Friday preview: US tech earnings, Chinese manufacturing, Natwest in focus

updated: 30 July 2020 at 2:37pm Author: Alexander Bueso

(Sharecast News) - The focus at the end of the week will be on a raft of earnings in the technology space out of the US, alongside a first reading on Chinese manufacturing sector conditions for July.




Overnight, US technology giants Amazon, Alphabet, Facebook, and Microsoft will update investors, likely setting the tone for the session.

Earnings from US machinery maker Caterpillar, widely considered to be a bellwether for the global economy are also due out, before the opening bell in New York.

Those will be followed by the Chinese National Bureau of Statistics's closely-followed factory sector Purchasing Managers' Index.

In the UK, the main reference for investors will be a reading on consumer confidence for the month of July, courtesy of consultancy GfK.

Readings on second quarter gross domestic product out of Italy and Spain are also likely to garner substantial attention.

Consensus is for Italian GDP to have fallen by 15.3% with Spain's economy seen having shrunk by 16%.

Stateside, the main economic reports scheduled for release are personal income and spending data for June and a final reading on US consumer confidence in July out of the University of Michigan.



From among the top UK corporate names due to update shareholders at the end of the week, the market spotlight is likely to be on Natwest, the former RBS.

UBS analyst Jason Napier is anticipating adjusted first half profits before tax of £145m, for a common equity Tier1 ratio of 16.0%.

In particular, investors will be keen to know if the lender's net interest margins did in fact hold up better than rivals Barclays and Lloyds as the analyst consensus expects.

The outlook for corporate and commercial loan losses and how government guarantees and furlough schemes might impact the outlook for cumulative loan losses will also be scrutinised.

So too prospects for capital payouts given that Natwest has the highest capital ratio of the sector, with its chairman having recently called for curbs on bank dividends to be lifted as soon as possible.

Friday 31 July

FINALS

Dillistone Group, China Nonferrous Gold Limited (DI)

INTERIMS

British American Tobacco, Coats Group, FBD Holdings, IAG, London Stock Exchange Group, Natwest Group, United Carpets Group, Rightmove

IMS

Paragon Banking Group, YouGov, Pets at Home

Q1

BT Group

Q2

Intertek Group

Q2 Production Report

Glencore

AGMs

FBD Holdings, Sequoia Economic Infrastructure Income Fund Limited, Pennon Group, Checkit, Safe Harbour Holdings, Sirius Real Estate Ltd., Axis Bank Ltd GDR (Reg S), JPMorgan Global Core Real Assets Limited, Midatech Pharma, Montanaro UK Smaller Companies Inv Trust, System1 Group, SDCL Energy Efficiency Income Trust, JD Sports Fashion

GMs

Raven Property Group Limited

FINAL DIVIDEND PAYMENT DATE

Hibernia Reit, JPMorgan Euro Small Co. Trust, Anpario, Aberdeen Japan Investment Trust, Maven Income & Growth VCT, iEnergizer Ltd., Steppe Cement Ltd, Edinburgh Inv Trust, B.P. Marsh & Partners, Tate & Lyle, Calculus VCT, Telecom Plus

INTERIM DIVIDEND PAYMENT DATE

JPMorgan European Investment Trust Inc Shs, Gabelli Merger Plus+ Trust, Character Group, Invesco Enhanced Income Limited, Polar Capital Holdings, Hipgnosis Songs Fund Limited NPV, Albion Venture Capital Trust, JPMorgan Global Markets Emerging Income Trust, TwentyFour Select Monthly Income Fund Limited, European Assets Trust, Caledonia Mining Corporation (DI), Aberdeen Latin American Income Fund Ltd, Ediston Property Investment Company, Securities Trust of Scotland, Zegona Communications, Henderson High Income Trust, UK Mortgages Limited, Lowland Investment Co, Schroder European Real Estate Investment Trust, Schroder Income Growth Fund, Twentyfour Income Fund Limited Ord Red, British Smaller Companies VCT

SPECIAL DIVIDEND PAYMENT DATE

Oxford Technology 4 Venture Capital Trust

QUARTERLY PAYMENT DATE

BMO Private Equity Trust, Standard Life Private Equity Trust

UK ECONOMIC ANNOUNCEMENTS

Nationwide House Price Index (07:00)

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Retail Sales (GER) (07:00)

GDP (Preliminary) (EU) (10:00)

Personal Consumption Expenditures (US) (13:30)

Personal Income (US) (13:30)

Personal Spending (US) (13:30)

U. of Michigan Confidence (US) (15:00)