Upstream Share Discussion Threads

[master rsi] 22/3/2024 23:00

Gunsynd investee Rogue Baron secures USD1.0 million backing
Shares in Gunsynd ended up 2.5% to 0.15 pence in London on Friday, meanwhile Rogue Baron shares were flat 0.43 pence.

(Alliance News) - Gunsynd PLC on Friday noted a subsidiary of Rogue Baron PLC received backing from a US institutional investor.

The London-based investment firm owns a 17% stake in UK beverage company Rogue Baron.

Aquis-listed Rogue Baron on Thursday said its wholly owned US subsidiary, Shinju Spirits Inc, has received an investment of USD1.0 million from a US institutional investor.

The investment comprised of USD750,000 in cash, and USD250,000 worth of business enhancement services provided by the investor to support the sales growth of the company's signature brand, Shinju Japanese Whisky.

In return for the investment, the investor will receive USD750,000 worth of preferred shares and USD250,000 in warrants to purchase common stock in Shinju Spirits.

Following the exercise of the warrants, the investor will hold 22% of Shinju Spirits, and Rogue Baron will own 60% with the balance belonging to certain employees.

[master rsi] 22/3/2024 22:39

MARKET REPORT
LONDON MARKET CLOSE: Rate cut euphoria lifts FTSE 100; New York slips

(Alliance News) - London's FTSE 100 ended higher on Friday, boosted by a favourable Bank of England interest rate outlook, though trade elsewhere was mixed as a rally in New York showed signs of exhaustion.

A busy week for equities has seen interest rate holds from the US Federal Reserve and the Bank of England, which the market interpreted as dovish, a cut from the Swiss National Bank and a historic hike from the Bank of Japan.

The FTSE 100 index climbed 48.37 points, 0.6%, at 7,930.92, its best closing level in over a year. The FTSE 250 slipped 16.99 points, 0.1%, at 19,724.32, and the AIM All-Share ended down 1.12 points, 0.2%, at 739.52.

For the week, the FTSE 100 added 2.6%, the FTSE 250 rose 1.1% and the AIM All-Share climbed 0.2%.

The Cboe UK 100 rose 0.6% to 793.64 on Friday, while the Cboe UK 250 lost 0.2% to 17,115.32. The Cboe Small Companies also gave back 0.2%, ending the day at 14,615.29.

In European equities on Friday, the CAC 40 in Paris closed down 0.3%, while the DAX 40 in Frankfurt ending 0.2% higher.

"The FTSE 100 continued Thursday's outperformance to a ten-month-high following the Bank of England's shift to a dovish stance. The 8,000 mark is now within reach as investor money finally heads to the undervalued UK stock market despite retail sales unexpectedly falling flat," IG analyst Axel Rudolph commented.

The FTSE 100 first topped the 8,000 point mark in February of last year. Its intraday high is 8,046.99 points, also achieved in February 2023.

The pound was quoted at USD1.2596 at the time of the London equities close Friday, lower compared to USD1.2665 on Thursday. The euro stood at USD1.0808, down against USD1.0859. Against the yen, the dollar was trading at JPY151.43, lower compared to JPY151.69.

Sterling hit a roughly five-week low on Friday. The euro briefly traded its lowest level since early-March.

On Thursday, the Bank of England took a step closer to cutting interest rates, possibly as soon as June, as its tone was seen to soften and two 'hawks' jumped ship.

At its March meeting, the BoE's Monetary Policy Committee kept the benchmark bank rate at 5.25%. It was the fifth successive hold, following one in September, which ended a streak of 14 consecutive hikes since December 2021, and three more in November, December and February.

But there was a 'dovish' twist to the voting make-up, as two members of the MPC dropped their call for interest rates to increase.

Instead, eight members of the MPC voted to leave rates unchanged, with previous 'hawks' Jonathan Haskel and Catherine Mann joining the no change camp.

"Markets are largely reading this as an acknowledgement that cuts aren't too far away, and now increasingly convinced the BoE will start easing in June (20bp priced in), along with starting to speculate on a May move (7bp priced in)," analysts at ING commented.

Mann speaks at an event in Belfast on Monday.

In New York, the Dow Jones Industrial Average was down 0.5% at the time of the closing bell in Europe. The S&P 500 was 0.1% lower, while the Nasdaq Composite was a touch higher. All three benchmarks hit record highs on Thursday on interest rate euphoria, after the Federal Reserve's projections on Wednesday suggested three rate cuts are still in the offing this year.

Capital Economics analyst Andrew Hunter commented: "The Fed wasn't as hawkish as we had expected this week and, assuming the recent upturn in core inflation proves temporary, there is still a good chance that interest rate cuts will begin in June."

