Upstream Share Discussion Threads

[master rsi] 23/1/2025 14:32

DOW

Opening with 43 points

[master rsi] 23/1/2025 14:07

Skillcast projects revenue boost as subscriptions rise

(Alliance News) - Skillcast Group PLC is "delighted with another year of strong performance", its chief executive officer said as it reports a swing to Ebitda profitability.

The London-based digital compliance content and technology provider expects earnings before interest, tax, depreciation and amortisation of around GBP500,000 for 2024, against the prior year's GBP600,000 loss.

"This was all generated in the last 6 months of the year, and follows two years of investment after the company's admission to AIM in late 2021," Skillcast noted.

Skillcast also announced that it expects around GBP13.3 million in revenue, up 18% on-year from GBP11.3 million. It said the growth is completely organic and driven by recurring subscription revenue, which jumped 29% to around GBP11.0 million from GBP8.5 million.

It said annual recurring revenue rose 25% to GBP11.6 million in December 2024 from GBP9.3 million one year prior, thanks to sales of new products and the acquisition of new customers.

"This, combined with a strong pipeline of new business, means that the group is well-positioned to continue to achieve its revenue objectives over the next year," Skillcast said.

[thelung] 23/1/2025 13:27

KEEP AN EYE: GMET

America. Tungsten and Antimony and others. Domestic Supply. Govt Grants. Drill baby drill.

[master rsi] 23/1/2025 13:11

WSBN 0.1815p = Suspended / Wishbone Gold agrees reverse takeover of chair's company

Wishbone Gold PLC - Gibraltar-registered miner with projects in Western Australia - Signs non-binding heads of terms for the acquisition of Evrensel Global Natural Resources Ltd, a Gibraltar-based company owned by Wishbone's new chair, Tony Moore. The deal constitutes a reverse takeover of Wishbone, so its shares were suspended from trading on AIM and AQSE from Thursday. As the target is a private company entirely owned by Moore, it also is a related party transaction. Evrensel was formed only in July of last year and has not yet prepared any financial statements. However, Wishbone says it has "interests and access to transactions" in mineral exploration and trading in North Africa and southern Africa. The expanded company will focus on Africa but retain its Australia assets. It is expected to be 30% owned by Wishbone's existing shareholders and 70% by Moore.

Back in November, Wishbone appointed Moore as chair and said it would look to expand, as the Australia operations alone were not a financially viable basis for a listed company. Moore is an investment banker who in 1983 opened and ran the Hong Kong office for Goldman Sachs Group Inc. Subsequently for Goldman in the UK, Moore worked on the privatisation of the UK electricity industry. Since leaving Goldman in 1991, Moore has been a director of and has chaired a number of public and private companies.

"The potential transaction will be transformational for the company and is a really exciting opportunity," Moore says. "We believe that Evrensel's skills and expertise in the mining, and, resources fields and additional revenue flow and will provide the platform for future growth and opportunity."

[master rsi] 23/1/2025 12:47

MARKET REPORT
LONDON MARKET MIDDAY: Markets remain "in the dark" on Trump tariffs

(Alliance News) - Stock prices in London were mostly lower at midday on Thursday, while across the Channel next week's European Central Bank rate call draws nearer.

"The FTSE 100's strong start to 2025 is starting to lose some momentum," commented AJ Bell's Russ Mould, adding: "In London, retailers were on the back foot with some recent measures of UK consumer confidence suggesting the Budget and the gloomy rhetoric proceeding it continue to dog the British economy."

Earlier on Thursday, the British Retail Consortium reported that consumer expectations over the next three months of their personal financial situation dropped to minus 4 in January, while expectations of the state of the economy worsened to minus 34 and personal spending on retail fell to minus 9.

At midday the FTSE 100 index was down 6.28 points, 0.1%, at 8,538.85. The FTSE 250 was down 34.69 points, 0.2%, at 20,545.61, and the AIM All-Share was up 0.76 points, 0.1%, at 721.76.

