Sterling Faces Hit From Lower-Than-Forecast Rate Rise
0952 GMT - ING analysts expect the Bank of England will raise interest rates 50 basis points on Thursday, less than the 75bp rise that is firmly priced in by markets, which could cause sterling to fall. The risk of a 50bp move is under-priced as the BOE prepares for a recession, analyst Chris Turner says in a note. Monetary policy which is more cautious than expectedcombined with forthcoming tighter fiscal policy under new Prime Minister Rishi Sunak could weigh on sterling, he says. With the dollar likely to remain firm, GBP/USD could return below 1.1500 this week, he says. "This would also point to current EUR/GBP losses under 0.8600 proving short-lived." GBP/USD drops 0.3% to 1.1555 and EUR/GBP is up 0.1% at 0.8601. (renae.dyer@wsj.com)
Companies News:
Lok 'n Store FY 2022 Profit, Revenue Rose on Higher Occupancy, Pricing
Lok 'n Store Group PLC said Monday that its fiscal 2022 pretax profit more than doubled on store sales and revenue rose on occupancy increases and improved pricing across its stores.
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Science Group Agrees to Buy TP Group for GBP17.5 Mln
Science Group PLC said Monday that it has agreed to buy TP Group PLC for 17.5 million pounds ($20.3 million) in cash.
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Vast Resources Warns of Going-Concern Risk; To Raise GBP1.5 Mln in Discounted Placing
Vast Resources PLC said Monday that there is material uncertainty about its ability to continue as a going concern, and that it aims to raise 1.5 million pounds ($1.7 million) via a discounted placing.
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Chill Brands' Website Sales Rise Since Relaunch
Chill Brands Group PLC said Monday that its website has generated more than $10,000 in sales between its relaunch on Oct. 18 and Oct. 25, an increase of more than 75% compared with the weekly average for the preceding quarter.
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Empiric Student Property's Occupancy Rises; Expects to Meet 2022 Market Views
Empiric Student Property PLC said Monday that occupancy rose at the beginning of the academic year 2022-23 ahead of guidance, and it expects to meet market views for full-year earnings per share.
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James Cropper Lowers FY 2023 Views After Energy Costs Hit 1H
James Cropper PLC said Monday that its first-half was hurt by inflationary headwinds and that its results for the period will be at a breakeven position, and that it was lowering expectations for fiscal 2023.
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International Distribution Services Faces No Further U.K. National Security Action
International Distribution Services PLC said Monday that no further action will be taken against it under the U.K. National Security and Investment Act in relation to Vesa Equity Investment SARL's shareholding.
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TP Group Renegotiating Contracts; Says It Will Address Capital Structure
TP Group PLC said Monday that it was renegotiating contracts in its maritime division to avert a solvency crisis, and it said it needs to address its capital structure to continue as a going concern.
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Contango Holdings to Raise GBP7.5 Mln via Discounted Share Placing
Contango Holdings PLC said Monday that it will raise 7.5 million pounds ($8.7 million) via an oversubscribed discounted placing, and that it will use proceeds to fund capital expenditure and enable further expansion with regard to coke product and thermal coal.
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Bodycote Appoints Ben Fidler as Finance Chief
Bodycote PLC said Monday that Ben Fidler has been appointed as chief financial officer designate, and that he will take up the role on May 1, succeeding Dominique Yates.
Contact: London NewsPlus; paul.larkins@wsj.com
(END) Dow Jones Newswires
10-31-22 0645ET