On the back foot in New York, Nike shares were down 7.3%.

Nike said revenue in the quarter ended February 29 inched up 0.3% to USD12.43 billion from USD12.39 billion a year earlier. Net income, however, fell 5.5% to USD1.17 billion from USD1.24 billion. Basic earnings per share fell to USD0.77 from USD0.80.

The results were better than expected.

However, there was a sting in the tail when Chief Financial Officer Matthew Friend spoke to analysts.

He gave more detail on the outlook for the coming financial ending May 2025.

"First, we expect revenue and earnings to grow versus the prior year, with operating margins expanding, excluding the impact of the restructuring charges in fiscal '24."

"However, we are prudently planning for revenue in the first half of the fiscal year to be down low single digits."

Nike's share price fall spilled over to London-listed sportswear retail. JD Sports fell 6.3%, while Sports Direct owner Frasers Group shed 1.4%. JD Sports reports annual earnings on Thursday.

Phoenix Group surged 8.4%.

In 2023, the London-based life insurance provider reported total cash generation of GBP2.02 billion, up 35% from GBP1.50 billion the year prior. This was above the company's upgraded target of GBP1.8 billion, which was also the market consensus.

Phoenix announced an ambition to grow operating cash generation by around 25% to GBP1.4 billion in 2026 from GBP1.1 billion in 2023, after which it is expected to grow at a mid-single digit rate over the long term.

These "ambitious" growth targets will support a new "progressive" and sustainable dividend policy, it said.

Edison analyst Neil Shah commented: "Phoenix Group Holdings has benefitted from solid performance in each of its associated sectors at the beginning of 2024. Moody's predicts that UK life insurance will have a good 2024: rising wages, falling unemployment, and automatic enrolment have helped to revive the sector – which had suffered owing to falling real incomes. Additionally, the UK became the 3rd largest pension asset management market in the world last year. It is too early to see the shape of Chancellor [Jeremy] Hunt's proposals to drive more capital from pension funds into UK equities; but from these results, Phoenix Group Holdings looks well-placed to absorb any turbulence in the sector."

JD Wetherspoon lost 6.1%.

The Watford, Hertfordshire-based pub chain said in the six months to January 28, pretax profit fell by more than half to GBP26.1 million from GBP57.0 million. This was amid property losses of GBP15.1 million, compared to GBP11.2 million the previous year.

However, revenue rose 8.2% to GBP991.0 million from GBP916.0 million the year before.

Chair Tim Martin said: "The company currently anticipates a reasonable outcome for the financial year, subject to our future sales performance."

Accrol shares surged 13%. It has a market capitalisation of around GBP122 million.

The private-label toilet roll manufacturer agreed to a GBP127.5 million takeover offer from paper and pulp firm Navigator. Navigator describes itself as "one of Portugal's leading players on the world stage".

The buyer said Accrol represents "a compelling opportunity to enter the UK market" due to the company's "competitive advantages, complementary values and strong alignment to Navigator".

Navigator has a market capitalisation of around EUR2.80 billion. The Lisbon listing is part of the Portuguese capital's benchmark PSI-20 index.

Brent oil was quoted at USD85.52 a barrel Friday, largely unmoved from USD85.50 late Thursday. Gold was quoted at USD2,165.58 an ounce at the time of the London equities close Friday, down against USD2,178.10 on Thursday.

Monday's economic calendar has the Chicago Fed national activity index report at 12:30 GMT. Just before that, Atlanta Fed President Raphael Bostic is due to speak.

The UK corporate calendar has annual results from B&Q and Screwfix owner Kingfisher, and a trading statement from water utility Pennon Group.

[master rsi] 22/3/2024 22:21

DOW

Finished down with 305 points lower

[master rsi] 22/3/2024 16:31

Trakm8 shares slide as it lowers expectations
(Sharecast News) - Shares in fleet management, insurance telematics and connected vehicle technology specialist Trakm8 were sliding on Friday, after it warned that the conclusion of a large contract deal would slip into next financial year.

The AIM-traded firm said in late November that it was in negotiations to secure a significant optimisation software sales contract.

At the time, the board said it was confident in meeting market expectations for the 2024 financial year contingent on securing that contract.

However, the board said on Friday that concluding discussions on the contract within the current financial year was no longer viable, as it prioritised pursuing the best commercial outcome.

As a result, Trakm8 said it now expected to fall short of market expectations for 2024.

Additionally, it said challenges in trading throughout February and March, primarily stemming from persistent shortages in insurance capacity, further impacted uts performance.

That had led to lower-than-expected connections and recurring revenues for the 2024 period.