The Cboe UK 100 was down 0.1% at 856.04, the Cboe UK 250 was down 0.3% at 17,916.60, and the Cboe Small Companies was up 0.9% at 15,911.20.

Weir Group led the FTSE 100, up 2.1%, while Entain at the other end lost 3.9%.

AB Foods was the second-worst performer, down 2.9%.

It said Primark is now targeting low-single digit sales growth in 2025 compared to previous guidance of a mid-single digit rise, after weak trading in the UK.

If Primark is struggling, you know the UK retail sector is in trouble," Mould commented. "Shoppers remain cautious about spending and reticence over popping a few cheap tops or jumpers in their basket at Primark suggests times are very hard indeed...People might still be visiting its stores but they are being more selective and that's a problem when the business model is built on shifting high volumes of goods."

However, he added: "It's situations like now where Primark's parent company benefits from its conglomerate structure. While the retail arm has been weak, the ingredients arm has come to the rescue and that's why the share price hasn't tanked on the update."

Sainsbury shares were down 0.7%.

The retailer announced it will cut more than 3,000 jobs and plans to shut its remaining in-store cafes as part of a major overhaul.

The headcount reduction represents about 2% of the company's current 148,000-strong workforce.

It will see about 20% of senior management roles cut at the supermarket giant as part of plans to focus on fewer, bigger roles and to simplify its head office and management teams.

Sainsbury's added that it had decided to close its remaining 61 Sainsbury's Cafes, subject to consultation.

The majority of Sainsbury's shoppers do not use the cafes regularly, whereas in-store food halls and concessions have grown in popularity, it said.

On the FTSE 250, Spectris continued to lead with a 10% rise.

It expects adjusted operating profit for 2024 to be above consensus and at the upper end of analyst guidance ranges after a "strong" fourth quarter.

CMC at the other end was down 13%.

In a brief trading update, the online trading platform said it remains on track to deliver full-year net operating income in line with previous guidance.

Among small caps, Quantum Blockchain lost 25%.

The cryptocurrency and blockchain-focused investor said it has raised GBP2.0 million through placing 173.9 million shares at 1.15 pence each.

Empyrean Energy surged up 63%.

The oil and gas developer has completed its acquisition from Apnea Holdings of an option to participate in the Wilson River prospect, a conventional oil exploration project in Australia.

Also, the UK Competition & Markets Authority on Thursday opened investigations into the competitiveness of technology used by California-based technology companies Apple and Alphabet's Google in mobile devices.

CMA Chief Executive Sarah Cardell said "more competitive mobile ecosystems could foster new innovations and new opportunities across a range of services that millions of people use".

It comes after the CMA last week launched an investigation into Google's dominant position in the search engine market and its impacts on consumers and businesses.

In European equities on Thursday, the CAC 40 in Paris was up 0.4%, while the DAX 40 in Frankfurt was up 0.3%.

"We expect the ECB to continue with its gradual pace of easing and cut policy rates by 25bp at the January meeting [next week]," Barclays analyst Mariano Cena commented. "We expect the [governing council] to remain non​-​committal on its policy path while maintaining its easing bias. We continue to expect consecutive cuts in H1 and two quarterly cuts in H2."

The pound was quoted higher at USD1.2323 at midday on Thursday in London, compared to USD1.2317 at the equities close on Wednesday. The euro stood at USD1.0414, slightly down against USD1.0417. Against the yen, the dollar was trading flat at JPY156.49.

Stocks in New York were called mixed. The Dow Jones Industrial Average was called up 0.1%, the S&P 500 index down 0.2%, and the Nasdaq Composite down 0.5%.

"Markets are still in the dark about whether tariffs on a number of parties will be introduced at the beginning of next month or whether they are simply a hardline negotiating tactic," commented Mould. "It's a hint of the sort of uncertainty investors may have to get used to under Trump's presidency."

Brent oil was quoted higher at USD78.68 a barrel at midday in London on Thursday from USD78.31 late Wednesday.

Gold was quoted at USD2,753.21 an ounce, lower against USD2,757.82.

