- According to the latest data from the Office of National Statistics, UK inflation hit 9.1% in May, up from 9% in April.
- Oil prices continued to slide on Thursday as investors were keenly watching the risk of economic slowdown and the impact of the interest rate hike.
The UK stock market closed in the red on Wednesday after UK consumer price inflation spiked to 9.1% in May, the highest in 40 years. According to the data from the Office of National Statistics, UK inflation hit 9.1% in May, up from 9% in April. The inflation pressure was felt by most commodities, such as fiat, oil, etc. The pound was down by 0.21% against the dollar after increasing concern over inflation, economic growth, and interest rates.
Oil prices continued to slide on Thursday, as investors were keenly watching the risk of economic slowdown and the impact of the interest rate hike in major economies. At the time of writing, Brent crude futures were down by 1.89% to US$109.61, while US West Texas Intermediate (WTI) crude futures fell by 2.17% to US$103.83.
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Let us look at four FTSE-listed stocks that are in news.
1. Power Metal Resources Plc (LON: POW)
Power Metal Resources Plc is a metal exploration and development company that focuses on project interests including gold exploration in Australia and North America, and base metal exploration in Africa.
The FTSE AIM All-Share mining and metal company entered into an agreement with consulting geologist David Knopf to acquire and explore uranium prospects in Togo, West Africa. The company also plans to establish a 100% owned subsidiary in Togo, which will act as a holding company for its uranium interest.
With a market cap of £14.76 million, the shares of the miner were trading at GBX 1.00, at 08:13 AM (GMT+1), as of 23 June 2022. The company has given its shareholders a negative return of 55.00% in the last one year, while its year-to-date return stands at -32.65%, as of 23 June 2022.
2. Bushveld Minerals Limited (LON: BMN)
The South Africa-based low-cost, vertically integrated primary vanadium producer, Bushveld Minerals Limited operates through four segments: energy, mineral exploration activities for vanadium, vanadium mining and production, and coal exploration.
The FTSE AIM All-Share listed vanadium producer provided a summary of the key findings of the feasibility and pre-feasibility studies by METC South Africa Pty and MSA Group (Pty) Ltd of Vametco and Vanchem, which highlighted a significant opportunity to increase production by around 50% through its existing operations.
With a market cap of £86.05 million, the share of the company was trading at GBX 6.98, up by 2.57%, at 08:16 AM (GMT+1), as of 23 June 2022. The company has given its shareholders a negative return of 52.61% over the last one year, while its year-to-date return stands at -31.09%, as of 23 June 2022.
3. Berkeley Group Holdings (The) Plc (LON: BKG)
Berkeley Group is a British property developer and housebuilder with a current market cap of £4,093.43 million as of 23 June 2022. The company warned of risks due to increasing inflation and a potential slowdown in growth. The housebuilder has beaten its profit forecasts for the past year, and reported a 6.4% increase in pre-tax profit to £551.5 million in FY2022, from £518.1 million in FY2021. While its operating expenses jumped by 18% to £156.9 million.
The share of the FTSE 100-listed company was trading at GBX 3,633.00, down by 1.17%, at 08:19 AM (GMT+1), as of 23 June 2022. The company has given its shareholders a negative return of 21.99% over the last one year, while its year-to-date return stands at -24.34%, as of 23 June 2022.
4. JD Sports Fashion Plc (LON: JD.)
The market cap of the UK-based sports-fashion retailer, JD Sports Fashion, stands at £5,872.54 million as of 23 June 2022. The company has warned that the earnings will remain flat in the current financial year because of rising inflation. Despite the adversities, the company reported a whopping pretax profit of £654.7 million for the year ended January 29 from £324.0 million a year before. The profit before tax was £947.2 million, up from £421.3 million.
The share of the FTSE 100 listed retail company was trading at GBX 114.85, up by 0.88%, at 08:31 AM (GMT+1), as of 23 June 2022. The company has given its shareholders a negative return of 35.34% in the last one year, as of 23 June 2022, while its year-to-date return stands at -47.34%.
Note: The above content constitutes a very preliminary observation or view based on market trends and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.