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LONDON MARKET CLOSE: Pound Slides Ahead Of May's Likely Brexit Defeat

Tue, 12th Mar 2019 16:58

LONDON (Alliance News) - London stocks ended higher on Tuesday amid a volatile session for the pound, which was trading below the USD1.31 mark ahead of UK Prime Minister Theresa May's likely defeat in Westminster this evening. The FTSE 100 index closed up 20.53 points, or 0.3%, at 7,151.15. The FTSE 250 ended up 50.90 points, or 0.3%, at 19,143.96, and the AIM All-Share closed down 0.52 of a point, or 0.1% at 907.48.The Cboe UK 100 ended up 0.5% at 12,156.62, the Cboe UK 250 closed up 0.4% at 17,112.76, and the Cboe Small Companies ended up 0.3% at 11,105.68."Sterling rode the proverbial Brexit rollercoaster on Tuesday, seeming to settle somewhere between the day's optimistic highs and realistic lows," said Connor Campbell at Spreadex.The pound was quoted at USD1.3083 at the London equities close Tuesday, lower compared to USD1.3101 at the close on Monday.Sterling had traded above the USD1.32 mark early on Tuesday, but quickly tumbled to near USD1.30 after Attorney General Geoffrey Cox said the risk of the UK remaining in an indefinite arrangement with the EU to protect an open Irish border after Brexit remained "unchanged."This was despite May saying she had secured legal assurances in last-minute discussions with EU leaders late Monday.Cox said there was still a legal risk of failed trade talks leaving the UK trapped in the so-called "backstop" arrangement, which is designed as a temporary, last-resort measure to guarantee and open Irish border.He said the EU's assurances did reduce the risk that the UK could be "indefinitely and involuntarily detained" in the backstop - designed to keep an open border between Ireland and Northern Ireland after Brexit - because of "bad faith" in negotiations by the EU.Speaking in parliament later, he urged lawmakers to back May's deal, saying their decision was ultimately "political" rather than legal.Nevertheless, Northern Ireland's Democratic Unionist Party joined dozens of eurosceptics Conservatives in opposing May's revised Brexit deal.May is now "almost guaranteed" to lose this evening's vote, said Spreadex's Campbell. "That means attention likely already turns to tomorrow's 'no deal' vote; it's going to be interesting to see how granular sterling gets in its reactions as Wednesday goes on," he commented.In European equities on Tuesday, the CAC 40 in Paris ended up 0.2%, while the DAX 30 in Frankfurt ended down 0.1%.The euro stood at USD1.1290 at the European equities close Tuesday, higher than USD1.1230 at the same time on Monday.Stocks in New York were mixed at the London equities close, with the DJIA down 0.2%, the S&P 500 index up 0.5%, and the Nasdaq Composite 0.6% higher.Boeing was trading 6.5% lower in New York, weighing on the Dow, as more countries banned the use of its 737 MAX 8 fleet after Sunday's deadly crash.All 157 people on board a Kenya-bound Ethiopian Airlines flight were killed when the aircraft crashed soon after taking off from Addis Ababa on Sunday morning.Africa's largest airliner said that the cause of the accident is not yet known, but the company decided to ground the particular fleet as an extra safety precaution.This was the second air disaster involving the Boeing 737-8 class of aircraft.The US aviation authority said it believes Boeing's 737 Max 8 model is airworthy, but Brazil, Malaysia, Singapore, South Korea, Australia the UK and China have banned the aircraft.In US data, consumer price inflation eased slightly in February on an annual basis, though grew on the previous month. The consumer price index rose 1.5% year-on-year in February, decelerating from a 1.6% rise in January. On a month-on-month basis, US consumer prices rose 0.2% in February, having been flat in January.Broker rating action saw Intertek and Antofagasta end among the worst performers in the FTSE 100, down 1.5% and 1.3% respectively. Merrill Lynch resumed safety and testing firm Intertek