Still to come on Thursday's economic calendar is the eurozone consumer confidence and US initial jobless claims data.

[master rsi] 23/1/2025 12:31

How the UPS are performing during last month

[master rsi] 23/1/2025 12:17

How the UPS are performing today

[master rsi] 23/1/2025 11:29

NEWS

Puma shares plunge on profit target downgrade
(Sharecast News) - Puma shares plunged on Thursday morning, after the German sportswear company reported disappointing earnings and downgraded
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Berenberg slashes target price on Angle
(Sharecast News) - Analysts at Berenberg slashed their target price on liquid biopsy specialist Angle from 70.0p to 40.0p on Thursday
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Robinson expects to post revenue growth as sales begin to recover
(Alliance News) - Robinson PLC on Thursday said it anticipates a more than 10% growth in revenue for 2024, as sales volumes begin to pick up again.
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Zotefoams to beat earnings forecast
(Alliance News) - The following stocks are the leading risers and fallers among London Main Market small-caps on Thursday.

[master rsi] 23/1/2025 10:26

THG 36.74p -2.70p / Fourth quarter trading statement for the period ended 31 December 2024
Successful completion of the Demerger of THG Ingenuity, leaving THG PLC as a global, cash generative, health & wellness consumer brands group

FY 2024 performance in-line with expectations

Gross leverage materially reduced, c. £550m[1] year-end cash and available facilities

Continued confidence in THG Beauty and an improved start to the year in THG Nutrition online and offline channels

Strategic update

· THG Ingenuity Demerger successfully completed, leaving THG PLC as a global, cash generative, health & wellness consumer brands group comprising THG Beauty and THG Nutrition ("RemainCo").

· Transfer to the equity shares (commercial companies) ("ESCC") category of the Official List now concluded (6 January 2025), making the company eligible for index inclusion.

Outlook and guidance

· During the second half we continued to see improving underlying trends within Nutrition particularly in the UK, alongside promotional discipline supporting increased order profitability and margin expansion in Beauty. Coupled with a strong Q4 for Ingenuity, FY 2024 adjusted EBITDA is expected to be in-line with the consensus range excluding discontinued categories.

· RemainCo is expected to deliver mid-single digit revenue growth in FY 2025, given continued confidence in prestige beauty demand across our key markets, and a return to growth in Nutrition, evidenced by a much-improved start to the year across online and offline channels.

· Ahead of the Demerger, FY 2025 adjusted EBITDA assumptions were based upon:

o a leaner, more efficient cost base and improved inventory profile;

o continued execution of the Beauty strategy;

o a gradual reduction from the current historic whey price highs; and

o another strong year for THG Ingenuity, supported by a pipeline underpinning adjusted EBITDA of £40m to £45m.

· Whilst whey price reductions are anticipated to be second half weighted, new global manufacturing volumes of high concentrate whey protein will enter the market through Q1 2025, providing optimism of a more normalised commodity market ahead.

· Depending on the outcome of the recent UK VAT ruling for protein powders, annual adjusted EBITDA upside could be in the region of c. £10m.

· Over the medium term, revenue growth of mid to high-single digit is anticipated, with adjusted EBITDA margins consistent with historical levels (for Beauty and Nutrition), and significantly improved free cash flow.

· Specifically, capital expenditure will reduce to c. £20m pa (FY 2024 pre Demerger guidance: £100m to £110m) and cash lease costs will reduce to c. £22m pa.

· Future cash generation will facilitate a measured reduction in gross and net leverage, with RemainCo targeting continued progression to a neutral net cash / net debt position.....more

[master rsi] 23/1/2025 10:10

BREAKOUT

IQE 13.32p +0.96p

Has gone over the Last Intraday high, after a positive update today

[master rsi] 23/1/2025 09:55

HBR 269.10p (-20.20 / -6.98%) Harbour Energy details production boost, lower costs after Wintershall
(Alliance News) - Harbour Energy PLC on Thursday forecast increased production and an improved cash flow position as it continues to integrate Wintershall Dea GmbH.

