Sterling Faces Sustained Weakness on UK Growth Concerns

Sterling Faces Sustained Weakness on UK Growth Concerns

0823 GMT – Sterling faces sustained weakness on concerns about the U.K.’s worse economic outlook compared to elsewhere, Commerzbank says. The International Monetary Fund said Tuesday the U.K. will be the only major economy to shrink this year, which is bad news for sterling, as it’s unclear whether this growth gap will be long-term, Commerzbank currency analyst Ulrich Leuchtmann says in a note. “If that was the case, we would have to fear that the relation of British to U.S. and European per capita gross domestic product was deteriorating.” The lower the per capita GDP of an economy, the lower the currency is valued, Leuchtmann says. GBP/USD trades flat at 1.2315 but EUR/GBP rises to a one-week high of 0.8836, according to FactSet. (

Companies News: 

Vodafone Says It Is on Track to Meet FY 2023 Guidance After 3Q Total Revenue Fell Slightly

Vodafone Group PLC said Wednesday that third-quarter total revenue fell slightly on year and that it is on track to meet its updated fiscal 2023 guidance.

Entain Raises 2022 Ebitda Guidance After Higher Net Gaming Revenue

Entain PLC on Wednesday raised its earnings guidance for 2022 as it posted an 12% rise in net gaming revenue for the year.

Severn Trent Names Helen Miles New CFO to Replace James Bowling

Severn Trent PLC said Wednesday that it has appointed Helen Miles as its new chief financial officer after James Bowling decided to retire in July 2023.

Halma Buys Thermocable for Initial GBP22 Mln

Halma PLC said Wednesday that it has bought Thermocable Ltd. for an initial consideration of 22 million pounds ($27.1 million) on a cash-free and debt-free basis.

GSK 4Q Sales and Earnings Rose, Driven by Specialty Medicines, Vaccines

GSK PLC on Wednesday posted rising earnings and sales for the fourth quarter, which the company said were boosted by its specialty medicines and vaccines businesses.

Gaming Realms 2022 Earnings, Revenue Grew; Appoints New CEO, CFO

Gaming Realms PLC said Wednesday that 2022 earnings and revenue grew thanks to growth in licensing and that it has appointed a new chief executive and a chief financial officer

Restore 2022 Performance in Line With Views; 2023 Started With Positive Momentum

Restore PLC said Wednesday that its performance in 2022 was in line with market expectations and that it entered 2023 with positive momentum as it continued to see substantial growth potential across its organic and acquisition strategies.

Made Tech 1H Revenue Jumped, Earnings in Line on Organic Growth

Made Tech Group PLC said Wednesday that revenue for the first half of fiscal 2023 jumped 76% on strong organic growth and that adjusted earnings before interest, taxes, depreciation and amortization was in line with management’s expectations.

Tialis Essential IT PLC Completion of Acquisition


Orcadian Energy to Raise GBP500,000 via Discounted Share Placing

Orcadian Energy PLC said Wednesday that it is planning to raise 500,000 pounds ($615,850) via a discounted share placing and will use the money toward its work program and for working capital purposes.

GSK 4Q Sales and Earnings Rose, Driven by Specialty Medicines, Vaccines — Update

GSK PLC on Wednesday posted rising earnings and sales for the fourth quarter, which the company said were boosted by its specialty medicines and vaccines businesses.

Keywords Studios Buys 47 Communications LLC to Add Expertise, Scale in US

Keywords Studios PLC said Wednesday that it has bought 47 Communications LLC to add expertise and scale to its marketing and PR offering in the U.S.

Tandem Group Shares Fall on 2022 Revenue Fall

Shares at Tandem Group PLC fell Wednesday after the company said that 2022 revenue will be down around 35% on the prior year, but still in line with market expectations.

Virgin Money Flags Good Financial Momentum After Positive 1Q

Virgin Money UK PLC said Wednesday that its first-quarter performance was positive as it posted a rise in customer deposits and net interest margin.

Market Talk: 

UK House Prices Have Further Room to Fall

0750 GMT – House prices in the U.K. fell in January for a fifth consecutive month, according to data from Nationwide, and this trend should continue in the months ahead, Pantheon Macroeconomics’ senior U.K. economist Gabriella Dickens says in a note. “Households’ real disposable incomes will fall further over the next couple of quarters, as the government reduces its energy bills support, and as firms push through job cuts in the face of surging borrowing costs,” she says. Additionally, still-high mortgage rates will weigh on affordability and demand, with many potential buyers expected to wait until prices have fallen substantially, Dickens says. Nationwide’s data shows U.K. house prices have declined 3.2% from their peak, and Pantheon expects prices to fall about 8% peak-to-trough. (

Vodafone 3Q Update Shows Disappointing Spain Performance

0822 GMT – Vodafone’s third-quarter update showed a major disappointment in Spain and no substantive strategy update, Jefferies analysts Jerry Dellis and Yi Hsin Yeoh say in a research note. The U.K.-based telecommunications company’s deteriorating Spain performance is a reminder of the competitive set up of the market, with five mainstream rivals and a number of wholesale challengers, they say. The statement highlights simplification to restore growth and more commercial autonomy being passed down to country level, they add. Jefferies has a hold rating on the stock with a target price of 85.00 pence. Shares trade down 2.6% at 90.66 pence. (


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(END) Dow Jones Newswires

February 01, 2023 03:43 ET (08:43 GMT)

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