Sterling Edges Lower After UK Inflation Data
0659 GMT - Sterling edges lower after data showed U.K. inflation
accelerated moderately in May, undershooting some market
expectations. Inflation climbed to an annual rate of 9.1% in May
from 9.0% in April. Economists polled by the WSJ expected inflation
to reach 9.2%. "The modest rise in inflation...won't prevent the
Bank of England from raising interest rates further, but it may
encourage it to opt again for a 25 basis points rate hike at its
next meeting in August rather than upping the ante with a 50bps
hike," Capital Economics economist Paul Dales writes. GBP/USD falls
to 1.2215 after the data from 1.2232 beforehand and EUR/GBP rises
to 0.8589 from 0.8576. (renae.dyer@wsj.com)
Companies News:
Micro Focus 1H Pretax Loss Narrowed on Lower One-Off Costs, Gain
on Digital Safe Disposal
Micro Focus International PLC said Wednesday that its pretax
loss for the first half narrowed, driven by a significant reduction
in exceptional spending and a $63.0 million profit on the disposal
of Digital Safe.
---
Anglo American's De Beers Reports Higher Diamond Sales for Cycle
5
Anglo American PLC on Wednesday reported diamond sales of $650
million for the fifth sales cycle of 2022 running between June 6
and June 21.
---
Berkeley Group FY 2022 Profit Rose on Robust Homes Demand; Backs
FY 2023 Views
Berkeley Group Holdings PLC said Wednesday that pretax profit
and revenue rose in fiscal 2022, and backed its fiscal 2023
expectations.
---
Frasers Group Increases Investment in Hugo Boss
Frasers Group PLC said Wednesday that it has recently increased
its investment in Hugo Boss AG to around 900 million euro ($948.0
million).
---
UK Government Extends NatWest Trading Plan to August 2023
UK Government Investments Ltd. said Wednesday that it has
extended the trading plan under which it will sell Her Majesty's
Treasury's shareholding in NatWest Group PLC by a year to Aug. 11,
2023.
---
Churchill China Confident in 2022 View on Continued Record
Demand
Churchill China PLC said Wednesday that it remains confident of
delivering an on-year improvement in performance for 2022 as the
record demand noted in its preliminary results has continued.
---
Bonhill to Sell Business Solutions and Governance Arm; Focus on
Financial Services
Bonhill Group PLC said Wednesday that it has decided to sell its
business solutions and governance division to focus on financial
services.
---
JD Sports Fashion FY 2022 Pretax Profit Rose but Missed Market
Views
JD Sports Fashion PLC said Wednesday that pretax profit for
fiscal 2022 rose, though it was below market expectations, and the
company warned of headwinds due to macroeconomic uncertainties.
---
Intelligent Ultrasound Sees 2022 Revenue in Line With
Expectations
Intelligent Ultrasound Group PLC said Wednesday that it
continues to be confident in the upgraded market expectations for
2022 revenue.
---
Liontrust FY 2022 Pretax Profit Rose, Raises Dividend
Liontrust Asset Management PLC reported on Wednesday a rise in
both pretax profit and revenue for fiscal 2022, and raised its
dividend payout.
---
Team PLC 1H Pretax Loss Narrowed on Organic Growth, Maintained
Positive Momentum
Team PLC said Wednesday that pretax loss for the first half of
fiscal 2022 narrowed and revenue increased on organic growth and
maintained positive momentum after completing two acquisitions.
---
System1 Group to Return Up to GBP1.5 Mln Via Tender Offer
System1 Group PLC said Wednesday that it will seek to return up
to 1.5 million pounds ($1.8 million) of excess cash via tender
offer, and going forward it will pay annual distributions via
buyback or tender offer rather than by way of a dividend.
---
Wentworth Resources Backs 2022 Gas Production Guidance
Wentworth Resources PLC said on Wednesday that its gas
production guidance for 2022 remains unchanged as its rate remains
robust.
---
Roquefort Therapeutics to Buy Oncogeni in All-Share Deal
Roquefort Therapeutics PLC shares rose Wednesday after it said
that it has conditionally agreed to buy Oncogeni Ltd. in return for
shares, and it will also place shares at a premium to raise 1
million pounds ($1.2 million) to fund development of the enlarged
group.
---
Impact Healthcare REIT to Raise Undisclosed Amount to Buy Care
Homes
Impact Healthcare REIT PLC said Wednesday that it will raise
funds, in a share placing and offer for subscription, to acquire an
identified pipeline of care homes.
Market Talk:
Persistently High UK Inflation Could Prompt a Stronger Response
From BoE
0709 GMT - U.K. inflation data for May should support the Bank
of England's stance to keep raising rates by 25 basis points as the
9.1% inflation rate was in line with expectations and economic
growth shows signs of weakening, ING's developed markets economist
James Smith says in a note. However, with inflation expected to
remain above 9% for the remainder of the year and big moves from
the U.S. Federal Reserve, there are increasing chances that the BoE
opts for an interest-rate hike of 50 basis points in August, he
says. "While we see scope for a 50-basis-points hike in August, we
still find it hard to see the central bank taking rates anywhere
near as far as the Fed," Smith says.
(xavier.fontdegloria@wsj.com)
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
June 22, 2022 03:27 ET (07:27 GMT)
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