Do the crises ig market profile forex Argentina and Turkey spell danger for emerging markets as the strong dollar stings? Spend your way onto the property ladder!
I received a mailshot offering free entries into the National Lottery – is it a scam? Fed up with being hit by energy price shocks? 59bn Brits have tied up in Europe safe? Days after it launched a stockbroking service, shares in spread betting firm IG Group took a tumble as a particularly quiet summer in the financial markets saw its first-quarter revenues fall short of analysts’ expectations. 6million as both volumes and volatility dropped close to historic lows.
Broker Liberum Capital said the revenue figure missed its sub-consensus forecast by 7 per cent and predicted analysts would downgrade revenue estimates by up to 5 per cent. IG is developing an international share dealing offering, which will allow its clients to use their equity assets as collateral against spreadbetting and other shorter-term leveraged trading. Mid cap IG saw its shares shed 5. But there was better news from two small cap City brokers, with both Cenkos Securities and Shore Capital buoyant after recording trading updates.
50 flat-fee with low cost dividend reinvestment. The group also doubled its interim dividend and said it is evaluating further ways of making returns to shareholders, particularly through share buy-backs. Cenkos shares surged 12 per cent higher, up 26. 5million, driven by strength in its capital markets business as it worked on the flotations of the likes of SSP and Poundland. Shore Capital shares added 10p at 427. But that good news out of the market failed to support the Footsie which drifted back from early gains reflecting uncertainties over the outlook for US interest rates, as well as concerns on the final day of campaigning for Scotland’s independence vote.
The FTSE 100 index closed 11. The Dow Jones industrial average rose 24. The Bank of England’s decision to hold its interest rates steady was made earlier this month, and with the publication of the MPC meeting minutes showing no further dissenting voices calling for a rate hike, and data showing average wages remaining weak, prospects for an early increase in UK interest rates remain low. Strength in housebuilders provided the main support for the blue chip index on rate relief, with Barratt Developments the top FTSE 100 performer, up 11. 7p to 392p, while Persimmon added 20p to 1352p.
Catalytic converter firm Johnson Matthey was also in demand, up 31p to 3131p after broker Berenberg upgraded its rating to buy from hold and hiked its target price for the stock to 36. Berenberg pointed out that Johnson Matthey now has a dominant position in most of the markets in which it operates and that its relative underperformance so far this year will be reversed in the second half. Chip designer ARM Holdings were also higher, up 20. 5p to reverse falls in the previous session after mid cap peer Imagination Technologies reported encouraging levels of activity.
But among the blue chip fallers, satellite broadcaster BSkyB lost 0. 5p after its plans to create an all-encompassing Sky Europe business took a blow after the board of Frankfurt-listed Sky Deutschland said it would not recommend the UK firm’s bid. 54million to its shareholders as part of a debt restructuring proposal. The FTSE 250 index dropped 16.
Interdealer broker ICAP stood out, adding 17. 4p after UBS raised its rating to neutral from sell. 4million, from Canada’s Public Works and Government Services. Could you ditch bricks and mortar and buy a canal boat? The comments below have not been moderated.
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