As a result, Trakm8 now projected turnover of £16.4m for the year, resulting in an adjusted loss before tax of £1.4m.

The company said its cash position was expected to be £0.4m on by the year-end on 31 March.

Despite the setbacks, Trakm8 said ongoing discussions regarding the contract offered some potential for revenue generation in the financial year ending 31 March 2025.

The company did acknowledge potential adverse effects on 2025 results, however, due to the lower levels of insurance connections.

That impact's extent remained uncertain, contingent on the return of insurance capacity and a potential demand surge, which the board said it was cautiously optimistic about.

At 1556 GMT, shares in Trakm8 Holdings were down 31.07% at 9.65p.

[master rsi] 22/3/2024 15:50

888 Holdings comes out of UK watchdog licence review unscathed

(Alliance News) - 888 Holdings PLC on Friday said that it has avoided action following a licence review by the GB Gambling Commission.

The Gibraltar-based betting operator, which owns the William Hill and Mr Green brands, revealed in July that a review was taking place under provisions outlined in the UK gambling act 2005.

Last year, FS Gaming, a vehicle backed by former executives of GVC Holdings PLC, had acquired a stake in the company.

FS Gaming proposed adding Kenny Alexander, Lee Feldman and Stephen Morana to the board. Alexander was formerly chief executive of GVC Holdings, the Ladbrokes and Coral owner now known as Entain PLC. Alexander was replaced at Entain by Segev, who then stepped down as chief executive in January 2021 to head up sports streaming platform DAZN.

The involvement of former executives at the Ladbrokes and Coral owner caused concern for the Gambling Commission, as Entain was subject to an investigation at the time surrounding its former Turkish business. In December, Entain agreed to pay a penalty plus disgorgement of profit totalling GBP585 million in relation to a probe by UK tax collector HMRC into its former Turkish operations.

The proposed board additions to the 888 board by FS Gaming did not happen. 888 named Per Widerstrom as chief executive officer in October.

Shares in 888 were up 1.6% to 87.80 pence in London on Friday afternoon.

[master rsi] 22/3/2024 14:34

DOW

opening 120 points lower

[master rsi] 22/3/2024 13:18

MARKET REPORT
LONDON MARKET MIDDAY: FTSE 100 boosted after week of rate decisions

(Alliance News) - The FTSE 100 in London were higher at midday on Friday, as investor sentiment remained high, after there were no surprises from UK and US central banks this week.

Amongst individual stocks, Phoenix Group got a boost thanks to its 2023 results. Retail stocks were lower on the back of February's "downpour".

The FTSE 100 index was up 52.26 points, 0.7%, at 7,934.81. The FTSE 250 was down 18.04 points, 0.1%, at 19,723.27, and the AIM All-Share was up 1.18 points, 0.2%, at 741.82.

The Cboe UK 100 was up 0.6% at 793.40, the Cboe UK 250 was down 0.1% at 17,135.78, and the Cboe Small Companies was down 0.1% at 14,621.31.

In European equities on Friday, the CAC 40 in Paris was down 0.1%, while the DAX 40 in Frankfurt was up 0.1%.

"It's been quite the week for news flow. Naturally, everything has centred around central bank interest rate decisions and while the US and UK kept their rates level, it's all about what could happen next, and confidence is growing that we'll see rate cuts soon," said AJ Bell's Russ Mould.

On Wednesday, the US Federal Reserve left interest rates unmoved, as expected, while its latest set of projections still suggest three cuts will come this year. The central bank's federal funds rate range was unchanged at 5.25%-5.50%.

After the Fed, the Bank of England left bank rate at 5.25% in the afternoon.

Yet, there was a marked shift in the voting pattern with eight members of the Monetary Policy Committee voting to leave interest rates unchanged, with hawks Jonathan Haskel and Catherine Mann no longer recommending rates be increased.

The pound was quoted at USD1.2581 at midday on Friday in London, lower compared to USD1.2665 at the equities close on Thursday. The euro stood at USD1.0817, down against USD1.0859. Against the yen, the dollar was trading at JPY151.62, lower compared to JPY151.69.

In the FTSE 100, Phoenix surged 10%.

In 2023, the London-based life insurance provider reported total cash generation of GBP2.02 billion, up 35% from GBP1.50 billion the year prior. This was above the company's upgraded target of GBP1.8 billion, which was also the market consensus.

Phoenix announced an ambition to grow operating cash generation by around 25% to GBP1.4 billion in 2026 from GBP1.1 billion in 2023, after which it is expected to grow at a mid-single digit rate over the long term.

These "ambitious" growth targets will support a new "progressive" and sustainable dividend policy, it said.

