UK Supply Constraints Could Hit Pound
The U.K.'s supply constraints could send the pound lower even though the market has recently priced in more interest rate rises by the Bank of England for next year, MUFG Bank says. The seriousness of supply side bottlenecks was underlined by the U.K. government's decision to offer temporary visas to fuel tanker and food truck drivers, and to poultry workers, MUFG currency analyst Lee Hardman says. "The latest developments are creating a more negative combination of weaker growth and higher inflation in the U.K. which we believe is a bad mix for pound performance." GBP/USD could weaken, especially if it falls below the 1.3600 support level, he says.
Shield Therapeutics Appoints Jose A. Menoyo Vice President, Chief Medical Officer
Shield Therapeutics PLC said on Monday that Jose A. Menoyo has been appointed vice president and chief medical officer with immediate effect.
SpaceandPeople 1H Pretax Loss Narrowed on Lower Costs
SpaceandPeople PLC on Monday reported a narrowed pretax loss for the first half of the year on lower costs and said its U.K. and German markets are rebounding.
Ukrproduct Swung to 1H Loss From Operations; Shares Fall
Shares in Ukrproduct Group Ltd. drop on Monday after the company said that it swung to a loss from operations for the first half as revenue fell.
Beeks Financial FY 2021 Pretax Profit Rose; Shares Rise
Shares in Beeks Financial Cloud Group PLC rose Monday after the company reported a significantly higher pretax profit for fiscal 2021, and said its outlook is strong.
Made Tech Group Prices IPO at GBP1.22 a Share; Market Capitalization GBP180.7 Mln
Made Tech Group PLC on Monday priced its initial public offering on London's junior AIM at 122 pence (167 cents) a share, implying a market capitalization of GBP180.7 million, equivalent to $247.1 million.
Harland & Wolff Nonexecutive Chairman Clive Richardson Steps Down
Harland & Wolff Group Holdings PLC said on Monday that Nonexecutive Chairman Clive Richardson was stepping down from the board, and that his notice period will run until mid-December.
Alkemy Capital Investments Shares Rise on London Market Debut
Shares of Alkemy Capital Investments PLC rose 20% on Monday as the company started trading on the London Stock Exchange, implying a market capitalization of 3.6 million pounds ($4.9 million).
Cornerstone FS 1H Pretax Loss Widened; Confident on Higher FY 2021 Revenue
Cornerstone FS PLC reported on Monday a significantly widened pretax loss for the first half of 2021 but said that it expects to post revenue growth for the full year on higher trading volumes in the second half.
Journeo 1H Pretax Profit Rose; Supply-Chain Issues Could Hurt 2022 Profit
Shares in Journeo PLC fell 13% in early trade Monday after the company said that supply-chain issues could hurt next year's profit, as it reported a higher pretax profit for the first half of 2021.
Aldi U.K. 2020 Pretax Profit Slips; Will Invest GBP1.3 Bln Over Two Years
Aldi U.K. said Monday that its 2020 pretax profit slipped despite recording its highest-ever sales, and pledged to invest 1.3 billion pounds ($1.78 billion) in the business.
After Early Investors Flee SPAC Deals, Day Traders Rush In
Day traders are targeting some companies that recently closed SPAC mergers, reinvigorating some of the meme-stock excitement that helped make such deals popular early in the year.
London Security 1H Pretax Profit Rose as Coronavirus Disruption Subsides
London Security PLC said Monday that first-half pretax profit and revenue rose as operations largely returned to normal after the disruption of the coronavirus pandemic.
Renishaw Delays FY 2021 Results; Confirms Figures in Line With Views
Renishaw PLC said Monday that its fiscal 2021 results have been delayed by three weeks to Oct. 21, but that they are expected to be in line with recently updated expectations.
Investors Sell Gilts as Inflation Pressures Intensify
1011 GMT - Investors are ditching U.K. government bonds across the board as they price in an earlier interest rate rise amid intensifying inflation pressures. The two-year gilt, which is more sensitive to changes in interest rate expectations, extends losses Monday, trading close to its lowest level since late February last year. The decline in the price of the bond has pushed the yield to 0.401% Monday, according to Tradeweb. Intensifying inflation pressures as the country grapples with a supply chain crisis that has left store shelves empty and motorists scrambling for petrol are likely to be feeding into the selling of gilts. "The market has overtaken us and the implied pricing [for higher interest rates] is faster than we anticipate," says RBC Capital Market.
Rolls-Royce's B-52 Engine Replacement Contract Looks Like a Good Win
0935 GMT - Rolls-Royce has been chosen for the B-52 engine replacement program by the U.S. Department of Defense and analysts at Jefferies consider this a good win for the engineering company. The DoD reports on its website that the contract is worth $500 million with a six-year base period and a potential total of $2.6 billion if all options are exercised, and this will highlight the company's ability to execute on the numerous opportunities in their Defense business, the U.S. bank says. "We suspect there will be little change to consensus forecasts on the back of this contract announcement, but it provides additional comfort to longer-term consensus forecasts and is a positive for sentiment," the bank says. Jefferies rates the stock buy.
Boohoo's International List Seen as Step Forward Toward ESG Commitments
0916 GMT - Boohoo's publication of its international factory list is another encouraging step for the online fashion retailer, Jefferies says. The company, which has reiterated its commitment to addressing work malpractice issues along its supply chain, is progressing with its ESG credentials and meeting the targets laid out in its 'agenda for change' plan, Jefferies says. "While no specific detail has been provided, we assume that, like the U.K., the mapping process has resulted in supplier consolidation and cost prices have been protected," Jefferies says. Boohoo also intends to sign the International Accord for Health and Safety, which would replace the Bangladesh Accord. Shares are up 1.9% at 264.60 pence.
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