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Reports UK

UK stock market morning note (April 15, 2014)

April 15, 2014, Tuesday, 09:23 GMT | 04:23 EST | 12:53 IST | 15:23 SGT
Contributed by SVS Securities

The FTSE 100 is called to open slightly higher this morning following the overnight performance on Wall Street although Asia was mixed. This morning has seen the BRC report that domestic total retail sales fell 0.3% in March on the corresponding period a year ago but the comparison is impacted by the timing of Easter. The economic diary will now focus on the release of both domestic and US inflation data together with a speech from the US Federal Reserve Chair Janet Yellen. Commodity prices are generally lower and on the foreign exchanges, the dollar is slightly higher against the pound, euro and yen but all are within narrow trading ranges ahead of these data releases and Yellen's speech.

Company Announcements

Rio Tinto

Q1 2014 production report notes a series of performance records as it continues its ongoing productivity push across its operations. It noted that exploration and evaluation expenditure came in at USD155m, sustaining the savings achieved in 2013 whilst progressing its highest priority future growth projects. It left production guidance for the year unchanged.


IMS reports that demand in its markets has been consistent with its expectations at the time of its Results announced in February. The commercial aerospace market remains strong while military aerospace demand is declining. Global light vehicle production rose nearly 5%, construction and industrial markets were broadly flat whilst demand for agricultural equipment fell. Sales rose 1% to GBP1.91bn, impacted by adverse currency translation with trading profits and PBT rising 19% and 22% to GBP166m and GBP145m respectively. It added that the outlook remains in line with its February statement noting that tougher prior year comparatives mean that organic growth is likely to be more modest but 2014 should be another year of progress.


IMS notes that it has made an 'encouraging' start to the year with Local business continuing to deliver strong growth but it continues to be cautious in Power Projects where order intake whilst strong has been for relatively short-term work. It expects fleet capex to be at a similar level to 2013 with its GBP200m return of cash scheduled for June 2014. It added that its overall expectations for the year remain unchanged.