Market Prognosis

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

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May 24, 2024

UK capital markets are back

Macro

Japan’s inflation is sticky, too. It reported a yoy rate of 2.5% in April versus expectations of 2.3%. JGB yields continue to rise.  

UK retail sales recorded a 2.3% decline in April versus expectations of -0.2%. 

Copper has retraced 10% from its recent peak.

The DXY $ index has pushed back up through 105, with the Pound holding steady. 

The market is risk-off ahead of the UK’s long weekend. Later today, we get US durable goods and consumer sentiment indicators and next week’s US GDP data. The markets could have a tricky few days to navigate as we might have to revisit the hard landing narrative.   

However, the UK’s capital markets are back, with a £7bn issue from National Grid, a £350m offering from Great Portland Estates and significant secondary placings in AJ Bell and FRP within the last 24 hours.  

Only a few weeks ago, the popular narrative held that the UK market was not fit for purpose.  

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