FTSE LIVE: All eyes on the Chancellor

Connor Campbell, analyst at Spreadex –

‘With a couple of key events on the horizon – namely Philip Hammond’s Spring Statement and the US inflation data – the European markets held off on doing much after the bell.

‘Though Hammond’s red box-less appearance is likely to be a damp squib, focused solely on OBR forecasts and not policy announcements, the UK is still clearly in a state of anticipation. The FTSE started the session flat at 7210, while the pound was unchanged against the euro and down 0.1% against the dollar, with cable struggling every time it crosses $1.39.

‘Over in the Eurozone there was a smidge more action, but not by much. While the DAX didn’t move, the CAC found its way 0.4% higher, with the French index once again mounting a 5300-teasing climb.

‘Despite a fizzy set of full year figures FeverTree Drinks fell flat this Tuesday, the firm falling foul of investors’ sky high expectations. The stock ended up dropping nearly 6% following its annual results, even after revealing a hefty 64% surge in pre-tax profit to £56.4 million and a previously-announced 66% rise in revenue to £170.2 million. The bone of contention was a dip in FeverTree’s gross margin, which slipped from 55.2% to 53.5% year-on-year and gave investors reason enough to question the stock’s all-time high position. 


Source link