FTSE 100 Rises as Gaming, Oil, Financial Stocks Gain
August 12 2022 - 5:04AM
Dow Jones News
FTSE 100 Rises as Gaming, Oil, Financial Stocks Gain
0823 GMT - The FTSE 100 Index rises 0.5%, or 37 points to 7503,
led by gains for gaming, oil, financial and mining stocks. Flutter
Entertainment jumps 9% and rival Entain also advances 3% after
Flutter reported higher first-half revenue and said the second half
had begun well. BP and Shell rise as the price of Brent crude
increases 0.3% to $99.92 a barrel. Barclays, NatWest, Admiral,
Aviva and Standard Chartered are among the biggest financial risers
as sentiment towards the sector stays positive after upbeat results
from insurers earlier in the week. Rio Tinto, Anglo American,
Glencore and BHP are the biggest risers in mining, though Fresnillo
drops as precious-metal prices edge lower.
(philip.waller@wsj.com)
Companies News:
Haleon Says It Hasn't Been Notified About Litigation on Zantac
Drug
Haleon PLC said Friday that it hasn't been notified about
potential negative implications of U.S. lawsuits over discontinued
heartburn drug Zantac.
---
888 Holdings 1H Pretax Profit Fell Materially
888 Holdings PLC reported on Friday a significant decline in
pretax profit for the first half of 2022 on lower contribution,
increased legal and professional costs linked to the acquisition of
William Hill, and expenses related to the disposal of the Bingo
business.
---
TBC Bank's 2Q Pretax Profit Fell on Higher Costs; Outlook
Unchanged
TBC Bank Group PLC reported Friday a decline in pretax profit
for the second quarter of 2022 on the back of higher operating
expenses, and reiterated its medium-term targets for the whole
year.
---
Stelrad Group 1H Pretax Profit Fell on Turkish Subsidiary Costs;
Declares Dividend
Stelrad Group PLC said Friday that pretax profit for the first
half fell amid higher costs caused by its Turkish subsidiary new
reporting standards, but revenue rose driven by increased
margins.
---
Global Invacom Group 1H Pretax Loss Widened; Starts Business
Review
Global Invacom Group Ltd. said Friday that pretax loss for the
first half of 2022 widened and revenue fell amid a shortage of
semiconductors, and that it is reviewing its business given
continuing challenges.
Market Talk:
Flutter's US Performance Will Drive Future Ambitions
0828 GMT - Flutter is keeping a sharp eye on the future, and its
U.S. business performance will be a key driver in meeting
ambitions, Interactive Investor says. The gambling group's
international business is generally where real opportunities lie as
the threat of regulation remains a thorn in the side of the U.K.
market, and the strategy of short-term pain for long-term gain is
beginning to show signs of success, Interactive Investor head of
markets Richard Hunter says in a note. "With an international
presence bolstered by a soon to be profitable U.S. unit, hopes
remain high and the market consensus of the shares as a strong buy
incorporates the longer-term view," he says. Shares are up 9.6% at
10,280 pence. (joseph.hoppe@wsj.com)
Flutter Entertainment Shares Rise After Upbeat 1H
0805 GMT - Shares in Flutter Entertainment rise 9% after the
owner of bookmaker Paddy Power reported higher first-half revenue
and said the second half had begun well. The results were strong,
with adjusted Ebitda topping consensus expectations, Citigroup
says. "We expect a positive share-price reaction to the print given
the beat on Ebitda, current trading showing no signs of slowdown
and strong U.S. performance," Citi analysts say in a note. "That
said, we expect little change to consensus FY22 adjusted Ebitda
expectations." (philip.waller@wsj.com)
UK GDP Contraction Is No Surprise as Technical Recession
Looms
0804 GMT - Despite the U.K. second quarter GDP reading beating
expectations, the figure still shows negative growth, which comes
as no surprise as the U.K. is at increased risk of slipping into a
technical recession, Tom Hopkins, portfolio manager at BRI Wealth
Management, says in a note. According to Hopkins, the contraction
can be attributed to a weak level of activity in June, in the wake
of the extended bank holiday to celebrate the Queen's jubilee.
Other factors driving the contraction were rampant inflation,
exacerbated by the war in Ukraine and pandemic-related supply chain
disruptions, he says. (maria.martinez@wsj.com)
UK GDP Fell in 2Q on Queen's Jubilee, Not Recessionary
Factors
0747 GMT - The slight fall in U.K. GDP in the second quarter is
a byproduct of the extra public holiday to mark Queen Elizabeth
II's Platinum Jubilee, rather than a sign that the economy is
already in a recession, Pantheon Macroeconomics' chief U.K.
economist Samuel Tombs says in a note. While some sectors benefited
from the extra public holiday, such as accommodation and food
services, most were hurt by staff absences, he says. GDP likely
snapped back in July and might even have exceeded its trend level
modestly, according to Pantheon. "Uncertainty regarding the extent
of the disruption caused by the Jubilee will mean we will have to
wait for August's GDP data to accurately assess the economy's
underlying momentum," Tombs says. (maria.martinez@wsj.com)
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
August 12, 2022 04:49 ET (08:49 GMT)
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