UK Labor Market Loosening Suggests Peak Interest Rates Are Near

1130 GMT - A slight slackening in the U.K. labor market might not prevent the Bank of England from raising interest rates about 4.5%, but it does support the view that the peak is close and interest rates my be cut next year, according to Capital Economics chief U.K. economist Paul Dales. The rise in the single-month unemployment rate to 4.1% in March left a more noticeable upward trend from the rate of 3.5% in June last year, and the share of employees moving between jobs declined to 2.5% in the three months to March, the lowest since June 2021, Dales highlights. With time, this loosening should lead to an easing in the BOE's preferred gauges of domestic inflationary pressures--regular private sector wage growth and services CPI inflation--he adds. (


Dechra Pharmaceuticals Sees FY 2023 Profit Below Market Views on Wholesaler Destocking

Dechra Pharmaceuticals said Monday that it expects to miss market expectations for operating profit for fiscal 2023 due to wholesaler destocking in the U.S. and U.K. hurting third-quarter results.


UK Government Sells Shares Worth GBP1.26 Bln in NatWest Group

The U.K. government said Monday that it had disposed of its shareholding in NatWest Group through an off-market purchase by the company of 469.2 million ordinary shares for a total consideration of 1.26 billion pounds ($1.57 billion).


Begbies Traynor Sees FY 2023 Revenue, Pretax Profit Ahead of Views

Begbies Traynor Group said Monday that it expects fiscal 2023 results to come in slightly ahead of market expectations, and that it sees further growth ahead.


Wise CFO Matthew Briers to Step Down

Wise PLC said Monday that Chief Financial Officer Matthew Briers intends to step down from the role by March 2024.


Stelrad Group Year-To-Date Results Are in Line on Strong UK Volumes

Stelrad Group said Monday that results in the year so far have been in line with its expectations, and that it expects to meet its full-year guidance.


888 Holdings Sells Latvian Business Share for Up to GBP22 Mln

888 Holdings said Monday that it has sold its Latvian business share for up to 22 million pounds ($27.4 million) as part of a plan to focus on its core and growth markets.


Norman Broadbent Posts Rise in 1Q Revenue, Net Fee Income

Norman Broadbent on Monday said its revenue and net fee income for its first quarter rose by two thirds and that positive performance is continuing into the second quarter.


Siemens Gamesa to Sell Windar Renovables Stake to Bridgepoint

Siemens Energy is selling Siemens Gamesa's 32% stake in Spanish wind turbine-tower maker Windar Renovables to British investment company Bridgepoint, a spokesperson for the German energy company confirmed on Monday.


Wincanton FY 2023 Pretax Profit Fell on Higher Costs; Backs FY 2024 Expectations

Wincanton said Monday that pretax profit fell for fiscal 2023 after booking higher costs as its performance in the second half was hurt by lower customer volumes, and backed its expectations for fiscal 2024.


Ilika Expects FY 2023 Earnings Loss to Widen Despite Revenue Rise

Ilika said Monday that it expects to report a rise in revenue for fiscal 2023, but that its earnings loss is seen to have widened.


Venture Life Optimistic About 2023 Outlook; Sees Performance in Line With Views

Venture Life Group said Monday that the board was cautiously optimistic about the outlook for the year ahead and its ability to deliver full-year performance for 2023 in line with market expectations.


Enwell Energy Unlikely to Publish 2022 Results by Deadline; Shares Fall

Shares in Enwell Energy dropped 16% on Monday after the group said it is unlikely to publish its audited results for 2022 by the deadline, and that its shares may be suspended pending their publication.


Angle Names Jan Groen as New Chairman As Garth Selvey Retires

Angle on Monday appointed Jan Groen its chairman as Garth Selvey intends to retire from the role.


Kainos FY 2023 Boosted by Robust Market Demand, High Customer Engagement

Kainos Group on Monday reported an 18% rise in pretax profit for fiscal 2023 on higher revenue due to robust underlying market demand and high levels of customer engagement.


Oncimmune Eases Going-Concern Risk With Sale of Two Subsidiaries for GBP13 Mln

Oncimmune Holdings said Monday that it has sold subsidiaries Oncimmune Ltd. and Oncimmune Europe GmbH for 13 million pounds ($16.2 million) in cash to Freenome Holdings, and that this alongside debt repayment has removed the material uncertainty regarding it remaining a going concern.


