April 15, 2024
FTSE 100 LIVE: London up after US gains in Meta, Apple and Amazon shares

London’s FTSE 100 index rose on Friday after US tech giants Meta and Amazon shares released overnight results.

The capital’s key blue chip index opened 60 points higher at 7,682. At 8.30 am it was up 0.32 per cent at 7,646.57, while the midcap FTSE 250, which is more aligned with the UK domestic market, was up 0.89 per cent at 19,301.18.

While US tech stocks dominated the news overnight, all eyes will be on the US non-farm payrolls report, due out at 1.30 pm.

They will provide insight into the state of the US economy and potential signals about the next move on interest rates after the Federal Reserve voted to keep interest rates on hold again this week.

CMC Markets analyst Michael Hewson said: “Today’s January payrolls report is expected to add 185k new jobs, down from 216k in December, while wages are expected to be unchanged at 4.1 per cent.

“Unemployment rate 3. Unexpected after last month’s stunning decline. This may be revised with the expectation that it may see an increase of up to 62.6 percent.

Tech stocks dominated the news overnight, with Facebook’s parent firm Meta saying it was closing in on one of its best years ever with a jump in revenue as the multinational tech giant continued its “long-term” push into AI and virtual reality. Is kept.

In its quarterly and full-year update to investors, the Facebook owner reported an overall 16 percent rise in revenue for the year to $134.9 billion, as well as declaring a dividend for the first time.

Meanwhile, Apple reported sales and profit that beat Wall Street estimates due to growth in its iPhone business. But China sales missed analysts’ targets.

Amazon shares surge after impressive earnings results. Amazon saw its stock surge more than seven percent to $170.60 after a strong fourth-quarter earnings report.

Driven by innovative AI features in its cloud and ecommerce divisions, Amazon’s revenue exceeded expectations, with its cloud computing division AWS contributing 13 percent growth to $24.2 billion in the December quarter.

“Amazon’s high-margin businesses allow Amazon to achieve greater profitability while continuing to invest (last-mile delivery, fulfillment, Prime Now, Fresh, Prime Digital Content, Alexa/Echo, India, AWS, etc.). Amazon Prime membership growth drives recurring revenue and positive mix changes, said Brian Novak, equity analyst at Morgan Stanley.

There was disappointment in the UK, London, as January was another disappointing month for retailers. A new report from the British Retail Consortium (BRC) has revealed that footfall across the capital has fallen by 1.7 per cent on the start of the month. This has increased from the 1.4 percent decline recorded in December.

Chief executive Helen Dickinson said: “Many consumers appear to be particularly focused on bargains, with January sales upping the ante in the first half of the month.

“However, the latter half of January saw fewer shoppers as stormy weather led to a large drop in footfall in shopping centers and high streets.”

Andy Sumpter, EMEA Retail Consultant at Sensormatic Solutions, said: “With footfall falling due to two named storms in January, retailers also faced stormy trading conditions due to the cost of living decline and persistent sticky inflation.”

In a relatively quiet corporate morning, scandal-hit makeup firm Revolution Beauty said it disputes allegations made against it by former shareholder Chrysalis Investments.

Wizz A reported its biggest increase since passenger numbers surged in January, rising 14.2 percent from a year earlier, as the airline’s levels of pollutants rose almost twice as fast as its passengers.

Wizz Air’s share price rose 5.6 per cent to 2,095.00 after the open.

Shares in Barclays rose almost 2.5 per cent on the FTSE 100, while supermarket giant Sainsbury’s also rose just over two per cent.

The biggest faller on the FTSE 100 was BP, ahead of its highly anticipated results next week.

Source: www.cityam.com

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