Global markets were muted and gold prices eased on Thursday, as traders avoided making big moves and before Federal Reserve chair Jerome Powell’s speech at the Fed’s three-day annual Jackson Hole symposium in Wyoming.
Dublin
Euronext Dublin finished the day down 0.2 per cent on what was a quiet day in advance of a bank holiday in Britain on Monday.
Trading volumes were down across the board, but among the financial names Bank of Ireland were up 1.6 per cent and 0.7 per cent respectively.
In terms of the food names, Kerry Group dropped 0.7 per cent, while Glanbia was down 0.1 per cent at close of business.
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The housebuilders were one of the few sectors to finish in the green with Glenveagh Properties and Cairn Homes up 0.9 per cent and 1.4 per cent respectively. Ires Reit, the biggest landlord in the State, was down 1 per cent at the closing bell.
London
The FTSE 100 climbed 0.2 per cent to close above 9,300 for the first time, outperforming European peers and taking heart from better-than-hoped borrowing and economic activity data.
The FTSE 250 ended down 0.3 per cent, and the AIM All-Share finished down 0.1 per cent. Trading received a lift but some better economic data after a run of downbeat news.
Shares in WH Smith plunged 42 per cent after an accounting error forced the travel retail firm to slash profit guidance for its North American business.
The Swindon-based company now expects headline trading profit from the North America division to be around £25 million (€28.9 million) for the financial year ending August 31st, down from previous expectations of around £55 million.
Hays fell 1.7 per cent as it reported a plunge in annual profit, confirming the bad news the company gave to the market in a profit warning back in June.
The London-based recruiter had said it expected annual profit to be below market consensus, as it grappled with challenging market conditions, amid “low levels of client and candidate confidence”.
Hays said operating profit before exceptional items was £45.6 million in the financial year to June, down 57 per cent from £105.1 million. This was in line with the guidance the company provided back in June.
Elsewhere, Renishaw jumped 6.9 per cent as it forecast annual adjusted pretax profit will be towards the top of expectations.
Europe
On the continent, the pan-European Stoxx 600 lost 0.04 per cent, while the Cac 40 in Paris ended down 0.4 per cent, while the Dax 40 in Frankfurt closed up 0.1 per cent.
Analysts attributed a pullback in tech stocks this week to concerns that AI investments were not delivering returns.
Euro zone business activity accelerated in August, PMI data showed, with Germany registering its fastest growth since March and France’s downturn easing.
Euro zone bond yields were mostly higher, with the benchmark 10-year German Bund up 2.5 basis points at 2.751 per cent.
New York
Wall Street’s main indexes slipped as cautious investors awaited clues on monetary policy from a Federal Reserve conference in Jackson Hole, while big-box retailer Walmart’s quarterly results did little to boost sentiment.
Walmart raised its fiscal year sales and profit, driven by strong demand from shoppers across all income levels, but missed quarterly profit expectations and flagged higher costs from tariffs.
Shares of the retailer fell 3.4 per cent and pressured the consumer staples sector, which declined 0.9 per cent. The spotlight was on reports from retailers, including Target and Home Depot, this week as investors tried to gauge the impact of US tariffs on consumer spending.
All eyes are now on the Fed’s annual symposium, where chairman Jerome Powell is scheduled to speak on Friday at 10am eastern time. Traders will closely monitor Mr Powell’s speech for any clues on interest rate cuts in September following recent job market weakness.
A sell-off in technology stocks earlier this week appeared to subside, with technology-related stocks such as Meta, Amazon and Advanced Micro Devices marginally lower. – Additional reporting: Agencies