Vodafone edged up 1.5%.

The UK Competition & Markets Authority said a planned merger between Vodafone UK and Three UK could raise consumer prices and harm investment into UK mobile networks.

Vodafone UK is owned by Berkshire, England-based telecommunications provider Vodafone Group PLC, and Three UK is owned by Hong Kong-based telecommunications, ports, infrastructure and retail conglomerate CK Hutchison.

Both are major providers of mobile telecommunication services in the UK, and two of only four UK mobile network operators, the others being BT/EE and Virgin Media O2.

Vodafone and CK Hutchison announced plans in June to combine the UK businesses into a joint venture, with Vodafone to own 51% and CK Hutchison 49% of the combined operation. This would bring their 27 million customers under a new, single network provider.

Elsewhere in the FTSE 100, retailers were on the back foot. JD Sports lost 4.5%, Ocado lost 0.9%, and Frasers shed 0.7%.

According to the Office for National Statistics, UK retail sales were flat on-month in February, following a 3.6% boost in January. January's figure was upwardly revised from 3.4%. February's retail sales figure was predicted to show a fall of 0.3%, according to FXStreet, so the actual figure beat market consensus.

Year-on-year, UK retail sales fell by 0.4% in February, following a 0.5% increase in January. FXStreet were expecting retail sales to fall by 0.7% annually.

"Unfortunately, February's downpours put retailers on the back foot again after a short-lived uplift to retail sales in January," said Ebury's Phil Monkhouse.

"With dampened and unpredictable consumer demand seemingly becoming the 'new-normal' in an uncertain economic environment, retailers will find today’s data a disappointing reminder that volatility is not yet behind us."

In the FTSE 250, Wetherspoon lost 9.0%.

The Watford, Hertfordshire-based pub chain said in the six months to January 28, pretax profit fell by more than half to GBP26.1 million from GBP57.0 million. This was amid property losses of GBP15.1 million, compared to GBP11.2 million the previous year.

However, revenue rose 8.2% to GBP991.0 million from GBP916.0 million the year before.

Chair Tim Martin said: "The company currently anticipates a reasonable outcome for the financial year, subject to our future sales performance."

Amongst London's small-caps, James Fisher & Sons rose 7.5%.

The marine services firm said it has agreed to sell RMSpumptools for GBP90 million to ChampionX UK.

Chief Executive Jean Vernet comments: "The sale of RMS marks a significant step in simplifying our portfolio to further strengthen our financial position and create a platform for sustained recovery. We believe the transaction represents good value for our shareholders, reflecting RMS's strong performance in recent years."

Stocks in New York were called to open higher. The Dow Jones Industrial Average and the Nasdaq Composite were both call up 0.1%, whilst the S&P 500 index was called up 0.2%.

Brent oil was quoted at USD85.86 a barrel at midday in London on Friday, up from USD85.50 late Thursday.

Gold was quoted at USD2,167.44 an ounce, down against USD2,178.10.

Still to come on Friday's economic calendar, there is a retail sales reading from Canada at 1230 GMT.

[master rsi] 22/3/2024 12:47

How the UPS are performing during last month

[master rsi] 22/3/2024 12:15

How the UPS are performing today

[master rsi] 22/3/2024 11:46

SFOR 44p (3.78p / 9.40%%) S4 Capital climbs on WSJ report it rejected USD700 million bid
(Alliance News) - Shares in S4 Capital PLC advanced on Friday after The Wall Street reported the company had turned down a bid approach.

Shares in S4 Capital rose 8.6% to 43.69 pence each in London. They had earlier hit an intra-day high of 55.29p, a 37% increase.

The WSJ said S4 Capital, the London-based digital advertising, marketing and technology services, rejected a bid valuing the company at around USD700 million last year from Stagwell, another agency.

That would translate to around GBP555 million at current exchange rates, more than double S4 Capital's current market value of around GBP266 million.

hxxps://www.wsj.com/business/media/he-was-the-ad-industrys-hunter-now-hes-the-prey-65a12b99?mod=business_lead_pos2

S4 Capital is run by Martin Sorrell, the former boss of WPP PLC.

In 2023, the company issued several profit warnings hit by a downturn in spending by clients, particularly in the technology sector.

"After four years of very strong growth, 2023 was a difficult year impacted by volatile macro conditions and, consequently, cautious spending from clients, particularly those in the technology sector and from smaller project-based assignments," Executive Chair Martin Sorrell said when reporting fourth quarter results in January.

Sorrell said he is not expecting to see a "macro-economic improvement" this year.

