FTSE’s big names to report earnings
Britain’s biggest company by market capitalisation, BP, reports fourth quarter numbers tomorrow, with analysts recently cutting forecasts for the firm after it flagged weak fuel refining in a January statement.
Pay TV firm BskyB reports on Wednesday and Thursday is shaping up to be hectic with
GlaxoSmithKline, banking group Barclays, food and consumer products group Unilever, phone company BT Group and aero-engine maker Rolls-Royce all set to report.
The FTSE has been bogged down over the past week, straying little from last Friday’s close of 4,391 points as investors absorbed a British interest rate hike and lacklustre results from oil giant Shell.
“It feels a bit disappointing in that the market doesn’t really want to go anywhere. It’s hard to put your finger on whether it’s avian flu, disappointing results from Shell or continuing worries about terrorism. There’s a general lethargy and it’s felt very quiet,” said Hilary Cook, director of investment strategy at Barclays Private Clients.
“We’re just revving up to the big British reporting season. How the British banking sector is performing is quite a good bellwether of the economic outlook generally,” she said.
Technical analysts said the year-end rally which swept the FTSE 100 up to 18-month highs above 4,500 in late January had always been susceptible to a seasonal pullback, adding that 4,300 points on the FTSE could yet be tested. British industrial production and producer prices data are due out today and trade balance figures tomorrow. Eyes will turn to US jobs data on Thursday and Friday’s release of the influential University of Michigan sentiment index.
“If the Michigan survey is disappointing you might see another knock on the market. Companies that disappoint are being punished and disappointing economic data is taken badly,” said Ms Cook.
CONNECT WITH US TODAY
Be the first to know the latest news and updates
