Vi använder en mängd olika cookies för att du ska få den bästa användarupplevelsen. Genom kontinuerlig användning av denna webbplats godkänner du vår användning av cookies. Du kan läsa mer om vår policy för cookies och redigera dina inställningar här eller genom att följa länken längst ner på alla sidor på vår webbplats.
Sainsbury's is trading at 361p after announcing a 0.2% increase in LFL sales excluding fuel in the 14 weeks to 4 January. The retailer stated the week before Christmas was the ‘busiest week ever’ with in excess of 28 million transactions registered.
The stock initially rallied after the opening bell, but once traders had time to read through the full update they realised that growth was a ‘small amount’ on the quarter, and learned that market conditions had been ‘tough and challenging’ for the supermarket.
As my colleague Alastair McCaig stated in his article on the retail sector last week, shops are willing to cut their prices in order to hold onto market share. Deep discount retailers like Lidl and Aldi have been eating into UK retailers’ profits.
Sainsbury’s stated that customers cashed in £120 million-worth of Nectar points during the run-up to Christmas, increasing 9% compared with the previous Christmas. This tells us something about consumer confidence in the UK.