"Client caution on marketing spend will likely persist, although not at last year's level given interest rates are likely to fall over time," he added.

[master rsi] 22/3/2024 11:27

Cap-XX raises GBP2.0 million via new shares placing and subscription

(Alliance News) - Cap-XX Ltd on Friday said it has raised GBP2.0 million via a placing and subscription of new shares, while a retail offer remains open until 1500 GMT.
The Sydney-based company, which makes supercapacitors for portable electronic devices, said 2.00 billion new shares were placed at a price of 0.1 pence per share.

Shares in Cap-XX were down 25% to 0.13p each in London on Friday morning.
Chair Patrick Elliott, Chief Executive Officer Lars Stegmann and Non-Executive Director Steen Feldskov also subscribed for a total of 35.0 million new shares for a total GBP35,000.

There is also a retail offer of shares, which is expected to remain open until 1500 GMT. Cap-XX said a further announcement will be made in "due course".

Cap-XX said 103.9 million placing shares will be admitted to trading on AIM in London, expected to take place on Thursday. A further 1.90 billion placing shares, plus the 35.0 million subscription shares, are expected to be admitted on April 25.

Following the first admission, Cap-XX will have a total of 824.0 million shares in issue.

[master rsi] 22/3/2024 10:32

GOLD and BITCOIN

They keep dropping again
Gold $2,166
and BTC at $64,900

[master rsi] 22/3/2024 09:43

JD Wetherspoon half-year profit plummets amid higher property losses

(Alliance News) - JD Wetherspoon PLC on Friday said it expects a "reasonable outcome" for its financial year despite its interim profit halving, but reported a surge in sales.

Shares in JD Wetherspoon were down 5.6% at 752.13 pence each in London on Friday morning.

The Watford, Hertfordshire-based pub chain said in the six months to January 28, pretax profit fell by more than half to GBP26.1 million from GBP57.0 million. This was amid property losses of GBP15.1 million, compared to GBP11.2 million the previous year.

In addition, Wetherspoon's operating costs grew 5.1% to GBP923.3 million in the first half of its financial year, from GBP878.5 million a year prior.

However, revenue rose 8.2% to GBP991.0 million from GBP916.0 million the year before.

Wetherspoon declared no interim dividend, unchanged from a year ago.

Looking ahead, the pub-owner said its sales have continued to improve, and noted that in the seven weeks to March 17, its like-for-like sales have increased by 5.8%.

[master rsi] 22/3/2024 09:05

MARKET REPORT
LONDON MARKET OPEN: Phoenix Group leads FTSE 100 higher

(Alliance News) - Stock prices in London opened higher on Friday, after a busy week of interest rate decisions across the globe.

Amongst individual stocks, Phoenix Group got a boost on the back of its 2023 results.

The FTSE 100 index opened up 39.32 points, 0.5%, at 7,921.87. The FTSE 250 was up 1.50 points at 19,742.81, and the AIM All-Share was up 1.83 points, 0.3%, at 742.47.

The Cboe UK 100 was up 0.5% at 792.34, the Cboe UK 250 was flat at 17,156.19, and the Cboe Small Companies was down 0.1% at 14,633.54.

In European equities on Friday, the CAC 40 was down 0.3%, whilst the DAX 40 in Frankfurt was down marginally.

The week has been dominated by interest rate decisions.

To start the week off, the Bank of Japan on Tuesday ended its negative interest rate policy.

On Wednesday, the US Federal Reserve left interest rates unmoved, as expected, while its latest set of projections still suggest three cuts will come this year. The central bank's federal funds rate range was unchanged at 5.25%-5.50%.

After the Fed decision, on Thursday, the Swiss National Bank surprised with a 25 basis point cut to its policy rate.

The Bank of England left bank rate at 5.25% in the afternoon, but the vote split gave equities the confidence to push higher.

There was a marked shift in the voting pattern with eight members of the MPC voting to leave interest rates unchanged, with hawks Jonathan Haskel and Catherine Mann no longer recommending rates be increased.

On Friday, eyes shifted to UK retail sales data.

According to the Office for National Statistics, UK retail sales were flat on-month in February, following a 3.6% boost in January. January's figure was upwardly revised from 3.4%.

February's retail sales figure was predicted to show a fall of 0.3%, according to FXStreet, so the actual figure beat market consensus.

Year-on-year, UK retail sales fell by 0.4% in February, following a 0.5% increase in January. FXStreet were expecting retail sales to fall by 0.7% annually.

Kris Hamer at the British Retail Consortium, said:  “February sales were hit by the wettest February on record, which dampened demand and depressed footfall. This was felt most in the more high-ticket categories such as furniture and electricals. Meanwhile, cosmetics and toiletries continued to sell well as popular brands go from strength to strength. Retailers are hopeful that with warmer weather and potential interest rate cuts around the corner, consumer confidence will soon spring back.”

