The Week Ahead (17-21 Feb): Jet2, Miners, Banks

14th Feb by Keelan Cooper

10 comments 1900 reads

It was another eventful week in the markets, with inflation back in the spotlight and rate-cut hopes dimming. U.S. consumer prices came in hotter than expected, rising 0.5% in January—the biggest jump in nearly 18 months. That puts the annual inflation rate at 3.0%, reinforcing the Federal Reserve’s stance that it’s not in a hurry to start cutting interest rates.

The inflation surge was broad-based. The concern now is that this isn’t just a seasonal blip—there’s a real risk that inflation pressures could stick around for longer than expected. Markets initially didn’t take the news well, but quickly recovered.

Across the Atlantic, European markets had a very strong week. The STOXX 600 hit an all-time high, buoyed by strong earnings from Heineken and ABN AMRO in the Netherlands. Germany’s leading index, the DAX, also continues to defy all expectations, surging more than 12% year to date.

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The European markets are seemingly shrugging off the looming US tariff threats, but this could introduce fresh uncertainty in the coming weeks. Back home, we have inflation figures and unemployment statistics to look forward to next week.

Economic Calendar

Monday 17th
13:30	United States	Retail Sales
Tuesday 18th
07:00	UK	Unemployment Rate
10:00	Germany	ZEW Survey - Economic Sentiment
Wednesday 19th
07:00	UK	Inflation Rate
19:00	United States	FOMC Interest Rate Minutes
Thursday 20th
07:00	Germany	Producer Price Index
13:30	United States	Initial Jobless Claims
Friday 21st
00:01	UK	GFK Consumer Confidence
07:00	UK	Retail Sales

Companies Reporting

	UK Trading Updates	UK Financial Results	International Financial Results
Monday 17 Feb		Moneysupermarket.com Wilmington
Tuesday 18 Feb		BHP InterContinental Hotels Antofagasta Plus500 Springfield Properties	Occidental Petroleum
Wednesday 19 Feb	Jet2	HSBC BAE Systems Morgan Sindall Group Glencore Conduit Holdings Rio Tinto	Carvana Garmin
Thursday 20 Feb	Safestore Holdings	Anglo American Lloyds Mondi Centrica Indivior Hays WPP	Walmart Booking Group Airbus Alibaba MercadoLibre
Friday 21 Feb		Standard Chartered

Jet2 - FY Trading Update

One of the most successful companies listed on the London markets over the last two decades, leading package holiday…

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Pritch

14th Feb

Hey Keelan, I believe US retail sales were reported today. Next Monday's a holiday for the US markets. Also, Morgan Sindall report the following week according to their website.

Rusty2

Yes retail US sales slump, due to bad weather and post holiday blues.

yadi

excellent article. Has facts, analysis and comments. Everything we need to make our minds up. Lets see what Mr Market makes of it on Wednesday. Hope he is in a good mood on that day!

Keelan Cooper

Hi Pritch, that's correct. Morgan Sindall looks set to report its final results the week after, on the 26th Feb.

Hi Yadi, thanks for the comment! Look forward to seeing how the market reacts to what I expect to be some further solid results on Wednesday.

As a holder, I will, of course, be hoping for a 'Significantly ahead of expectations' announcement! :-)

Best,
Keelan

I'm also a Jet2 (LON:JET2) holder, following On Beach group (LON:OTB) update, l'm hopeful but who knows.

Andy Garsed

15th Feb

Hi Keelan, Thx for your summary of JET2, very interesting particularly as I was in EZJ until 2019. BTW I think Lloyds will report next Thursday not Wednesday.

17th Feb

Hi Andy, I've also been an easyJet holder over the years. I'm quite optimistic on the travel industry as a whole, as I believe the post-Covid shift in mindset towards prioritising experiences over material things is here to stay.

After IAG's extraordinary run over the last 6 months, I feel easyJet and Jet2 could now offer the best risk/reward dynamics for meaningful capital appreciation in the sector (though IAG does still appear to be cheap on a variety of metrics).

easyJet has astutely jumped on the packaged holiday's trend and is looking much better for it, but I think Jet2's balance sheet strength, proven management team, and ambitious growth plans are what set it apart.

With regard to Lloyds, I double checked the company's corporate calendar, and the FY release is on Thursday, as shown in the table.

https://www.lloydsbankinggroup...

Best,
Keelan

Hi Rusty2,

I did have a glance at the On Beach group (LON:OTB) results last December. I actually thought there might have been some better read across from the excellent results. I particularly liked the following statement:

"The positive momentum in FY24 has continued into the new financial year, with TTV 14% ahead of last year, indicating that customers continue to prioritise their spending on holidays. Winter '24 volumes are currently at record levels, up 25% year on year, as customers seek winter sun or a European city break, and we anticipate Summer '25 to be significantly ahead of last year, with bookings to date supporting this."

Plenty of other updates from the likes of WH Smith, easyJet, Ryanair etc. suggest its been a strong winter period for travel. Promising signs, but Wednesday's figures will hold the truth!

Best,
Keelan

19th Feb

Hi Keelan. Apologies for not noticing your comment. Thanks for your reply.

The Week Ahead (17-21 Feb): Jet2, Miners, Banks

Economic Calendar

Companies Reporting

Jet2 - FY Trading Update

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Keelan Cooper

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