with an Underperform rating, while miner Antofagasta was cut to Sector Perform from Outperform by RBC.Meanwhile, Smith & Nephew ended up 1.2%. The medical technology company said it has agreed to acquire the US's Osiris Therapeutics Inc for USD660 million in cash.Maryland-based Osiris is a regenerative medicine firm that produces products such as skin, bone graft, and articular cartilage substitutes.Driving the FTSE 250 higher were Sirius Minerals, Quilter and Computacenter. Sirius Minerals, the best performer in the index as it gained 8.8%, said it is exploring an alternative financing agreement for its massive Yorkshire mine.Sirius is developing the Woodsmith polyhalite fertiliser mine near Whitby.It is currently looking at securing stage two financing for the development project, having pursued senior debt financing with a group of possible lenders since 2016. However, it has now received a "conditional" approach from a "major global financial institution" over an alternative proposal, though it is still a senior debt facility.Quilter shares advanced 8.3% after proposing an inaugural final dividend after reporting growth in both profit and revenue in 2018.In 2018, the UK-focused wealth and asset manager swung to a GBP163 million pretax profit from a GBP54 million loss the year prior. Total fee revenue rose 8.3% to GBP788 million from GBP728 million the year before.Quilter, spun out from Old Mutual, proposed a 3.3 pence per share final dividend, or 61.92 rand cents. During the year, Quilter also paid a 12.0 pence or 206.43 cent special dividend. Computacenter finished 5.0% higher as it posted a rise in adjusted profit for 2018.The computer services firm's statutory pretax profit for 2018 fell 3.2% to GBP108.1 million, as it booked GBP5.7 million of one-off purchase costs and GBP4.4 million of intangibles amortisation. Excluding this, pretax profit on an adjusted basis rose 11% to GBP118.2 million. Computacenter's revenue rose 15% to GBP4.35 billion, with Services revenue up 1.5% and Supply Chain, its main business, rising 21%. Providing a slight drag at the other end was Equiniti, down 7.1%. The financial services administration outsourcer reported an increase in annual profit but said the operational separation of Wells Fargo Shareowner Services is now expected three months later than previously thought.The company's revenue climbed 31% to GBP530.9 million in 2018, with organic revenue growth at a record 7.3%. Equiniti reported pretax profit of GBP20.7 million for 2018, 35% higher year-on-year.However, the operational separation of Wells Fargo Shareowner Services - also known as EQ US - is now expected by June, three months later than previously guided, for a total programme cost of no more than GBP45 million. In commodities, Brent oil was quoted at USD66.64 a barrel at the London equities close Tuesday from USD66.32 late Monday.Gold was quoted at USD1,297.69 an ounce at the London equities close Tuesday, up from USD1,291.91 at the close on Monday.In the UK corporate calendar on Wednesday, grocer Wm Morrison Supermarkets, drugmaker Hikma Pharmaceuticals, investment firm Standard Life Aberdeen, subprime lender Provident Financial and financial services company Prudential all release annual results. In Wednesday's economic calendar, eurozone industrial production is at 1000 GMT followed by US producer prices at 1230 GMT, with durable goods orders due at the same time. US construction spending is at 1400 GMT.In the UK, Chancellor Phillip Hammond presents his Spring Statement to the House of Commons at 1230 GMT. The event will not hold any new spending or tax measures, but he will communicate the Office for Budget Responsibility's latest borrowing and growth forecasts."Although the Office for Budget Responsibility will probably take some money away from Philip Hammond by downgrading its near-term forecasts for the performance of the economy, that cash will probably be more than recouped by the surprisingly strong public finances figures in recent months," said Capital Economics.

