FTSE Flat Start To The Week Ahead Of Economic Data, While Miners Support

Man, Computer, Stock Trading, Iphone, Hands, Finance

Image Source: 

On Monday, the UK’s FTSE 100 encountered a modest decrease, attributed to Investor sentiment appearing cautious as they braced for a succession of economic data releases scheduled throughout the week. The blue-chip FTSE 100 registered a decline of 0.3% during this session, offset by mining stocks that supported the commodities-centric index driven by the continued advances in Gold prices. 

On the positive side of the ledger Rightmove Plc, the UK’s largest property portal, has observed a notable 5.4% increase in its shares on the London blue-chip index. This surge is attributed to the company’s optimistic outlook on higher annual revenue per advertiser (ARPA), fueled by an uptick in listings from new home developers. Rightmove now anticipates its full-year ARPA to range between £112-£116, surpassing its earlier projection of £103-£105. The company asserts that its overall outlook for 2023 remains consistent with previous forecasts. Consequently, Rightmove’s shares have reached their highest level since October 19. Despite a minor decline in stock value earlier this year, the recent performance of Rightmove has been positive. However, the firm was pipped to the top spot as miner Fresnillo claimed the title as Gold prices hit a six month high sending the miners’ share higher by 5.5%.

On the negative side of the ledger sits Entain, the owner of Ladbrokes, witnessing a decline of 2.56% in its shares, and securing the position of the top percentage loser on the FTSE 100 index. This decline followed a ‘Sell’ rating downgrade by brokerage firm Goldman Sachs, shifting from its previous ‘Buy’ rating, accompanied by a target price reduction to 820p from 1,450p. The downgrade was attributed to disappointing online growth, BetMGM (joint venture) losing market share in the US, and a larger-than-expected settlement in Turkey. Despite the downgrade, 13 out of 20 analysts maintain a ‘Buy’ rating for the stock, with a median target price of 1,613p according to LSEG data. If the losses persist, this will mark the third consecutive session of decline for the stock. On Friday, Entain agreed to pay a £585 million ($728.97 million) penalty under a deferred prosecution agreement with the UK’s Crown Prosecution Service, concerning alleged bribery offences at the company’s former Turkish unit. Year-to-date, the stock has declined by 35% as of the last close.

FTSE Bias: Bullish Above Bearish below 7400

  • Below 7350 opens 7210
  • Primary support at 7200
  • Primary objective 7550
  • 20 Day VWAP bullish, 5 Day VWAP bullish
  • (Click on image to enlarge)


    Print Friendly, PDF & Email

    Author: Travis Esquivel

    Travis Esquivel is an engineer, passionate soccer player and full-time dad. He enjoys writing about innovation and technology from time to time.

    Share This Post On

    Submit a Comment

    Your email address will not be published. Required fields are marked *