UK and European equity indices are trading modestly higher this morning.
The FTSE 100 was up by +0.12%, the German DAX has added +0.22% and the CAC 40 in France was better by +0.38% this morning.
The move higher comes despite an unexpected drop in passenger car registration data.
Sales of new cars in the EU fell by -3.30%, year over year in December with lower sales in Germany eclipsing growth elsewhere in the continent.
Interestingly EV sales across Europe fell by almost -17.0%, the first time that sales numbers had fallen, since April 2020.
UK Shares
Flutter Entertainment’s much-anticipated trading update didn’t disappoint with its average number of monthly players, or AMPs, pushing the Flutter share price up by +12.0% year over year.
Sports betting revenues were up +8.0% and gaming revenues by +15.0%.
Both metrics would have been even higher if not for the effects of currency movements. Q4 revenue grew by +26.0% reflecting growth at the brand’s Fanduel casino.
Overall the group said it was trading in line with expectations and that the company expected its stock to be listed in the US within a matter of days.
B&M European Value Retail’s share price was down by -3.35% this morning but don’t be deceived because the shares are trading ex, or without, a 20p per share special dividend, the payment date for which is the 9th of February.
US Stocks
Interactive Brokers stock price rose by +2.31% in Wednesday’s session.
The gain came after the online trading group posted an earnings miss on Tuesday, after which both Barclays and Bank of America lowered their price targets on the name.
The firm’s CIO also took the opportunity to sell $2.30 million worth of stock, in the business.
Interestingly no insider has bought Interactive Brokers stock, since the chair and founder Thomas Peterffy, made a token gesture, by buying +311 shares back in February 2017.
Shares in Lithium refiner Albemarle Corp’s share price fell by -4.17%. The stock has been under pressure over the last six months during which it’s fallen by -50.00%, as global Lithium supplies moved from deficit to surplus, and demand for electric vehicles began to cool.
The firm said it would cut headcount and lower spending to reduce costs, despite that the stock was downgraded to hold by Deutsche Bank.
Commodities
Uranium prices spiked this morning rising by +14.59% the material for nuclear reactor fuel has been in demand for the last 12 months during which time its price has risen by +110%.
Prices are being squeezed to multi-year highs, following news from one of the world’s biggest producers, Kazakhstan’s Kazatomprom, that it wouldn’t meet its production targets.
And that its output of Uranium would fall short for the next two years.
The sharp move higher in ore prices could benefit the likes of Cameco Corp, the US-listed but Canadian-based Uranium miner.
Forex
The foreign exchanges have been rather dull over recent days which is somewhat surprising given the news flow around prospective interest rate cuts in Europe and higher inflation data in the UK.
Over the week the Euro has lost around -0.69% versus the US dollar.
This is somewhat counter-intuitive given that the market believes the Federal Reserve will cut interest rates sooner, rather than later.
And that two senior ECB officials have pushed firmly back against expectations of rate cuts in Europe.
Nonetheless, dollar strength has been the theme throughout January, with the dollar index rising by more than +1.0% over the last month.
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