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FTSE 100 Live | Subdued seen flat; TUI reports strong Summer

Published 19/09/2023, 07:29
© Reuters.  FTSE 100 Live: Subdued seen flat; TUI reports strong Summer
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Proactive Investors - There are a lot of results out this morning and we'll start with TUI (LON:TUIT) AG which backed guidance after a strong summer which saw bookings return close to pre-Covid levels.

The holiday operator expects to increase underlying Ebit significantly for both the fourth quarter and also for the full-year against the previous year.

Hotels & Resorts are anticipated to be close to an already strong prior year while both cruises and markets & airlines are set to achieve a significantly improved result with a strong increase in results expected for TUI Musement.

The firm reported a strong pipeline of 13.7 million bookings for the Summer 2023 season, a 5% increase against the prior season and close to pre-pandemic levels at 96%.

TUI said it had received 1.1 million additional bookings since its third quarter update with demand in the final month of season well ahead of Summer 2022 at plus 8% with Greece and Turkey popular destinations.

This positive momentum has continued into Winter 2023/24 with an expanded programme and overall bookings up 15% against the previous year..

The rise in bookings across all key markets was supported by higher prices, up 4% versus the prior season.

TUI reiterated its mid-term 2025/26 ambitions for underlying Ebit to significantly build on €1.2 billion.

Subdued start expected in London

Good morning, and the FTSE 100 is expected to open little changed as investors remain wary ahead of a week dominated by central bank announcements.

Spread betting companies are calling the FTSE 100 up by 2 points after closing down by 58.44 points at 7,652.94 on Monday.

In the US on Monday, markets closed little changed, with rising oil prices sparking worries of inflationary concerns.

On Wednesday, the Federal Reserve is expected to leave interest rates unchanged whle on Thursday the Bank of England is likely to raise rates by 25 basis points.

"This week, the US policymakers will certainly opt for a 'hawkish pause'. The Fed will likely revise its growth expectations significantly higher on the back of resilient consumer spending and solid growth," said Swissquote Bank's Ipek Ozkardeskaya.

Ahead of the interest calls there is a busy day of company news in London.

Updates are due from Hargreaves Lansdown (LON:HRGV), Kingfisher (LON:KGF), Ocado (LON:OCDO), C&C, Moonpig and Xaar (LON:XAR) amongst others.

Read more on Proactive Investors UK

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