UK Stock Market Expected to Rise; Retail Sales Dip and Corporate Developments in Focus

On January 19th, the UK's FTSE 100 stock index is poised to start the trading session with gains, as market futures indicate an increase of 0.65%. This optimism in the opening hours precedes a day filled with noteworthy economic and corporate news affecting the British stock markets.

Sharp Decline in Retail Sales

Concern arises from the retail sector as the latest data reveals a significant downturn. British retail sales volumes have experienced a pronounced drop, decreasing by 3.2% in December in comparison to the previous month. As reported by the Office for National Statistics, this represents the most substantial decline in the past three years, a worrying sign for the domestic consumer economy.

Deliveroo's Performance Update

In the realm of food delivery, British company Deliveroo has projected a slight increase in its 2023 earnings, expecting figures to surpass its previously stated range of 60-80 million pounds. Concurrently, the total order value on the Deliveroo platform saw a rise of 3%, meeting the company's anticipated targets.

Airline IPO and Logistics Acquisition

Kazakh airline Air Astana has unveiled plans for a public offering on the London Stock Exchange, releasing both new shares and existing ones held by parent company BAE Systems and the sovereign wealth fund of Kazakhstan. This move marks significant interest in the London financial markets. In addition, CEVA Logistics, owned by the French shipping conglomerate CMA CGM, has announced an intent to acquire UK logistics company Wincanton in a transaction valued at approximately 566.9 million pounds.

Oil and Metal Markets

Oil prices have witnessed an uptick, driven by geopolitical tensions alongside production disturbances in the United States, ignited by severe weather conditions. These factors mitigate the worries about China's subdued demand growth and predictions of a well-supplied market. Meanwhile, in the metals market, copper prices have edged upwards, aided by a weakening US dollar. However, gold prices have seen a downturn, potentially marking the metal's least favorable week in a six-week period.

Previous FTSE 100 Performance

The FTSE 100 index had closed with gains in the last session, setting a positive precedent for the current day's market performance. Investors remain attentive to any further developments that could impact European stocks, keeping a close watch on economic indicators as well as corporate earnings and announcements.

FTSE100, Retail, Deliveroo, AirAstana, Wincanton, Oil, Copper, Gold