The London-based oil and gas company predicts production of 450,000 to 475,000 barrels of oil equivalent per day in 2025, "materially" higher than in 2024, reflecting a full year's contribution from the Wintershall Dea portfolio and broadly stable production in the UK.

In 2024, production averaged 258,000 boepd, up 40% from 186,000 barrels in 2023, in line with guidance.

For 2025, unit operating costs are forecast of USD14 per barrel of oil equivalent, "significantly lower" than USD16.5 per barrel in 2024.

Chief Executive Linda Cook commented: "2024 was a transformational year with the completion of the Wintershall Dea transaction delivering a step change in our scale and geographic diversification, improving our margins, increasing our reserve life and expanding our resource base significantly."

Harbour Energy completed the USD11.2 billion acquisition of Wintershall Dea last September.

The acquisition included Wintershall Dea’s upstream assets in Norway, Germany, Denmark, Argentina, Mexico, Egypt, Libya and Algeria as well as the CO2 capture and storage licences in Europe.

On Thursday, Harbour Energy said the integration of Wintershall Dea is progressing "as planned".

In 2024, Harbour Energy expects "significantly" higher revenue of around USD6.1 billion compared to USD3.7 billion a year prior, driven by increased production.

Earnings before interest, tax, depreciation, amortization and exploration expense are forecast to rise to USD4.1 billion in 2024 from USD2.7 billion.

Pre- and post-tax income are anticipated to be impacted by material non-cash accounting charges largely driven by adverse changes to the UK fiscal regime, the firm added.

Capital expenditure is expected to have increased to USD1.8 billion in 2024 from USD1.0 billion a year prior. A further increase to USD2.4 billion to USD2.6 billion is projected in 2025, reflecting the addition of Wintershall Dea partially offset by "materially" reduced capital investment in the UK and lower exploration and appraisal spend in Indonesia and Mexico.

The firm expects to be broadly free cash flow neutral in 2024, and forecasts free cash flow of USD1.0 billion in the coming year.

Harbour Energy expects to pay USD455 million in total dividends, comprising a USD227.5 million final dividend for 2024 and a USD227.5 million 2025 interim payout.

[master rsi] 23/1/2025 09:19

Spectris expects 2024 profit in line with consensus

Spectris PLC - London-based supplier of precision instrumentation and controls - Expects adjusted operating profit for 2024 to be above consensus and at the upper end of analyst guidance ranges after a "strong" fourth quarter, citing a company-compiled forecast of GBP197.0 million, with a range of GBP183.3 million to GBP201.0 million. This would represent a decline of between 27% and 36% from GBP262.5 million in 2023.

Current stock price: 2,972.00 pence, up 10% in London on Thursday morning

[master rsi] 23/1/2025 08:37

IQE 12.80p +0.44p / Pre-close Trading Update
- FY24 revenue and Adj. EBITDA expected to exceed expectations
- Positive impact of cost actions evidenced

IQE plc (AIM: IQE, "IQE" or the "Group"), the leading global supplier of compound semiconductor wafer products and advanced material solutions, provides a pre-close Trading Update for the financial year ended 31 December 2024.

Revenue for the period is expected to be at £118m, combined with focused cost control and improved operational performance, the Group expects Adjusted EBITDA to be at least £7.5m, exceeding expectations* and subject to external review.

Strategic review and Proposed Financing

As announced in November 2024, IQE is undertaking a Strategic Review which the Board believes will better unlock significant unrealised value within the Group. At this stage, the strategic review is focused on its Taiwan operations covering all strategic options, including IPO or a full sale. While the review remains at an early stage, the Board is encouraged by the positive levels of interest from its partners and the broader recognition that the Group is a technical leader across a variety of strategically important vertical markets, with a well-invested asset base.

In addition, the Group is pleased to say it is in the final stages of concluding its proposed convertible loan note and that it has received strong support from shareholders. This process is expected to conclude shortly and an announcement will be made accordingly. A circular will be sent to shareholders providing further details and seeking their approval in due course.

