Tag Archives: trading

Bet on William Hill

22 Jan

William Hill was a bit of a darling in 2012, with its shares soaring during 2012.  Yesterday saw a halt to this march at around the 350 level, with investors waiting for more news on some acquisitions the bookmaker was undertaking.  Ahead of a market update on Friday, expect to see more support for the bookie.

Little known Litebulb Group rocketed up by 14.4% to 0.715, on the news that Tesco will be using the manufacturer for its first order of children’s scooter accessories.  The company’s rape alarm product was also gaining attention, with QVC USA reordering the product and QVC Deutschland also debuting the product this week.

In bond news, UK government gilts dropped lower on the news that the US may be one step closer to reaching another short-term fix to its debt ceiling/budget troubles.  The March gilt ticked 33 points lower to the 116.63 level, showing that investors are becoming slightly more confident in riskier assets, such as shares.

Keep your eye on Phones4u.  They’re the latest mobile provider to launch a bespoke 4G brand, after the Kevin-Bacon led EE.

The disgrace of the UK banking sector rolls on, with Lloyds this time in the firing line.  Former senior figure Helen Weir issued a groveling apology over the PPI misselling scandal.  Now with the John Lewis Partnership, Weir also apologise for the misselling of insurance that also occurred on her watch at the UK bank. She told the Banking Standards Commission (BSC) that she was sorry for her role in the ongoing scandal, which is expected to cost the bank at least £6 billion.

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Rio Tinto steels the show

15 Jan

Looks like Rio Tinto is the star of Earnings Season so far.  The miner released encouraging production figures, with its iron ore output beat its own estimates in rising 4% in 2012 to 253 million tonnes.  Can’t say I saw that coming, given the crises in China and Australia during the summer months.

Looks like it’s China that’s now picking up the slack, accounting for the surge in commodity prices in during the last quarter. The pickup has been staggering, it’s been around about an 80% increase in iron ore prices since September.  With signs of recovery in the Chinese economy, as shown by finally expanding manufacturing PMIs, it looks as though it’s all systems go and I wouldn’t be spread betting against further gains.

Rio will be happy too – as this Chinese demand will surely rekindle mining investment.  In other figures released by Rio, copper production went up 6%, but aluminium production went down 10%.  Within the figures, mined copper production for 2012 rose 6% while thermal coal output was up 16% for the year. However, hard coking coal production fell 9%, and aluminium production was down 10%. I’ve long been hesitant to take a position on copper, but Rio – as one of the flagship miners – looks like it’s in for a promising 2013.