On the back of the data, retailers took a hit. JD Sports lost 3.8%, Frasers fell 1.3%, and Next shed 0.2%.

Elsewhere in the FTSE 100, Phoenix Group jumped 7.5% to the top of the index.

The life insurance provider unveiled "ambitious" new targets as it reported annual results which met, and in some areas, surpassed City expectations.

In 2023, Phoenix reported total cash generation of GBP2.02 billion, up 35% from GBP1.50 billion the year prior.

This was above the company's upgraded target of GBP1.8 billion, which was also the market consensus.

Phoenix announced an ambition to grow operating cash generation by around 25% to GBP1.4 billion in 2026 from GBP1.1 billion in 2023, after which it is expected to grow at a mid-single digit rate over the long term.

In the FTSE 250, Darktrace fell 11%.

KKR Dark Aggregator has sold a GBP82.5 stake in the cybersecurity company, after announcing plans to fully exit its investment in Darktrace on Thursday.

The US investment firm, which first invested in Darktrace in 2016, has sold 19.4 million shares at 425p each.

Aston Martin rose 1.2%, after naming its new chief executive.

Aston Martin name Adrian Hallmark as its new CEO. He will join no later than October 1, succeeding Amedeo Felisa.

Hallmark joins from Bentley, where he as been chair & CEO since 2018.

Aston Martin Executive Chair Lawrence Stroll said: "In Adrian Hallmark, we are attracting one of the highest calibre leaders not just in our segment, but in the entire global automotive industry. Complementing our world-class leadership, Adrian will bring to Aston Martin unrivalled experience in both the ultra-luxury and British manufacturing sectors to progress our strategy and continue recent momentum."

Amongst small-caps, James Fisher rose 8.8%.

James Fisher said it has agreed to sell RMSpumptools for GBP90 million to ChampionX UK.

The company said the sale is in line with its strategy to simplify and focus its portfolio through the sale of non-core assets.

CEO Jean Vernet commented: "The sale of RMS marks a significant step in simplifying our portfolio to further strengthen our financial position and create a platform for sustained recovery. We believe the transaction represents good value for our shareholders, reflecting RMS's strong performance in recent years."

The pound was quoted at USD1.2589 early on Friday in London, lower compared to USD1.2665 at the equities close on Thursday. The euro stood at USD1.0812, down against USD1.0859. Against the yen, the dollar was trading at JPY151.48, lower compared to JPY151.69.

In Asia on Friday, the Nikkei 225 index in Tokyo closed up 0.2%. In China, the Shanghai Composite closed down 1.0%, while the Hang Seng index in Hong Kong was down 2.2% in late dealings. The S&P/ASX 200 in Sydney closed down 0.2%.

In the US on Thursday, Wall Street ended higher, with the Dow Jones Industrial Average up 0.7%, the S&P 500 up 0.3% and the Nasdaq Composite up 0.2%.

Brent oil was quoted at USD85.41 a barrel early in London on Friday, down from USD85.50 late Thursday.

Gold was quoted at USD2,167.29 an ounce, down against USD2,178.10.

Still to come on Friday's economic calendar, there is a retail sales reading from Canada at 1230 GMT.

[master rsi] 22/3/2024 08:50

Gemfields expects to swing to annual loss on write-down, lower output

(Alliance News) - Gemfields Group Ltd warned on Friday it expects to swing to an annual loss after a platinum group metals write-down and the withdrawal of emerald auction.

The London-headquartered gemstones producer expects a loss per share of 0.8 US cents in 2023, swung from earnings per share of 4.8 cents in 2022.

Headline loss per share, which includes Sedibelo Resources Ltd's fair value loss, is likely to be 0.9 cents compared with the prior year's headline EPS of 4.8 cents.

Gemfields said a review of its 6.5% shareholding in Sedibelo, the South African platinum group metals mining company, has resulted in a fair value write-down of between USD4.0 million and USD28.0 million.

Gemfields said revenue at its 75%-owned Kagem emerald mine in Zambia plunged 40% to USD89.9 million in 2023 from USD148.6 million in 2022, and top-line at 75%-held Montepuez Ruby Mining Ltda in Mozambique fell 9.2% to USD151.4 million from USD166.7 million. These are its two key operating assets.

Its luxury brand Faberge, meanwhile, recorded revenue of USD15.7 million, down 11% from USD17.6 million due to a softer luxury market.

