Vectura logo

VEC - Vectura News Story

82.8p 0.0  0.0%

Last Trade - 4:47pm

Mid Cap
Market Cap £551.7m
Enterprise Value £454.1m
Revenue £172.3m
Position in Universe 536th / 1831

UPDATE 2-Weak U.S. factory data, Apple warning weigh on UK shares

Thu 3rd January, 2019 10:17am
* FTSE 100 down 0.6 pct * FTSE 250 down 0.8 pct * Global miners top drags * Next rises after "respectable" Christmas update * Sector M&A boosts AstraZeneca, GSK (Adds company news items, analyst comment, updates share moves) By Muvija M and Shashwat Awasthi Jan 3 (Reuters) - UK shares ended a wobbly session in the red as weak U.S. factory data piled on worries over the world's economy that were triggered by smartphone giant Apple's rare revenue cut, taking the shine off a positive Christmas update from retailer Next. The FTSE 100 .FTSE ended 0.6 percent lower and the mid-cap index .FTMC fell 0.8 percent. Both indexes saw a small comeback around noon when pharmaceutical companies boosted the main index higher, after Bristol-Myers Squibb's BMY.N $74 billion purchase of Celgene CELG.O .*:nL8N1Z32FL Pharma giants AstraZeneca AZN.L and GlaxoSmithKline GSK.L recouped earlier losses and rose 1.8 percent and 0.4 percent respectively, while a resurgence in crude prices helped oil majors eke out gains. But Apple's comments on "economic deceleration" in Greater China plus data showing that U.S. factory activity slowed more than expected in December ultimately had the final word. Investors dumped stocks sensitive to China, the world's second-largest economy, and took refuge in gold, seen as a safe haven. "What the market is wrestling with is whether it is indicative of a wider malaise in perhaps both the world economy and China," said Peter Rutter, head of global equities at Royal London Asset Management. HSBC HSBA.L edged 0.8 percent lower and Standard Chartered lost 3.2 percent, while luxury brand Burberry BRBY.L , also sensitive to signs of slowing demand in China, lost 6 percent to join the top fallers. Concerns over economic growth in top metals consumer China sent Rio Tinto RIO.L , BHP BHPB.L , Glencore GLEN.L and Antofagasta ANTO.L down between 1.3 and 4.8 percent. Blue-chip insurer Hiscox HSX.L dipped nearly 5 percent after hacker/hacking group "The Dark Overlord" claimed to have stolen 18,000 files from UK insurance firms involved in litigation for the 9/11 attacks in New York.*:nL3N1Z3299 A MIXED BAG OF NEWS One bright spot helping contain negative sentiment was high street clothing retailer Next NXT.L , which added 4.1 percent after reporting higher sales in the Christmas period thanks to a late surge in online demand.*:nL8N1Z30ZD "November was indeed difficult for Next as well, but Christmas did arrive ultimately, with the last three weeks of December being very strong in sales terms," said Peel Hunt analysts, while Investec called it a respectable trading update. Next's encouraging update also helped shares in Marks & Spencer MKS.L , Tesco TSCO.L , WM Morrison MRW.L and Primark-owner Associated British Foods ABF.L rise between 1.3 and 4.1 percent, among top blue-chip winners. Prominent mid-cap and small-cap retailers, including Superdry SDRY.L , Dunelm DNLM.L , Debenhams DEB.L , rose. AIM-listed ASOS ASOS.L was up 5.7 percent, also boosted by Peel Hunt reinstating a "buy" rating on the online fashion store a month after its profit alert shook the global retail scene. Still, investors continued to fret about the U.S.-China trade spat, a slowdown in the global economy, Brexit uncertainties, plunging oil prices - to name but a few. Data showing growth in Britain's construction sector fell to a three-month low in December did little to help the mood, highlighting delays in commercial projects due to Britain's impending departure from the European Union.*:nL9N1T201X*:nL8N1Z221P Jitters over how Britain would end up leaving the European Union has also restricted spending by companies and consumers alike, as a mid-January parliamentary vote on Prime Minister Theresa May's disputed EU divorce deal looms. Brexit minister Stephen Barclay said Britain was more likely to end up leaving the European Union without a deal if parliament rejects May's agreement.*:nL8N1Z312X Bank of England Governor Mark Carney warned in November that a "no deal" scenario would be an economic shock akin to the 1970s oil crisis. Industrial and bank shares were among the top drags on the mid-cap index, and only consumer staples and real estate stocks ended in black. Among small-caps, drugmaker Vectura VEC.L soared 13 percent to lead the gainers after a positive trading update and AIM-listed Faroe Petroleum FPM.L rose 4.9 percent after DNO's DNO.OL takeover offer became mandatory.*:nL3N1Z31WZ*:nASP0004DB <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ FTAS Consumer SVS vs FTAS GSK, AZN rise after BMY-CELG deal ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Reporting by Muvija M in Bengaluru, Editing by Helen Reid and Jon Boyle) ((; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 3638; Reuters Messaging: (( For related prices, Reuters users may click on - * UK stock report .L FTSE index: 0#.FTS6 techMARK 100 index: .FTT1X FTSE futures: 0#FFI: Gilt futures: 0#FLG: Smallcap index: .FTSC FTSE 250 index: .FTMC FTSE 350 index: .FTLC Market digest: .AD.L Top 10 by vol: .AV.L Top price gainers: .NG.L Top % gainers: .PG.L Top price losers: .NL.L Top % losers: .PL.L * For related news, click on - * UK hot stocks: [HOT and GB] Wall Street: .N Gilts report: GB/ Euro bond report GVD/EUR Pan European stock report: .EU Tokyo stocks: .T HK stocks: .HK Sterling report: GBP/ Dollar report: USD/ * For company prices, click on - * Company directory: UKEQ By sector: FTAX * For pan-European market data, click on - * European Equities speed guide................ EUR/EQUITY FTSE Eurotop 300 index........................... .FTEU3 DJ STOXX index................................... .STOXX Top 10 STOXX sectors........................ .PGL.STOXXS Top 10 EUROSTOXX sectors................... .PGL.STOXXES Top 10 Eurotop 300 sectors.................. .PGL.FTEU3S Top 25 European pct gainers.................... .PG.PEUR Top 25 European pct losers..................... .PL.PEUR ))
© Stockopedia 2019, Thomson Reuters, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.