Market Prognosis

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

January 22, 2024

Watch for German PMI and US PCE data & Trifast warns

Macro & Overnight

For the week ahead, we have a BoJ monetary policy meeting with its rate decision tomorrow. Flash January PMI data for the EZ, Germany and the UK tomorrow and an ECB rate decision on Thursday. For Friday, we have US GDP data followed by Core PCE Inflation data for December.

These data points could all be consequential, but the highlights will likely be German manufacturing PMI and the Fed’s favourite inflation measure of PCE Core on Friday.

UK Company News

Kooth, the youth digital mental well-being provider, updated that revenues should increase c.65%. The UK market saw revenue growth for 2023, but as previously reported, it expects headwinds to remain in the near term, reflecting a focus on NHS cost saving and the ongoing acute care backlog. However, Kooth’s growth opportunity is in the US, where it has recently commenced its contract in California and is in discussions with other states. 

Trifast, the fastener supplier to a broad range of UK and international manufacturing customers, warned of significantly lower than forecast volumes in Asia and global distribution sales channels. 

Trifast’s sudden and unexpected warning reflects overstocked manufacturing customers in multiple locations. It would be interesting to know how significant this trend is among Trifast’s China customers.  

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