Gemfields said it expects post-tax net loss of USD2.8 million, swung from profit of USD74.3 million.
Gemfields expects its annual financial results on Monday.

In London, Gemfields shares were down 5.2% at 12.56 pence on Friday morning. However, they rose 0.7% in Johannesburg to ZAR3.12.

[master rsi] 22/3/2024 08:31

EEE 7.30 v 7.50p +0.05p

They are piling in now 897 K v 462K 7.469p to buy

[master rsi] 22/3/2024 08:09

FTSE

On the up wth 16 points

[master rsi] 21/3/2024 23:54

EEE 7.35p but UT of 7.40p

It could bounce from this point, provided the nutters stay away from deramping, lies, and innuendo like the last couple of days.

[master rsi] 21/3/2024 23:19

Esken in administration as restructuring no longer "viable"

Esken Ltd - London-based provider of infrastructure, aviation and energy services - Clare Kennedy, Daniel Imison and Catherine Williamson of AlixPartners UK LLP appointed as joint administrators.

Earlier Thursday, Esken said that after consulting advisers it has concluded that implementing the restructuring plan "has ceased to be commercially viable". Esken, which is registered in Guernsey, said that "additional issues arise under Guernsey law...where the plan results in compromising the rights of members," as was the case for the Cyrus restructuring plan. Consequently, Esken concluded that the lengthy court process needed to complete the restructuring came with "unacceptable risk".

[master rsi] 21/3/2024 22:43

FTSE 250 movers: Dowlais on the slide; Hochschild shines
Shares in automotive engineering group Dowlais dropped on Thursday despite the announcement of a £50m share buyback, as the company pointed to stable revenues in 2024.

The company, which was formed from the spin-off of GKN's automotive and powder metallurgy divisions last year, said industry forecasts are pointing to a "slight decline" in global light vehicle production in 2024.

"Based on these external forecasts and our current order book, we anticipate group revenues will be similar to the prior year, at constant currency, with a modest reduction in the first half offset by an improvement in the second half due to the expected timing of several new programme launches," said chief executive Liam Butterworth.

For 2023, Dowlais reported a 4.6% increase in adjusted revenues to £5.49bn, driven by volume growth in automotive and inflation recoveries across the group.

Adjusted operating profits were up 6.6% at £355m helped by a 20 basis-point improvement in operating margins to 6.5%.

However, statutory pre-tax losses widened significantly to £522m, from a loss of £63m previously, after a £449m non-cash goodwill impairment charge resulting from a review of medium-term trading prospects of Powder Metallurgy.

The company ended the year with £93m of adjusted free cash flow, which is said was ahead of its expectations, helping to reduce net debt to £847m from £880m the year before.

The final dividend was proposed at 2.8p per share, resulting in a total payout of 4.2p for the year. The board also announced its intention to start a share buyback programme of up to £50m over a 12-month period from April.

The stock, which has lost over a quarter of its value since listing in London in April 2023, was down a further 3.31% at 86.96p by 0956 GMT.

Crest Nicholson fell again after warning it would have to rectify poor workmanship at some of its sites.

Computacenter shares were still out of favour despite the company reporting a record year for revenue, gross profit and adjusted earnings per share on Wednesday.

Hochschild Mining led the risers.

[master rsi] 21/3/2024 22:21

MARKET REPORT
LONDON MARKET CLOSE: FTSE 100 up as investors see Fed, BoE cuts ahead

(Alliance News) - London's FTSE 100 jumped on Thursday, as markets rallied on the back of dovish interest rate decision statements from both the US Federal Reserve and Bank of England.

The Fed statement, which suggested a trio of rate cuts will materialise this year, supported US tech shares. Housebuilders in London surged after some BoE policymakers dropped their hawkish bias.

The FTSE 100 index ended up 145.17 points, 1.9%, at 7,882.55. The FTSE 250 closed up 256.91 points, 1.3%, at 19,741.31, and the AIM All-Share rose 5.05 points, 0.7%, at 740.64.

The Cboe UK 100 ended up 1.8% at 788.77, the Cboe UK 250 rose 1.3% to 17,156.47, though the Cboe Small Companies fell 0.9% at 14,640.33.

In European equities on Thursday, the CAC 40 in Paris rose 0.2%, while the DAX 40 in Frankfurt surged 09%.

Stocks in New York were pushed even higher on Thursday, after Wednesday's rally. The Dow Jones Industrial Average was up 0.8%, the S&P 500 index climbed 0.6%, and the Nasdaq Composite added 0.8%.

