Market Prognosis

A concise summary of the major macro events of the past 24 hours, and selected UK company-specific news.

June 13, 2023

Fed rate pause expected

Macro & Overnight

Markets broadly higher overnight, with Japan still leading the way.

There is a growing belief that Fed will pause rates tomorrow while more persistent inflation outlooks for UK and Eurozone mean rates in Europe will likely continue to rise.

BoE Governor Bailey will face one of his predecessors, Lord King, when he appears before the House of Lords Economics Committee today.

ARM and Intel are reportedly in pre-IPO discussions about financial and technology partnerships.

UK Company News

Health services provider Cambridge Cognition announced a £2 million contract for a pivotal cancer therapy trial focused on limiting long-term side effects, such as cognitive impairment, which impacts 30% of patients following chemotherapy.

CMC Markets confirmed that calm market conditions in the first two and a half months of 2024 have resulted in client trading activity being down 15-20%, negatively impacting Q1 2024 net operating income. It also reported higher operating costs for the current year. All this is slightly more negative than the trading update in March. 

Oxford Instruments’ results aligned with upgraded expectations, and its outlook is as previously guided. 

MindGym Revenues of £55.0m were up 13% on FY22, and PBT of £3.0m is up by £3.4m on FY22’s loss before tax. Capex of £5.1m is £1.0m lower than FY2, with cash of £7.6m, down £2.4m on the prior year. Despite continued macroeconomic headwinds, it expects to make further progress in FY2. 

Prognosticator

 

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