The FTSE 100 was set to open 80.9 points lower before the bell on Wednesday after closing 0.42% higher in the previous session at 7,152.05.
Stocks to Watch
Real estate developer and home builder Berkeley Group said Wednesday that pre-tax earnings and earnings per share for the full year had both improved in the twelve months ended April 30, reflecting the “stability” of its “unique long-term operating model”. term” throughout an “exceptionally volatile” period.
Berkeley reported a 6.4% rise in pre-tax profit to £551.5m, a 23.1% rise in basic earnings per share to 417.8p and a one percentage point rise return on equity before tax at 17.5%. Revenue rose 6.6% to £2.38billion on the sale of 3,760 homes, up from 2,825 the previous year.
UK retailer JD Sports Fashion said on Wednesday it had more than doubled its annual profit.
JD Sports recorded a pre-tax profit of £654.7 million for the financial year ended January 29, compared to £324.0 million the previous year, thanks to strong performances in the UK, Ireland and in North America. The FTSE 100-listed group also added that profits for the current year would be in line with expectations and were currently up 5% year-to-date.
Annual wage growth stalled at 4% in May, leaving most workers with an increase in their earnings representing less than half of the 9% increase in prices. Figures of XpertRH, a publisher of pay and personnel data, said employers’ pay deals for the three months to May did not rise from April’s median of 4%, undermining fears that workers are pushing for anti-inflationary income increases that could trigger a wage-price spiral. – Guardian
Britain’s cost of living crisis is being made worse by Brexit which is reducing the country’s growth potential and costing workers hundreds of pounds a year in lost wages, new research has found. The Resolution Foundation think tank and academics from the London School of Economics said the average worker in Britain was now on course to suffer more than £470 in lost wages every year by 2030 after taking into account the rising cost of living, compared to a vote remaining in 2016. – Guardian
The state pension and benefits are set to rise in line with double-digit inflation, despite the government telling workers to take a pay cut on real terms. Cash confirmed on Tuesday that the ‘triple lock’ of pensions would be reinstated after being paused during the pandemic, taking pensioners’ annual payout above £10,000 for the first time. – Telegraph
In the past year, FinnCap generated revenues of £52.4 million, more than ten times the company’s turnover in its first full year of operation. Sam Smith, the first and only woman to head a stockbroker in town, is to leave FinnCap 24 years after founding it. – The temperature
Pendragon suffered a huge shareholder uproar over executive bonuses as nearly two-thirds voted against the pay report at the car dealership’s annual meeting. The scale of the revolt, the third in a row, was described as “extremely embarrassing” by one analyst as 65.51% of those who voted were against the directors’ compensation report. – The temperature
Close in the United States
Shares on Wall Street closed sharply higher on Tuesday as traders returned from the June 19 federal recess in a more positive mood despite lingering recession fears.
At the close, the Dow Jones Industrial Average was up 2.15% at 30,530.25, while the S&P 500 was 2.45% firmer at 3,764.79, and the Nasdaq Composite saw the session up 2.51% to 11,069.30.
Reporting by Iain Gilbert on Sharecast.com