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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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6 Dec 2018 12:06

LONDON MARKET MIDDAY: FTSE 100 At 2-Year Low; Oil Majors Sink Pre-OPEC

LONDON (Alliance News) - A fresh twist in the fraught relations between the US and China caused stock prices to plunge on Thursday, while oil majors weighed on the FTSE 100 as Brent dropped amid a

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3 Dec 2018 17:10

LONDON MARKET CLOSE: Stocks Surge As US-China Truce Lifts Sentiment

LONDON (Alliance News) - Stocks in London ended sharply higher on Monday with commodity stocks driving gains in the FTSE 100, as the US and China put their trade spat on the backburner for the 100

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3 Dec 2018 12:19

LONDON MARKET MIDDAY: Stocks Boosted By US-China Trade Detente

LONDON (Alliance News) - Stocks in London were sharply higher at midday on Monday, with miners driving gains in the FTSE 100, after the US and China reached an agreement at the weekend to defer in

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3 Dec 2018 10:50

WINNERS & LOSERS SUMMARY: McColl's Retail Plunges After Profit Warning

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Monday.----------FTSE 100 - up 8.9%, Evraz, up 7.8%, up

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3 Dec 2018 08:33

LONDON MARKET OPEN: Miners Help FTSE 100 Surge As Trade Tensions Ease

LONDON (Alliance News) - The FTSE 100 index kicked off December with an impressive 2% surge, with miners among the best performers in London on Monday amid easing world trade tensions and data the

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30 Nov 2018 17:10

LONDON MARKET CLOSE: FTSE 100 Ends Week In Red As G20 Summit Kicks Off

LONDON (Alliance News) - Stocks in London suffered as the G20 Summit started in Buenos Aires, with homebuilders and miners taking a hit - pushing London's blue chip index below 7,000 mark. The

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30 Nov 2018 08:56

LONDON MARKET OPEN: Miners Send FTSE 100 Lower After Weak Chinese Data

LONDON (Alliance News) - Stocks in London opened broadly lower, with miners weighing on the FTSE 100, as investor attention shifts to the G20 Summit getting underway in Buenos Aires.The FTSE 100 A

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29 Nov 2018 17:12

LONDON MARKET CLOSE: Miners Send FTSE 100 Higher As Intu Sinks Midcaps

LONDON (Alliance News) - Stocks in London ended mixed on Thursday, with miners driving the FTSE 100 higher and Intu Properties weighing on the FTSE 250 after a second takeover 100

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29 Nov 2018 12:11

LONDON MARKET MIDDAY: Prospect Of Slower US Rate Hikes Lifts Stocks

LONDON (Alliance News) - Stock prices in London on Thursday continued to rise on the wings of dovish comments late Wednesday by US Federal Reserve Chair Jerome Powell.Miners were among the best in

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23 Nov 2018 17:11

LONDON MARKET CLOSE: FTSE 100 Dragged Lower By Miners And Oil Majors

LONDON (Alliance News) - The FTSE 100 ended the week lower on Friday, weighed down by miners and oil majors on falling commodities, as the pound held steady despite continued political tensions or

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23 Nov 2018 12:23

LONDON MARKET MIDDAY: Pound Remains Firm As Brexit Tensions Linger

LONDON (Alliance News) - Share prices in London gave back all their morning-session gains to be marginally lower by midday Friday, as the pound held steady despite continued political tensions The

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23 Nov 2018 08:47

LONDON MARKET OPEN: Stocks Higher As Investors Cheer Ibstock Unit Sale

LONDON (Alliance News) - Stock prices opened broadly higher on Friday rebounding slightly from sharp losses on Thursday, while Ibstock led London midcaps after selling its US The

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2 Nov 2018 12:09

LONDON MARKET MIDDAY: FTSE 100 Trails European Peers Amid Relief Rally

LONDON (Alliance News) - Stocks in London were higher at midday Friday, joining a global relief rally as trade tensions between the US and China eased, although the FTSE 100's progress lagged its

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2 Nov 2018 10:51

WINNERS & LOSERS SUMMARY: Miners Rise As US-China Trade Tensions Ease

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Friday.----------FTSE 100 - up 3.6%, Anglo American, up up

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30 Oct 2018 10:41

WINNERS & LOSERS SUMMARY: Ocado Surges After Inking Deal With Kroger

LONDON (Alliance News) - The following stocks are the leading risers and fallers within the main London indices on Tuesday.----------FTSE 100 - Group, 7.2%. The online grocer said it has and

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