FTSE 100 Live October 25: HSBC Q3 earnings, corporate earnings calendar, focus on Rishi Sunak’s budget spending plans
SBC boss Noel Quinn believes “the lows of recent quarters are behind us” after the banking giant today revealed a 75% increase in third-quarter profits to $ 5.4 billion (3, £ 9 billion).
London-listed HSBC, which has also announced plans to repurchase $ 2 billion in shares, is one of several blue-chip companies releasing quarterly results this week.
The main event, however, will likely be Wednesday’s budget and the three-year spending review, when Chancellor Rishi Sunak unveils a new set of fiscal rules along with spending plans and an updated assessment of the fiscal outlook. in trouble.
COP26: London behind Europe in the race for green finance
LONDON is losing out to Europe in the race to dominate the “green” financial industry, says an influential think tank in a report it sees as a “reality check”.
Ahead of COP26, the environmental summit which will begin next week, New Financial says the City is lagging behind its rivals despite all the talk about “ESG” among large companies.
Teenage activist Greta Thunberg is right to criticize authorities for being slow in tackling climate change, the report’s authors admit.
Bank deals in sight as the BST refuses the cooperative
CO-OP Bank today confirmed reports over the weekend that it had made an offer for rival TSB, opening up the prospect of further transactions in the sector.
While this offer, to TSB’s Spanish owner, Sabadell, has been rejected, others now seem possible.
Entrepreneurs: Meet the founders of London-based start-up Stitch & Story
The founders of London-based start-up Stitch & Story discuss the high demand for knitting kits, expansion and supply chain issues.
ITV goes green
ITV is removing gasoline and diesel cars from its on-screen giveaways as part of its plans to go green. ITV said today that it will only offer hybrid or electric vehicles as a competitive price starting next spring, with only EVs offered as giveaways from 2023 if the offer allows.
ITV said it was “examining all opportunities” to switch to hybrid and electric vehicles through the company’s own fleet of vehicles. The plans are part of the broadcaster’s climate action plan, which was first announced last year. ITV aims to cut its emissions by almost half over the next 9 years to meet UN targets on limiting climate change.
ITV announced today that it will tie executive bonuses to climate targets and include climate and emissions targets in future debt deals. New programs will be audited for their carbon footprint and emissions will cover environmental issues. ITV is also urging its suppliers to come up with their own climate plans, threatening to stop working with them if they fail to develop plausible plans to achieve net zero.
The price of gasoline hits a record high
The recent surge in oil prices is reflected in the forecourt, with motorists paying record highs for fuel over the weekend.
The AA said the UK average gasoline price hit 142.94 per liter on Sunday, breaking the April 2012 record set of 0.46 pence.
Diesel prices hit 146.5p per liter on Sunday, just below the all-time high of 147.93%.
AA fuel prices spokesperson Luke Bosdet said: Electric.
“As for the poorest motorists, many of whom now face daily costs for driving in cities, there is no escape. It’s a return to cutting other consumer spending, maybe even heating or food, to keep the car that puts them to work on the road.
Just Eat activist calls for sale of GrubHub
An activist shareholder today stepped up pressure on Just Eat Takeaway by urging the food delivery giant to take “immediate action” on its ownership of US company GrubHub.
Cat Rock Capital, which owns 6.5% of the shares of Just Eat, wrote to the board saying that the industrial and financial logic of a sale or spin-off of GrubHub couldn’t be clearer.
He said the Just Eat stock price rose 329% from its IPO in 2016 until the day before the acquisition of GrubHub in June 2020, but underperformed the index by 69%. global MSCI.
Cat Rock founder and managing partner Alex Captain said GrubHub’s future hinged on Amazon, Walmart or Instacart as they seek to match DoorDash’s converging online food and grocery offerings and UberEats.
He added: “A deeply depressed stock price poses a real risk to Just Eat’s business, limiting its financial and strategic flexibility, inviting competitors to invest in its markets and leaving the company vulnerable to take-over bids. below its intrinsic long-term value. “
Just Eat shares rose 31p to 5722p today, but Captain believes a sell or split could lead to 100% appreciation as the stock reverted to its price before the GrubHub deal.
Elsewhere in London, mining and oil stocks rose 2% today to help the FTSE 100 index improve 37.05 points to 7,241.67, a gain of 0.5%.
Tesco shares were 2.75p to 273.5p higher despite an attempted hack of its website and app that prevented customers from placing orders with Britain’s largest grocer. Its online operations are now fully restored.
In the FTSE 250 index, AI cybersecurity firm Darktrace fell 12% after analysts at Peel Hunt recommended selling stocks after they had risen sharply since listing in April.
They wrote: “While we believe the high growth rates will continue, we are also seeing a disconnect between valuation and the ultimate income opportunity.”
The shares debuted at 250p and hit 985p last month, but Peel Hunt now has a target price of 473p. The stock fell 117p to 828.5p but the FTSE 250 index rose 14.09 points to 22,945.63.
Catering giant Compass strengthens its board
Compass, the FTSE 100 catering company that provides meals to schools, offices and football stadiums, has appointed two new non-executive directors.
The firm said Arlene Isaacs-Lowe and Sundar Raman will join on November 1 and January 1, respectively. They will also join the audit, corporate responsibility, nomination and remuneration committees.
Isaacs-Lowe is currently Special Advisor at Moody’s Corporation and previously was Global Head of Corporate Social Responsibility there.
Raman is the global CEO of Tissues and Home Care, Procter & Gamble’s largest company, where Compass said he was responsible for “delivering growth through innovation, a synchronized supply chain, brand creation and sales ”.
Ian Meakins, Chairman of Compass, said: “We look forward to benefiting from their background and experience in board deliberations over the next several years. “
Oil giants leap
The latest surge in oil prices pushed BP and Royal Dutch Shell to the top of the FTSE 100 index hike during a good start to the week for the London market.
BP was up nearly 2% and Shell was 1.2% stronger, while mining giants BHP and Glencore also added more than 1% to help the FTSE 100 index improve from 21.16 points at 7225.71.
HSBC stock was up 2.3 pence to 437.1 pence after its quarterly results and the announcement of its takeover.
The FTSE 250 index improved 35.39 points to 22,967.05, despite a 6% drop for Darktrace after a sell note from Peel Hunt interrupted a strong stock run in the cybersecurity firm AI-driven.
Urban Logistics collects almost all of the rents due
Urban Logistics has shown how the warehouse real estate industry has performed well during the pandemic, claiming to have collected over 99% of the rents due in the first half of the year.
Urban Logistics said that in the six months leading up to September 30, its occupancy rate was 99.4% at 91 properties.