Atome Energy Says Baker Hughes Has Become Shareholder on GBP2.4 Mln Subscription

Atome Energy said Monday that Baker Hughes Co. has become a shareholder with a 6.6% interest in the company after it subscribed for 2.4 million pounds ($3 million) for a total of 2.5 million new ordinary shares at 95 pence a share.


Landore Resources to Appoint Glenn Featherby as Interim CEO if Replacement Isn't Named by AGM

Landore Resources said Monday that Chief Financial Officer Glenn Featherby will become interim chief executive officer if a replacement for Bill Humphries hasn't been found by the date of its upcoming annual general meeting.


UK Inflation Data This Week Are Key For Sterling

1053 GMT - U.K. inflation data on Wednesday will be "make or break" for sterling as it will influence the Bank of England's interest rate path, ING says. "Markets are pricing in 19 basis points of tightening, and if our expectations are correct and CPI data indicates enough of a cool-down in prices to convince the Bank of England to pause tightening in June, the downside risks for sterling are quite sizeable," ING analyst Francesco Pesole says in a note. EUR/GBP could rise to 0.8750-0.8800 from 0.8696 currently, while GBP/USD could fall to 1.2250-1.2300 from 1.2448 currently, with the dollar likely to rise if a U.S. debt ceiling deal is reached and Wednesday's Federal Reserve meeting minutes signal another rate rise, he says. (


NatWest Gains After UK Government's Partial Stake Sale

1040 GMT - NatWest Group shares rise 1.3% afer the U.K. government sold 1.26 billion pounds of shares in the U.K. bank, cutting its stake to around 38.6% from 41.4% previously. NatWest's stock has struggled this year, caught up in the banking sector turmoil with the collapse of Silicon Valley Bank and the rescue deal for Credit Suisse, Interactive Investor says. "However, with shares up almost 15% year-on-year [at] Friday's close, the government clearly decided now is a good moment to sell some shares," Interactive's head of investment Victoria Scholar writes, adding that the U.K. government became a majority shareholder in the lender, formerly known as Royal Bank of Scotland Group, during the 2008 global financial crisis. (


Sainsbury's Deteriorating Views Prompts Downgrade

1003 GMT - Sainsbury's flat to small drop in FY 2024 guidance, following a long and robust sector performance in FY 2023, prompts a downgrade in the stock rating to neutral from buy, Citi analysts say in a note. The British grocer has done little wrong against a backdrop of inflation and cost of living crisis, and executed its strategy to become more competitive well, partially driven by larger cost efficiencies relative to peers, they say. However, "Whilst the efficiency run-rate will continue for FY 2024 we believe most of the heavy lifting on price has been done," they add. (


Burberry's FY 2024 Downgrade Seen Driven by Technical Factors

0923 GMT - Burberry reported a satisfactory FY 2023 performance, while guidance for the year ahead is mainly affected by technical factors, RBC Capital Markets analysts Piral Dadhania and Richard Chamberlain say in a note. The British luxury company expects to report a mid-single-digit EBIT and a high-single-digit EPS downgrade in FY 2024, driven by a foreign exchange headwind and higher tax rate, they say. However, these factors, together with dampening consumer sentiment, appear to be reflected in the share price. "Key question will be to what extent can Burberry sustain a higher revenue growth profile in the coming quarters, ahead of new designer product due for late 2023/early 2024 in earnest," they say. (


UK Property Stocks Gain as House Prices Rise

0923 GMT - U.K. proprty stocks make modest gains after average U.K. house prices rose at the fastest pace so far this year, according to industry data. Prices increased this month by 1.8%, or GBP6,647, to a record GBP372,894 in a delayed response to the higher-than-expected level of market activity since the start of the year, property website Rightmove said. The discount from final asking price to agreed sale price has steadied at an average of 3.1%, it said. "One reason for this increased confidence may be that the gloomy start-of-the-year predictions for the market are looking increasingly unlikely," Rightmove's Tim Bannister writes. Rightmove shares advance 0.8% while Taylor Wimpey is the biggest top-flight riser in the building sector, up 0.7%. (

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(END) Dow Jones Newswires

05-22-23 0806ET