RBS to report on Friday

Royal Bank of Scotland will announce first quarter results for 2014 on Friday; the consensus is for revenue of £4.8 billion and a net profit of £254 million.

In February, the bailed-out bank revealed a pre-tax loss of £8.2 billion in 2013 – a 57% increase from the loss posted in 2012. RBS is currently trading at 306, down 13% since it announced its massive full-year loss in February, which was the largest loss posted by the bank since it was bailed out in 2008.

RBS is higher today after Lloyds revealed a 22% rise in first-quarter profit this morning. As Lloyds received less state support during the credit crisis, some traders view Lloyds as an indication of how RBS will be behave in the next few years.  

We are just over one year away from the next UK general election; provided the bank can withstand it, Westminster may look to unwind its stake in the lender before voters go to the polling booths next May.

The share price is well below the 200-day moving average of 336, but the stock found support around the 300 level. We have yet to fill the gap down from 354 to 339 in February; if the results tomorrow are positive, we could be on a path to fill it in the short term.

Royal Bank of Scotland chart

Denna information har sammanställts av IG, ett handelsnamn för IG Markets Limited. Utöver friskrivningen nedan innehåller materialet på denna sida inte ett fastställande av våra handelspriser, eller ett erbjudande om en transaktion i ett finansiellt instrument. IG accepterar inget ansvar för eventuella åtgärder som görs eller inte görs baserat på detta material eller för de följder detta kan få. Inga garantier ges för riktigheten eller fullständigheten av denna information. Någon person som agerar på informationen gör det således på egen risk. Materialet tar inte hänsyn till specifika placeringsmål, ekonomiska situationer och behov av någon specifik person som får ta del av detta. Det har inte upprättats i enlighet med rättsliga krav som ställs för att främja oberoende investeringsanalyser utan skall betraktas som marknadsföringsmaterial.