"Global markets are welcoming what they see as a dovish statement from the US Federal Reserve, and one that promises rate cuts soon enough, while the Swiss National Bank's unexpected rate cut can only boost investors' conviction that we are at the peak of the interest rate cycle and moving into a welcome phase of reductions in the headline cost of money," AJ Bell analyst Russ Mould commented.

The Fed left interest rates unmoved, as expected, while its latest set of projections still suggest three cuts will come this year. The central bank's federal funds rate range was unchanged at 5.25%-5.50%.

After the Fed decision, the SNB surprised with a 25 basis point cut to its policy rate.

The BoE left bank rate at 5.25% in the afternoon, but the vote split gave equities the confidence to push higher.

There was a marked shift in the voting pattern with eight members of the MPC voting to leave interest rates unchanged, with hawks Jonathan Haskel and Catherine Mann no longer recommending rates be increased.

Analysts at Rabobank commented: "The two-way vote split was a surprise.

"The central bank also mentioned that 'monetary policy could remain restrictive even if bank rate were to be reduced'. Even as the guidance is unchanged, this implies it no longer contradicts the possibility of early rate reductions. The market is now priced for a first cut in June. In our view, June would be too soon. Underlying inflationary pressures are not consistent with 2% inflation. However, the dovish tilt is clear. As such, we bring forward our call for the first cut to August."

The decision lifted shares in the interest rate sensitive housebuilding sector. Berkeley Group closed among the best FTSE 100 performers, up 3.7%.

The dollar, which had tumbled after Wednesday's Fed decision, found its feet as Thursday progressed.

Sterling was quoted at USD1.2665 late Thursday in London, lower than USD1.2717 at the London equities close on Wednesday. The euro stood at USD1.0859, largely unmoved against USD1.0856. Against the yen, the dollar was trading at JPY151.69, up compared to JPY151.61.

Brent oil was quoted at USD85.50 a late in London on Thursday, down from USD85.93 late Wednesday. Gold was quoted at USD2,178.10 an ounce, higher against USD2,157.96. It had spiked to USD2,222.69 after the Fed decision on Wednesday.

XTB analyst Kathleen Brooks commented: "This suggests that while investors pile into stocks and risky assets on the expectation that central banks will hike in mid-year, they are also wary of inflation pressures in the pipeline. Oil prices are backing off slightly today, however the price of Brent crude oil is at its highest level since October 2023. Added to this, the prices of key agricultural commodities like coffee and corn are stronger, suggesting that there could be upward pressure on food prices later this year."

Next shares rose 6.7%. The retailer said statutory pretax profit in the 52 weeks to January 27 rose 17% to GBP1.02 billion from GBP869.3 million the year prior. Next said this included a GBP109 million exceptional gain from the Reiss acquisition, bought last September.

Next said total group sales climbed 5.9% to GBP5.84 billion from GBP5.52 billion with Next full price sales up 4.0%.

Dowlais lost 9.9%.

The automotive engineering spin-off of Melrose Industries, which listed in London back in April, said pretax loss widened in 2023 to GBP522 million from GBP63 million the year before. This resulted from a goodwill impairment of GBP449 million in 2023 compared to no such cost in 2022.

Revenue, however, rose by 5.7% to GBP4.86 billion from GBP4.60 billion a year prior, due to volume growth in its Automotive division, as well as inflation recoveries across the firm.

Looking ahead, Dowlais said it expects its 2024 revenue to be similar to that of 2023, noting expected industry-wide declines in global light vehicle production. It also said it expects its operating profit to be "modestly second half weighted".

XLMedia shares more than doubled, jumping to 13.50 pence from 6.25p. It said that it signed an agreement to sell its Europe and Canada sports betting and gaming assets to Gambling.com Group Ltd.

The London-based global digital media company said the sales are for a total of up to USD42.5 million.

"The group intends to use the proceeds of the transaction to cover asset transition costs, pay the final deferred US acquisition payment and settle outstanding tax provisions and provide working capital to support the North America business while returning cash to shareholders," XLMedia said.

Friday's local corporate calendar has half-year results from pub operator JD Wetherspoon and full-year results from savings and retirement business Phoenix Group Holdings.

The economic diary has a UK retail sales reading at 0700 GMT, after a Japanese consumer price inflation report overnight.

[master rsi] 21/3/2024 22:05

DOW

Finished 269 points higher .....

Stocks rise as Reddit makes stellar debut

US equities finished in positive territory on Thursday, riding on the back of encouraging statements from the Federal Reserve.

Wall Street indices surged to new heights as investor confidence remained robust.

The Dow Jones Industrial Average climbed 0.68% to 39,781.37,
while the S&P 500 advanced 0.32% to close at 5,241.53,
and the Nasdaq Composite added 0.2% to settle at 16,401.84.