UK's FTSE holds its ground as May hangs on, Ocado shines
London: The UK’s top share index held its ground on Tuesday as investors kept an eye on upcoming corporate results while assessing whether Prime Minister Theresa May would be able to hang on to power and deliver a smooth exit from the European Union.
The blue-chip FTSE 100 .FTSE index closed up 0.05 percent at 7,692.04 points while mid caps .FTMC rose 0.15 percent.
Politics were back in focus after two Eurosceptic British ministers quit on Monday in protest at May’s Brexit plans.
The reaction in markets, however, has been relatively muted, with sterling giving up earlier gains after official data showed that Britain’s economy picked up a bit of speed in May after a slowdown in early 2018, which in turn eased the pressure off the FTSE slightly.
“Our expectation is that the PM will survive this, and push ahead with her vision for Brexit,” strategists and economists at UBS wealth management said.
“UK stocks have performed relatively well as their international exposure and high weighting to commodities has boosted earnings. We expect these trends to persist for some time yet,” they added.
As Europe is about to step into the second-quarter earnings season, the focus is turning to company results.
Shares in Ocado (OCDO.L) had a volatile session and closed up 9 percent after a strong initial decline following the publication of the online supermarket’s first-half earnings.
“The news of a £9 million loss over the first six months of 2018 did little to deter bullish investors seeking to take advantage of any short term share price weakness”, wrote Josh Mahony, an analyst at IG.
Ocado’s shares are up 177 percent so far in 2018.
“The general market view of the company remains at a buy, despite this stratospheric rise and regardless of some inevitable profit-taking as seen in early trade,” Richard Hunter, head of markets at interactive investor, said.
TP ICAP (TCAPI.L) was a heavy faller among the mid caps, down 36 percent, its worst day on record after the interdealer broker issued a profit warning and said that its CEO was stepping down.
Shares in Fiat Chrysler and Ferrari fell more than 5 percent after CEO Sergio Marchionne fell seriously ill when suffering complications from surgery, prompting a premature change at the helm of both companies.
Uttar Pradesh government will be presenting a 'vision document' on the Taj Mahal in Agra before the Supreme Court on Thursday, an official said.
"The 20 million production milestone is a testimony of trust in brand Maruti Suzuki," MSIL Managing Director & CEO Kenichi Ayukawa said.
Hardcastle Restaurants, the master franchisee for McDonald's in the western and southern markets, is planning to recycle the used cooking oil and covert it into biodiesel for powering its refrigerated supply delivery trucks, a top company official said today.
Britain’s Ministry of Defence (MoD) said it had suspended a contract for outsourcing group Capita (CPI.L) to provide firefighting services on military sites after rival Serco (SRP.L) began a legal challenge to the decision.
The station, which was named after Lord Elphinstone, the Governor of Bombay Presidency from 1853 to 1860, has now been renamed in honour of a local deity.
Lavasa -an ultimate getaway, a city that would offer the charms of European locales, with five star comforts in a scenic part of Maharashtra has now become an abandoned town.
A second chargesheet by the ED has confirmed the trail of illegal cash Mallya transferred to his accounts across global tax havens.
Delayed payment by GMR-led DIAL, the Delhi airport operator, to the CISF guards could eventually lead to passengers paying more to fly out of the Indian Capital.
The West Bengal Police has claimed to have busted a Rs 100 crore plus job racket in the Indian Railways following a crucial arrest in the Indian Capital.