Sterling fell overnight to $1.2874 as election and economic uncertainty trickled through. Against the euro the pound is down 0.4%. The pound has been on the defensive due to terrorism anxiety and the release of US Fed minutes, indicating the likliehood of a US rate rise.
Yesterday’s UK GDP cut was also a disappointment. Overnight the dollar was boosted by better US job data while commodity currency players saw weakness from yesterday's OPEC production cut.
The FTSE 100 yesterday finished in positive territory – just – up three points to 7,517.71 with 3I Group the biggest climber up 3.7%. The Dow completed Thursday up 70 points at 21,082.95, 32 points off its all-time high.
Today, US durable goods numbers are out at 1.30pm plus a US GDP update at the same time. University of Michigan confidence data arrives at 3pm.
- UK FTSE 100 7,517.71 +0.04%
- Dow 21,082.95 +0.34%
- S&P 500 2,415.07 +0.44%
- Nasdaq 6,205.26 +0.69%
- DAX 12,621.72 -0.17%
- CAC 40 5,337.16 -0.08%
- Gold 1,261.10 +0.10%
- Oil WTI 48.61 -0.61%
Intertek revenues solid
This morning product testing and safety services player Intertek says group revenues are up 14.2% to £883.5m at actual rates but falls to 1.8% at constant rates.
Intertek says there’s no change to 2017 targets of revenue growth plus moderate margin expansion.
Its Products and Trade related divisions – which represent over 90% of the Group's earnings – delivered broad-based 5.5% organic revenue growth at constant rates.
Finance car debt surges
More worry on UK personal debt, particularly for the UK car finance market. Insolvency experts told the BBC this morning that debt for new cars are at record levels.
PCP deals are very much in the spotlight as more manufacturers deploy credit packages to shift stock. A Money Mail investigation yesterday found that a worker on the minimum wage was able to buy a £19,000 sports car.
The Financial Conduct Authority and the Bank of England have both warned on the increasing popularity of PCP schemes.
Informa backs full-year expectations
Lastly FTSE 100 heavyweight Informa re-confirmed fully year expectations this morning with improvement in its operating performance through the first four months of 2017.
The exhibitions-to-events-to-publishing player says it's on track for more earnings growth. Trading remains strong for global exhibitions while renewal rates for its business intelligence arm remains at 90%.
Its integration of Penton Information Services “is progressing faster than planned and so we are confident of reaching our target run rate of £14m annualised net operating synergies by year-end.”
Breaking news: Japanese consumer prices rise 0.3% in April, the biggest climb since 2015.