Select the account you'd like to open


Greencore crashes after profit warning

Equity markets in Europe are creeping higher this morning, with dealers cautiously optimistic the US-initiated trade war won’t be too damaging. 

While global political relationships remain cordial, investor sentiment is likely to remain upbeat, but should we see countries slapping tariffs on US goods, we could see sentiment sour.

Antofagasta posted a 31% jump in revenue and a 533% rise in profit. Output dipped slightly, but the higher copper prices more than made up the difference. The dividend was hiked by 177%. The miner feels the rise of electric cars will keep copper demand healthy, as the metal is used in the production process. The update was robust and is likely to keep investor sentiment high.

Greencore shares crashed after the company issued a profit warning. The company now expects earnings per share to be in the region of 14.7p-15.7p, whereas the previous forecast was between 15.7p and 16.6p. Patrick Coveney, the CEO will now spend half his time in the US in order to oversee the restructuring of the American operation. The firm aims to repurpose a couple of its plants in the US, and investors will be cautious until they see results from the American division. The stock is down 23% today, and has fallen to its lowest level since 2013. If the bearish trend continues it could target 111p.

The UK spring statement is due at 11.30am (UK), and chancellor Philip Hammond will be in focus. It is likely we will see low volatility in GBP/USD in the run up to the announcement. These sorts of updates tend to create a lot political headlines, but there is usually a muted reaction from the markets. 

EUR/USD is little unchanged after the jump in Spanish inflation was in line with expectations. The CPI rate ticked up to 1.2%, from 0.7%, which shows a considerable increase in demand.

At 12.30pm (UK time) the latest US inflation figures are announced, with economists expecting a reading of 2.2%, up from 2.1%.

We are expecting the Dow Jones to open up 92 points at 25,270 and we are calling the S&P 500 up 6 points at 2689.

CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.


Sign up for market update emails