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12 Apr 2019 12:14

LONDON MARKET MIDDAY: Stocks Subdued As US Earnings Season Kicks Off

LONDON (Alliance News) - Stocks in London were slightly higher at midday Friday amid caution as US reporting season got underway with JPMorgan Chase reporting growth in their quarterly results and

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5 Apr 2019 17:12

LONDON MARKET CLOSE: Stocks End Week In Green On Boost From Miners

LONDON (Alliance News) - Stocks in London ended the week in the green with miners pushing the FTSE 100 higher, offset by homebuilders falling on UK house prices slipping in March. The FTSE 100 up

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5 Apr 2019 12:09

LONDON MARKET MIDDAY: Stocks Up On Cautious Optimism Over Trade Talks

LONDON (Alliance News) - Stocks in London were tentatively higher at midday as an update over US-China trade talks failed to inspire investors, with a potential announcement four weeks away. The a

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4 Apr 2019 13:33

TOP NEWS: Antofagasta Secures Financing For Los Pelambres Expansion

LONDON (Alliance News) - Antofagasta PLC said Thursday that its subsidiary Antofagasta Minerals SA has completed the financing of the Los Pelambres Expansion project in Chile, with the USD1.3 cost

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1 Apr 2019 16:50

LONDON MARKET CLOSE: Stocks Start Month On Front Foot After China Data

LONDON (Alliance News) - Stocks got off to a strong start to April on Monday, boosted by a rebound in the Chinese manufacturing sector which helped to lift London-listed miners. However, the FTSE

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1 Apr 2019 10:22

WINNERS & LOSERS SUMMARY: Airlines Hit By easyJet Brexit Warning

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Monday.----------FTSE 100 - down 3.8%. Deutsche Bank raised the and firm

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1 Apr 2019 08:48

LONDON MARKET OPEN: Stocks Up On China Data; easyJet Warns On Demand

LONDON (Alliance News) - Stock prices in London opened higher on Monday, with miners among the blue-chip risers following upbeat economic data from China, while easyJet fell after

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29 Mar 2019 17:05

LONDON MARKET CLOSE: Stocks Rise As It's Third Time Unlucky For PM May

LONDON (Alliance News) - Stocks in London ended higher on Friday amid continued optimism over the ongoing trade talks between the US and China.In a post on Twitter this morning, Treasury Secretary

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29 Mar 2019 12:30

LONDON MARKET MIDDAY: US-China Trade Talk Optimism Sends Miners Higher

LONDON (Alliance News) - London share prices were higher at midday Friday, with the FTSE 100 lifted by mining stocks amid optimism over US-China trade talks and despite significant hits to and 100

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29 Mar 2019 10:40

WINNERS & LOSERS SUMMARY: TUI Hit By Grounding Of Boeing 737 Max Jet

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Friday.----------FTSE 100 - up 2.5%, Glencore, up 2.6%,

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29 Mar 2019 08:48

LONDON MARKET OPEN: TUI Slides After Profit Warning, AstraZeneca Falls

LONDON (Alliance News) - Stocks in London opened in the green on Friday, ahead another key day for the UK's future with the EU, with the FTSE 100 higher despite declines by and

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25 Mar 2019 08:50

LONDON MARKET OPEN: Stocks Down; Inmarsat Up After Agreeing Takeover

LONDON (Alliance News) - Stock prices in London were lower on Monday as investors fretted over falling US bond yields; however the FTSE 100 index of big international companies found some support

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22 Mar 2019 17:18

LONDON MARKET CLOSE: Stocks Sold Off As US Yield Curve Inverts

LONDON (Alliance News) - Stocks in London ended sharply lower on Friday amid concerns over the global growth outlook after downbeat economic data from the continent. In addition, the US yield on -

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21 Mar 2019 12:10

LONDON MARKET MIDDAY: Miners Support FTSE 100; BoE Holds Rates

LONDON (Alliance News) - Mining stocks were helping the FTSE 100 outperform on Thursday, with commodities, in particular gold, boosted by a dovish statement by the US Federal Reserve. The FTSE was

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20 Mar 2019 10:31

WINNERS & LOSERS SUMMARY: Inmarsat Up As Private Equity Firms Make Bid

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Wednesday.----------FTSE 100 - Group, up 1.1%. The telecommunications was

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