Mark Cubitt, Executive Chair of IQE, commented:

"I am pleased that the business performance in 2024 will show revenue and adjusted EBITDA ahead of expectations. Amid ongoing macro headwinds, Jutta and the leadership team have taken effective action to refocus the Group on its core strengths and improve operational performance, resulting in an encouraging financial picture. I am really pleased by the reaction from our staff, customers and shareholders to the announcement of the strategic review, and the resulting positive engagement. In addition, the proposed financing will provide IQE with greater resilience as we continue to strengthen key customer relationships and expand further into emerging high growth areas"

*As communicated on 18 November 2024, the group expected revenue to be around £115m and Adjusted EBITDA of at least £5m for the financial year ended 31 December 2024.

[master rsi] 23/1/2025 08:27

FTSE

On the up but only by 3 points

[pangrati] 23/1/2025 07:31

Empire Metals Limited / LON: EEE / Sector: Natural Resources



Strengthens Board with Appointment of Renowned Mining Executive Phillip Brumit,
Issue and Extension of Options

Empire Metals Limited (LON: EEE), the AIM-quoted resource exploration and development company, is pleased to announce the appointment of Phillip Brumit as Non-executive Director with effect from 1 February 2025.

Phil brings over 40 years of extensive experience in engineering, project management, construction, project start-up, and mining operations across some of the world's leading mining companies. His impressive career includes leadership roles at Freeport-McMoRan, Lundin Mining, and Newmont Corporation, demonstrating a proven track record of operational success on a global scale. Recently, he served as Executive VP Projects & Operations at Josemaria Resources, now part of a major joint venture between BHP and Lundin Mining. Prior to that, he held positions as President and Managing Director of Minera Candelaria (Lundin Mining) in Chile, President of Freeport-McMoRan's African Division focused on the giant Tenke-Fungurume copper-cobalt mine, and General Manager of Operations for PT Newmont Nusa Tenggara's Batu Hijau mine in Indonesia, and various other key operational positions at Newmont Corporation. His deep experience positions him to be a vital resource for the company.

Neil O'Brien, Chairman, said: "We are thrilled to have attracted Phil Brumit to the Empire board. Phil has an accomplished career that includes operational leadership roles for two of the largest US mining companies. His extensive industry experience and proven ability to deliver results on globally significant mining projects is invaluable. With the addition of Phil, the Empire board will broaden its areas of expertise, covering exploration, metallurgy, mine development and operations, finance, and capital markets. His insights will be instrumental as management navigates key milestones, including the development of a pilot plant and the completion of scoping and feasibility studies for the Pitfield Project. This appointment reflects our commitment to assembling a world class team that can achieve our strategic goals, deliver shareholder value and benefit all stakeholders."

Phil Brumit said: "I am delighted to be joining Empire Metals at this exciting time in the development of the Pitfield Project. In my career, I have worked internationally for large US-based mining companies in the development and mining of world class deposits that were essential to global metal supply but also helped propel those companies into the future. I recognize Pitfield as being a truly world class deposit that can become a globally significant mine capable of producing large tonnages of high-purity titanium, a critical mineral essential to the world's manufacturing industry and transition to green renewable energy as identified by Australia, the United States and many other countries around the world. Through the rapid development of the Pitfield Project I believe Empire Metals is well positioned to participate in the expanding titanium market that is expected to double in the next five years."

[master rsi] 22/1/2025 23:42

VOLUME AND RISING

[master rsi] 22/1/2025 23:08

US close: Tech stocks lift markets after Trump's AI announcement

(Sharecast News) - US stocks rose on Wednesday, with the S&P 500 finished just under a record high, as the tech sector rose on the back of Donald Trump's artificial intelligence joint venture Stargate.

The Dow rose 0.3%, the Nasdaq jumped 1.3% to top the 20,000 mark for the first time this year,
while the S&P 500 gained 0.6% to 6,086.37, its highest close since hitting 6,090.27 on the 6 December.

