The approaching week ushers in the fresh month of July, marking the beginning of the second half of the year for business aficionados. It has investors on the lookout for news from retail giants like Sainsbury’s, Currys, and AO World, as well as Persimmon and other key players on the FTSE 100.
We can also anticipate a substantial amount of market-influencing macroeconomic data, climaxing with the release of US non-farm payrolls at the week’s end.
MONDAY 3rd JULY
With the dawn of a new month, the initial week is typically packed with new economic data. This starts on Monday with updates from the manufacturing sector in the UK and other principal economies.
Earlier this month, preliminary PMI reports revealed a slowing down in the UK economy, as the manufacturing PMI declined more significantly than anticipated.
Manufacturing output prices saw a slight drop, and total input cost inflation was at its lowest since February 2021. However, the reduction in prices charged inflation was only marginal.
Noteworthy announcements on Monday Interim Reports: Porvair (AIM:PRV) PLC, Wynnstay Group PLC (AIM:WYN)
AGMs: Pacific Assets Trust PLC
Economic announcements: PMI Manufacturing (UK), PMI Manufacturing (US), Construction Spending (US), ISM Manufacturing (US), ISM Prices Paid (US), Auto Sales (US)
TUESDAY 4th JULY
Sainsbury’s is expected to deliver market updates on Tuesday amid the ongoing controversy around alleged excessive profit-taking and severe food inflation.
With concerns swirling about the future of Thames Water and calls for its re-nationalisation, a number of water industry leaders are set to face rigorous questioning in a parliamentary session on Tuesday.
The Industry and Regulators Committee of the House of Lords will carry on with its second inquiry into the sector, hearing from the CEO and chair of the regulator Ofwat, starting at 4pm. This will follow discussions with executives from United Utilities and Wessex Water on possible solutions to mitigate water pollution.
Noteworthy announcements on Tuesday Trading updates: Cairn Homes plc (LSE:CRN), J Sainsbury PLC (LSE:SBRY)
Interim Reports: Kitwave Group Ltd
Final Reports: ActiveOps PLC (AIM:AOM), Duke Royalty Ltd (AIM:DUKE), Foresight Group Holdings Ltd (LSE:FSG), Mercia Asset Management PLC (AIM:MERC), Solid State PLC (AIM:SOLI), Wandisco PLC (AIM:WAND)
AGMs: Airtel Africa PLC (LSE:AAF), Cairn Homes PLC, Keystone Law Group PLC (AIM:KEYS), Marks & Spencer Group PLC, Strix Group PLC (AIM:KETL)
Wednesday, 5th July
AO World PLC’s (LSE:AO.) shares experienced some profit-taking just before the announcement of their full-year results. This is not entirely unexpected, considering the shares had soared by over 40% since the beginning of the year.
Cost reduction has been a key strategy for the internet-based home appliance retailer. The company also caught attention due to the substantial share acquisition by Mike Ashley’s Frasers Group.
Moreover, crucial data from the purchasing managers index (PMI) survey for the services sector is anticipated. This includes potential insights about inflation and employment conditions.
Major announcements scheduled for Wednesday include:
Final Reports: AO World PLC, Redde Northgate PLC (LSE:REDD), Supreme PLC (AIM:SUP)
Annual General Meetings: AdvancedAdvT Ltd (LSE:ADVT), Bonhill Group PLC (LSE:BONH), Burford Capital Ltd, Capital Gearing Trust PLC (LSE:CGT), Eneraqua Technologies PLC (AIM:ETP), i(x) Net Zero PLC
Economic Updates: PMI Composite (UK), PMI Services (UK), MBA Mortgage Applications (US), Factory Orders (US), Crude Oil Inventories (US)
THURSDAY 6th JULY
Persimmon PLC (LSE:PSN), a prominent housebuilding company, will release its half-year trading update on Thursday, 6th July, amidst growing anxiety within the industry.
The company’s FTSE 100-listed shares have seen a 50% decline over the past year due to concerns about increasing interest rates, the end of government aid programs, dividend reductions, and the prediction of lower profits.
Investors will be keenly observing the update on recent trading trends and forecasts for the upcoming half-year, analysts suggest.
In other news, Currys PLC (LSE:CURY) is also due to publish its results. The management remains hopeful that the third update this year will reverse the long-standing decline of its shares, following two previous unsuccessful attempts.
Key announcements scheduled for Thursday include:
Trading updates: Workspace Group PLC (LSE:WKP), Ferrexpo PLC (LSE:FXPO)
Half-Year Reports: Persimmon, Robert Walters PLC (LSE:RWA)
Final Reports: Currys PLC, Jet2 PLC (AIM:JET2), Naked Wines PLC (AIM:WINE, OTCQX:NWINF), Paypoint (LSE:PAY) PLC
Annual General Meetings: 3i Infrastructure PLC (LSE:3IN), Assura PLC, JPMorgan European Growth & Income PLC, Katoro Gold PLC (AIM:KAT), Land Securities Group PLC (LSE:LAND), Mining Minerals & Metals PLC, Next 15 Group PLC (AIM:NFG), Peel Hunt Ltd (AIM:PEEL), Severn Trent PLC (LSE:SVT), Shires Income plc (LSE:SHRS), Workspace Group PLC, Young & Co’s Brewery PLC
Economic Updates: PMI Construction (UK), Balance of Trade (US), Continuing Claims (US), Initial Jobless Claims (US), PMI Composite (US), PMI Services (US), ISM Services (US)
Additionally, ex-dividend deductions are expected to reduce the FTSE 100 by 0.72.
FRIDAY, 7th JULY
The City calendar is virtually barren for investors today, yet market players will be closely monitoring the upcoming US employment data.
The previous month’s Non-Farm Payrolls (NFP) report displayed a considerable increase of 339,000 in job numbers, and experts are predicting another robust month.
The focus will also be on the progression of wage growth.
Important events for Friday Annual General Meetings (AGMs): 1Spatial PLC (AIM:SPA), 3i Infrastructure PLC, Griffin Mining Ltd, GRIT Investment Trust PLC (LSE:GRIT)
Economic Data Releases: Halifax House Price Index (UK), Non-Farm Payrolls (US), Unemployment Rate (US)
