How the UK Markets’ fared after government borrowings hit a record high?

3 min read | March 19, 2021 05:58 PM GMT | By Team Kalkine Media

US Markets: Broader indices in the United States traded on a mixed note - particularly, the S&P 500 index traded 7.22 points or 0.18 per cent higher at 3,922.68, Dow Jones Industrial Average Index dipped by 119.30 points or 0.36 per cent lower at 32,743.00, and the technology benchmark index Nasdaq Composite traded higher at 13,224.59, up by 108.42 points or 0.83 per cent against the previous day close (at the time of writing, before the US market close at 12:30 PM ET).

US Market News: The major indices of Wall Street traded on a mixed note due to the rising bond yields. Among the gaining stocks, FedEx Corp shares jumped by about 6.12%, after its quarterly profit came out to be more than expectations. Sarepta Therapeutics shares went up by approximately 0.35% after the Company declared encouraging trail results for muscular dystrophy treatment. Among the declining stocks, Skillz shares went down by about 8.37%, after the mobile gaming company had announced a 32 million share public offering. Nike shares dropped by about 3.68% after the quarterly sales missed the forecast.

US Stocks Performance*

UK Market News: The London markets traded in a red zone amid rising investor concerns regarding the Covid-19 vaccination programme and the increasing bond yields. FTSE 100 traded lower by around 1.05% as oil prices tumbled due to ongoing fears regarding lockdowns in Europe. The Public sector net borrowing came out to be 19.1 billion pounds for February 2021.

Pub Chain JD Wetherspoon had reported heavy half-year loss adversely impacted by the Covid-19 pandemic. The Company had reported a loss before tax of 46.2 million pounds during H1 FY21, while it had reported a profit of 57.9 million pounds for the prior period. Meanwhile, the shares went down by around 0.46%.

Banking Giant Natwest Group shares dropped by approximately 1.00% after it said that it would spend around 1.1 billion pounds to purchase 5% of shares from the UK Treasury, which became a major shareholder during the financial crisis.

Investec had anticipated full-year adjusted operating profit to witness a decline ranging from 16% to 24% from the prior year. Furthermore, the shares dropped by around 1.69%.

U.S. power generation firm ContourGlobal shares went up by approximately 0.49% after it had raised the dividend payments driven by growth in annual adjusted core earnings. Moreover, the earnings were boosted by the acquisition of Mexican CHP assets.

European Indices Performance (at the time of writing):

FTSE 100 Index One Year Performance (as on 19 March 2021)

          1 Year FTSE 100 Chart (Source: EODHD/Others, Thomson Reuters)

Top 3 Volume Stocks in FTSE 100*: Lloyds Banking Group Plc (LLOY); Vodafone Group Plc (VOD); Rolls-Royce Holdings Plc (RR.).

Top Sector traded in green*: Utilities (+0.66%).

Top 3 Sectors traded in red*: Financials (-2.33%), Basic Materials (-1.57%) and Energy (-1.52%).

London Stock Exchange: Stocks Performance (at the time of writing)

Crude Oil Future Prices*: Brent future crude oil (future) price and WTI crude oil (future) price were hovering at $64.37/barrel and $61.28/barrel, respectively.

Gold Price*: Gold price was quoting at US$1,741.30 per ounce, up by 0.51% against the prior day closing.

Currency Rates*: GBP to USD: 1.3878; EUR to GBP: 0.8580.

Bond Yields*: US 10-Year Treasury yield: 1.723%; UK 10-Year Government Bond yield: 0.846%.

 

*At the time of writing 


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