The yield on a 10-year US Treasury was up 2.3 basis points at 4.605%.
Tech stocks jump, Netflix gains

Shares in tech stocks jumped on Wednesday, as markets reacted to the Stargate AI news. The new US president unveiled the multi-billion dollar AI infrastructure project late on Tuesday, in conjunction with partners Microsoft-backed OpenAI, Oracle and SoftBank.

The White House plans to spend $100bn on technological infrastructure projects this year, and up to $500bn during the four-year term, although full funding details were not provided.

[master rsi] 22/1/2025 22:29

Frasers Group "deeply troubled" by boohoo as demands Kamani pay detail
Wed, 22nd Jan 2025 21:29Alliance News

(Alliance News) - Frasers Group PLC on Wednesday called on boohoo Group PLC to disclose the pay and contract details of Umar Kamani.

In a letter to boohoo shareholders, Frasers, which owns Sports Direct, said it is aware of "certain troubling matters" in relation to the remuneration that it understands Umar Kamani, the son of boohoo’s founder and Executive Vice Chair, Mahmud Kamani, is receiving for providing "consultancy services" to a subsidiary of boohoo.

Frasers said it has recently been made aware of reports alleging that Umar Kamani is receiving payments exceeding GBP2 million annually from PrettyLittleThing to a bank account in Dubai. PLT was set up by Umar Kamani and was acquired by boohoo in 2020.

Frasers said it is "surprising" that no details of Umar Kamani’s remuneration at PLT have been provided to boohoo shareholders.

Frasers said no details have been disclosed despite repeated requests, adding it is aware that other shareholders of boohoo have previously asked questions relating to Umar Kamani’s position at PLT and no responses have been forthcoming.

Frasers called on boohoo again to "urgently provide" full details of Umar Kamani's consultancy arrangement, including pay details, "for the benefit of all boohoo shareholders".

The owner of Sports Direct and House of Fraser said it remains "deeply troubled" by boohoo's governance practices and lack of transparency.

On Tuesday, boohoo shareholders rejected a proposal by Frasers to remove founder and Vice Chair Mahmud Kamani from the board.

According to the Manchester, England-based online fast fashion retailer, 63% of shareholders voted against Kamani's removal, which was suggested by 27% stakeholder Frasers.

Frasers in December tried to appoint its founder and former Chief Executive Mike Ashley to boohoo's board, alongside insolvency consultant Mike Lennon. boohoo rejected both candidates in a roughly two-to-one vote.

Frasers closed 1.2% lower at 595.50 pence each in London on Wednesday, while boohoo closed down 2.3% at 29.78p.

[master rsi] 22/1/2025 22:04

IQ-AI to take GaM to phase II study, flags AI capabilities

IQ-AI Ltd - London-based medical services company - Provides operations update focusing on artificial intelligence. Explains radiology leads the way in Food & Drug Administration approvals for AI-enabled products as the FDA has increased efforts to keep pace with the advancements in AI technology. The company believes its subsidiary, Imaging Biometrics LLC, is in a unique position to lead this transformation for neuro-oncology in 2025 and beyond. Points to the imminent release of the new version of IB Clinic; its FDA-cleared suite of quantitative imaging solutions will include the incorporation of an AI model, which will greatly improve diagnostic accuracy and speed. In addition, notes the first half of 2025 should mark the next release of IB Nimble with the functionality to view IB's AI-generated images and other images within the mobile app. Also, in 2025 we anticipate releasing a new product leveraging arterial spin labelling.

Further, says phase 1 trial of gallium maltolate for the treatment of patients with relapsed glioblastoma was initiated. This trial is nearing completion. Based on "encouraging" preliminary signals of clinical response to GaM, a phase 2 clinical trial is warranted, company states.

[master rsi] 22/1/2025 21:43

MARKET REPORT
LONDON MARKET CLOSE: Pound stays above USD1.23 keeping lid on FTSE 100

(Alliance News) - The pound was resilient as nerves over Trump tariffs calmed, putting pressure on a FTSE 100 stacked with international earners and ensuring London's large-cap benchmark was unable to replicate the strong gains seen in European counterparts on Wednesday.

