BOE's Comparatively Low Rate Rise Still Looks Positive For Sterling
17 June 2022 - 6:05PM
Dow Jones News
BOE's Comparatively Low Rate Rise Still Looks Positive For
Sterling
0707 GMT - The Bank of England's decision to raise interest
rates by another 25 basis points on Thursday was low compared to
other central banks but this doesn't necessarily put the sterling
at a disadvantage, Commerzbank says. A central bank that raises
rates slowly need not be perceived as weak if it is certain that it
will continue to lift rates, Commerzbank currency analyst Ulrich
Leuchtmann says in a note. "And because [the BOE] formulated its
will to hike further yesterday in a marginally more convincing
manner, the pound was able to rise correctly (and ceteris paribus:
permanently)," he says. GBP/USD falls 0.7% to 1.2265 and EUR/GBP
rises 0.4% to 0.85652. (renae.dyer@wsj.com)
Companies News:
Future Says on Track to Meet FY 2022 Guidance, Audience Growth
Returns
Future PLC said Friday that it is on track to achieve its
full-year guidance as the encouraging start to the second half of
fiscal year 2022 has continued.
---
M&C Saatchi Withdraws Recommendation for Next Fifteen
Takeover
M&C Saatchi PLC said Friday that it no longer considers the
takeover offer from Next Fifteen Communications Group PLC to be
fair and reasonable, as Next's share price has fallen since the
offer was made.
---
Glencore Raises Coal Guidance Amid Unprecedented Market
Conditions
Glencore PLC on Friday raised price and cost guidance for its
coal operations and said that the trading business is outperforming
expectations.
---
Curtis Banks Says COO Jane Ridgley Is Retiring
Curtis Banks Group PLC said Friday that its Chief Operating
Officer Jane Ridgley is retiring, and that it has started a search
for a successor.
---
Access Intelligence Sees 1H Revenue Increase Following Isentia
Buy
Access Intelligence PLC said Friday that revenue increased
significantly in its first half after the acquisition of media
monitoring, intelligence and insights company Isentia.
---
Allied Minds Names Bruce Failing as Interim Chairman
Allied Minds PLC said Friday that former senior independent
director Bruce Failing has assumed the role of interim chairman,
after former Chairman Harry Rein stepped down as planned.
---
Tesco 1Q Comparable Revenue Rose, But UK Sales Fell --
Update
Tesco PLC said Friday that like-for-like sales rose in the first
quarter of fiscal 2023, although U.K. revenue had a hit on an
on-year basis, and noted that its full-year guidance for its profit
and cash performance remains unchanged.
---
Directa Plus Says Performance Accelerated, Expects Major
Tender
Directa Plus PLC said on Friday that performance in the last two
months has accelerated and sales were in line with expectations as
it expects a major tender offer to be secured.
---
James Fisher & Sons Appoints New CEO
James Fisher & Sons PLC said Friday that it has appointed
Jean Vernet as chief executive officer with effect Sept. 5,
replacing Eoghan O'Lionaird.
---
Bidstack Group Appoints David Reeves as Chairman Designate
Bidstack Group PLC said Friday that it has appointed David
Reeves as chairman designate.
---
EnQuest Nonexecutive Chairman to Step Down
EnQuest PLC said Friday that nonexecutive Chairman Martin
Houston has decided to step down to pursue other business
interests.
Market Talk:
Tesco Looks Well-Positioned for Future on Back of UK
Market-Share Growth
0721 GMT - Tesco is well-positioned for what's to come, Citi
analysts Nick Coulter and Viraj Brahmbhatt say in a research note.
The U.K. grocer's decline in U.K. sales met the U.S. bank's
consensus expectations, it said, citing a post-pandemic
normalization and the effects of inflation. The fact that Tesco
continues to take market share when consumers are facing major
inflationary pressures should also be viewed positively, Citi adds.
Citi has a buy recommendation on the stock and a target price of
300 pence a share. Shares are down 0.3% at 249.00 pence.
(sabela.ojea@wsj.com; @sabelaojeaguix)
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
June 17, 2022 03:50 ET (07:50 GMT)
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