a "sustained period of very low activity levels with longer and less visible transaction outcomes".Foxtons also skipped its interim dividend, having paid out 0.43 pence the year before."London though remains an important global city. Our franchise is well known, and we remain debt free. Our ability continuously to improve quality, adapt our business models to underlying shifts - such as the expansion of digital capability and institutional investment in the private rented sector - and keep a tight focus on operating costs puts us in a strong position to benefit both from the momentum in our lettings business and to capitalise on increased sales activity as it returns. We remain confident of our long term prospects," said CEO Nic Budden. Lender CYBG said trading in the third quarter of its financial year has been in line with the company's expectations and its all-share offer for Virgin Money continues to progress as planned.For the nine months to June 30, CYBG reported mortgage growth of 3.8% to GBP24.20 billion and expects annual mortgage growth to be at lower end of guidance range - as previously indicated. CYBG's CET1 ratio came in at 11.4%, with 15 basis points of CET1 capital generation in the third quarter - in line with the company's expectations.The company also said its takeover of peer Virgin Money continues to progress in line with expectations and is expected to complete in the fourth quarter of 2018."The political situation in the UK remains highly uncertain and the potential impact on the UK economy remains unclear. However, we remain focused on our strategy to deliver the group's 2018 and medium-term targets," the company said. The boss of British Airways-owner International Consolidated Airlines Group has said he is "optimistic" over a legal challenge to end crippling strikes, but warned over long-term disruptions for fliers if it does not succeed.IAG Chief Executive Willie Walsh told the Press Association that France's air traffic control strikes risk damaging passenger confidence and bookings if they do not end soon.In the US on Friday, Wall Street ended lower, with the Dow Jones Industrial Average down 0.3%, S&P 500 down 0.7% Nasdaq Composite down 1.5%.Stocks closed lower on Friday, partly reflecting a negative reaction to earnings news from companies such as Twitter, Intel and Exxon Mobil. Traders largely shrugged off a report from the Commerce Department showing a significant acceleration in the pace of US economic growth in the second quarter.Elsewhere, US Treasury Secretary Steven Mnuchin said Sunday he believes the US can sustain economic growth of at least 3% for the next several years."We can only project a couple of years in the future, but I think we're well on this path for several years," Mnuchin said on Fox News on Sunday. "I think we definitely are in a period of 4 or 5 years of sustained 3% growth, at least."Mnuchin's assessment comes two days after government data showed the US economy grew sharply in the second quarter, expanding at a rate of 4.1%.The Japanese Nikkei 225 index closed down 0.7%. In China, the Shanghai Composite is down 0.5%, while the Hang Seng index in Hong Kong is down 0.9%.