The FTSE 100 index fell just 3.16 points at 8,545.13. The FTSE 250 lost 15.43 points, 0.1%, at 20,580.30, and the AIM All-Share ended up 1.89 points, 0.3%, at 721.00.

The Cboe UK 100 lost 0.1% at 856.60, the Cboe UK 250 fell 0.2% at 17,962.96, and the Cboe Small Companies ended down marginally at 15,773.05.

In European equities on Wednesday, the CAC 40 in Paris ended up 0.9%, while the DAX 40 in Frankfurt shot up 1.0%.

Among those putting pressure on the FTSE 100 were brewer Diageo, consumer goods firm Unilever and lender HSBC. The trio, among the FTSE 100's largest firms and earn big chunks of the money in international currencies, fell 1.3%, 1.0% and 0.3%.

The pound remained above the USD1.23 on Wednesday, despite some unfavourable data, as markets take the threat of Donald Trump tariffs in their stride. Sterling did surrender some earlier progress but is well off deeper lows under the USD1.22 mark it sank to earlier this week.

The pound was quoted at USD1.2317 late on Wednesday afternoon in London, largely flat compared to USD1.2319 at the equities close on Tuesday. It had traded as high as USD1.2375.

The euro stood at USD1.0417, where it was a day prior, but off an earlier high of USD1.0475. Against the yen, the dollar was trading higher at JPY156.49 compared to JPY155.43.

XTB analyst Kathleen Brooks commented: "As we move into the second Trump era, it is the new US President, and not the Federal Reserve who is dominating market sentiment. His executive orders and investment plans have had the biggest impact on stock markets. So far, he has not spooked markets with tariff threats, or with concerns about the deficit.

"Although tariffs have featured heavily in his first few days in office, tariffs for Chinese imports have been milder than feared. Trump is turning his attentions to Canada and Mexico, which could face higher tariffs than China. This is bad news for Mexico and Canada, and the MXN and CAD continue to be big under performers in the FX space so far this week. However, by levying lower tariffs than feared on China, this is less of a threat to global growth, which is more important for risk sentiment and global stock markets."

UK public sector net borrowing was much higher than expected in December, figures released by the Office for National Statistics showed on Wednesday.

PSNB totalled GBP17.81 billion in December, up from GBP11.8 billion in November. The November figure was revised up from GBP11.25 billion, and the December one far outpaced FXStreet-cited market consensus of GBP13.4 billion.

The GBP17.81 billion figure was GBP10.1 billion more than in December 2023 and the highest December borrowing for four years, the ONS noted.

Rachel Reeves said she would not apologise for the budget but insisted she would like to see taxes come down.

The UK chancellor said she was "absolutely" relaxed about wealth creation and said the government wanted to attract the "highest-skilled" immigrants to the UK despite plans to crack down on the overall number of arrivals.

Reeves, who announced GBP40 billion of tax hikes in her first budget, said she would like to bring the overall burden down but she could not yet afford to do so and "I'm not going to make promises that I can't keep".

Brent oil was quoted at USD78.31 a barrel late on Wednesday in London, falling from USD79.51 late Tuesday. Gold was higher at USD2,757.82 an ounce against USD2,740.35 on Tuesday.

Back on the London Stock Exchange, easyJet fell 5.2%. The budget carrier said results for the winter will reflect "improvements" during the first-quarter ended December 31, offset by "underlying unit revenue trends being modestly lower" in the second-quarter.

easyJet said that at this stage of the year, "current booking trends are supportive" of consensus. A company compiled consensus for headline pretax profit is GBP709 million, would be growth of 16% from GBP610 million in the 12 months to September 30, 2024.

AJ Bell analyst Russ Mould was not surprised to see the shares coming under duress.

"easyJet's update lacked pizzazz. Saying that current booking trends are 'supportive' of full-year market expectations doesn't exactly instil confidence. It's woolly language which doesn't go down well with investors," the analyst said.

