What to expect from companies announcing results week commencing 2 April 2018.
Companies reporting w/c 2 April
Graham Spooner, Investment Research Analyst at The Share Centre, gives his thoughts on what to expect from companies announcing results week commencing 2 April 2018.
Hammerson (Q1 Results)
It has been an eventful past few months for the commercial property developer. In December it launched a takeover of rival Intu Properties with an all-share offer. Full year figures in February showed 7% rises in both net rental income and adjusted profit. Having then dropped out of the FTSE 100 index in March, Hammerson simultaneously revealed a cash and shares offer from French property group Klepierre, which valued the shares at 615p but was comprehensively rejected. All of this has occurred against a difficult background for property developers focused on the retail sector, with signs of weaker sales on the high street due to ongoing popularity of internet usage.
We currently list Hammerson as a HOLD
Economic Diary: week commencing 2 April 2018:
3 4 and 5 April,
Purchasing Managers Indexes (PMIs) UK manufacturing, construction and services, March – Markit/CIPS.
Last month, the manufacturing PMI fell to 55.2, an eight month low, the construction PMI did increase to 51.4, but even so pointed to very slow growth in the sector, but the Business Activity Index, which tracks services, rose to 54.5, a four month high for the index. Collectively, the indexes pointed to 0.4% quarterly growth in Q1. Did the quarter finish on a stronger footing?
US Employment Situation, March – Bureau of Labor Statistics
Last month, US non-farm payrolls increased by an impressive 313,000, at the same time, data from previous months was revised upwards by 54,000. The US household survey indicated a 785,000 increase in employment. US unemployment stayed at 4.1%, a level it has occupied since October, but the FED recently projected that US unemployment could call further yet, and to less than 4%. So far, the low level of unemployment has been maintained without any signs of wages increasing at a rate that may push up inflation to warrant a more rapid increase is US interest rates than expected. But will US wages finally respond the way theory says they should and increase at a much faster pace?
Further announcements include:
|4 April||Euro area flash inflation, March – Bureau of Labor Statistics|
|4 April||EU Unemployment, February – Bureau of Labor Statistics|
|6 April||UK productivity, October to December – Office for National Statistics|
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