FTSE up in day full of company earnings

On another day packed with company earnings the FTSE 100 has tracked higher by 20 points to 6630.

Sky logo
Source: Bloomberg

The soon to be called European TV behemoth, Sky, (-1.2%) complete with name change to make our lives easier, leads the blue chips lower thanks to the 20p dividend coming off the share price today. Having bought out Sky Italia and most of Sky Deutschland, the company now accounts for 20 million customers across Europe and will make itself a major global player in the modern multi-platform digital media world where the battle for content is hotter than it has ever been.

Elsewhere in the media, ITV’s (-0.6%) advertising revenue continues to be a jewel in its crown and comfortably outperforms the market. However, a fall in viewer numbers has been highlighted as something it wishes to work on, with next year’s Rugby World Cup one of the aces up its sleeve. The stock has languished somewhat since its early Autumn highs, and at around 200p it is relatively unchanged year-to-date despite a large trading range throughout the year.

Virgin Money began trading in London this morning with a listing price of 283p, and has behaved in an orderly fashion so far, trading thruppence higher. The shares priced near the bottom of the expected range to give a market cap of £1.25 billion. IG’s grey market had initially called for a higher valuation but tracked lower as we got closer to deadline day and was only marginally higher when the final price was announced. Despite the resurgent equity market of the last few weeks, the IPO market is still being greeted with some scepticism by investors. 

US markets will look to Walmart earnings pre-market for a bottom-up look at the economy. Markets there paused somewhat yesterday but with New York Federal Reserve president William Dudley, speaking in Dubai this morning, pointing out once again it is too early for rate rises given such low inflation, equities are still getting help from central bank speakers.

Currently we are calling the Dow Jones to open 50 points higher at 17,660.

IGA, may distribute information/research produced by its respective foreign marketing partners within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

This information/research prepared by IGA or IGA Group is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. In addition to the disclaimer above, the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

See important Research Disclaimer.