"Admittedly the airline is only one quarter into its financial year, but the market needs reassurance that everything is going swimmingly for the business given the fragile economic backdrop and weakening consumer confidence. The fact the share price fell on the update suggests investors are disappointed."

Hochschild Mining slumped 16%. It said all-in sustaining costs were higher last year, citing a slow ramp-up at Mara Rosa in Brazil's Goias state and higher-than-forecast inflation in Argentina.

The miner of silver and gold in Peru, Argentina and Brazil said production rose 16% to 347,374 gold equivalent ounces in 2024 from 300,749 ounces in 2023.

In the fourth quarter alone, gold equivalent production rose 15% to 117,230 ounces from 101,590 ounces a year before and 6.4% from 110,180 ounces in the third quarter.

For 2025, the company targets a production of 350,000 to 378,000 gold equivalent ounces, between 0.8% and 8.8% higher than in 2024.

However, Hochschild expects to report all-in sustaining cost for 2024 to be above guidance of between USD1,510 to USD1,550 per gold equivalent ounce, with that set to increase to between USD1,587 and USD1,687 in 2025.

Trainline lost 8.5% as Great British Railways plans came back to haunt the stock. In a statement, the Department for Transport said: "After Great British Railways is established following legislation, it will retail online by bringing together individual train operators' ticket websites."

The DfT said it will work alongside a "thriving" private sector retail market, where all rail retailers can compete in an open and fair manner. It stressed the private sector will continue to play a key role in driving growth and encouraging more people to choose rail.

Trainline Chief Executive Jody Ford welcomed the "unequivocal commitment to a competitive retail market, underpinned by a level playing field."

Nonetheless, investors were spooked and shares in the rail ticketing platform declined.

Stocks in New York were higher on Wednesday. The Dow Jones Industrial Average was up 0.1%, the S&P 500 added 0.7%, while the Nasdaq Composite shot up 1.3%.

Netflix jumped 11% after the streaming service's earnings impressed overnight.

Swissquote analyst Ipek Ozkardeskaya commented: "Netflix blew past the market expectations last quarter and closed the year on a very high note. The company added 18.9 million new subscribers last quarter – its biggest ever quarterly jump in subscriptions. The company added more than 41 mio subscribers over the year and has now more than 300 mio subscribers around the world. And it’s not even due to a pandemic or a temporary situation (like the Squid Game peak). It’s because their strategic bet of streaming major live sport events is paying off and hints at a further upside potential."

Thursday's economic calendar has the latest US initial jobless claims reading at 1330 GMT.

The local corporate calendar has a trading statement from Primark owner AB Foods.

[master rsi] 22/1/2025 17:43

EnQuest pushes into Vietnam with Harbour Energy asset purchase

(Alliance News) - EnQuest PLC on Wednesday announced the acquisition of Harbour Energy PLC's business in Vietnam.

The oil and gas company with operations in the UK and Malaysia said the deal, which includes the 53% equity interest in the Chim Sao and Dua production fields, should complete during the second quarter of 2025.

EnQuest said the headline value of the transaction is USD84 million and, net of interim period cash flows, the consideration to be paid is expected to equal around USD35 million.

"This transaction aligns with the group's strategic aim to grow its international operating footprint by investing in fast-payback assets, with low capex and reduced carbon intensity," the firm said in a statement.

Shares in EnQuest were 2.6% higher at 13.60 pence each in London on Wednesday. Harbour Energy was 1.0% lower at 287.30p.

EnQuest will operate the Chim Sao and Dua fields, Block 12W, from completion. As at January 1 2025, net 2P reserves and 2C resources across the fields total 7.5 million barrels of oil equivalent and 4.9 million boe, respectively.

Chief Executive Officer Amjad Bseisu said the entry into Vietnam is "highly complementary" to EnQuest's well-established Malaysia business and "significantly enhances" the scale of operations in South East Asia.

"The region is key to EnQuest's growth and diversification strategy and we are excited by the potential to deploy our proven expertise and operating capability to optimise and enhance the Block 12W assets," he added.