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Week ahead: Inflation update, BoE hike, FTSE reshuffle, Berkeley and Whitbread

Published 18/06/2023, 13:57
© Reuters.  Week ahead: Inflation update, BoE hike, FTSE reshuffle, Berkeley and Whitbread
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Proactive Investors - The coming week will start with a FTSE reshuffle and will be followed a few days later with another Bank of England interest rate hike, sandwiching some potentially meaty filling from various company updates.

These are scheduled to include Berkeley, Halfords and Whitbread (LON:WTB).

MONDAY 19 JUNE

At the start of the quarterly FTSE reshuffle takes effect, with British Land relegated to the FTSE 250 and its place taken by engineer IMI PLC (LON:IMI), whose shares have jumped by 25% so far this year.

Promoted to the FTSE 250 from the small-cap ranks are outsourcer Capita PLC (LON:CPI), window component maker Tyman (LSE:TYMN) and kiosk operator Me Group International PLC (LSE:MEGP) (formerly Photo-Me International), along with two investment trusts Empiric Student Property PLC (LSE:ESP) and North Atlantic Smaller Companies.

Departing down the other way are ASOS (LON:ASOS), Capricorn Energy (LON:CNE), Hunting (LON:HTG), Tullow Oil (LON:TLW) and Videndum.

Significant announcements on Monday

Finals: NextEnergy Solar Fund Ltd (LON:NESF), Triple Point Energy Transition PLC

AGMs: Blackbird PLC (LON:BIRD), Metals Exploration PLC, Savannah Resources PLC (LON:SAVS)

TUESDAY 20 JUNE

Tuesday looks quite quiet, with hopes for financial journalists that Federal Reserve chair Jerome Powell might say something interesting at his twice-yearly testimony to lawmakers.

Significant announcements on Tuesday

Trading updates: Sthree PLC

Finals: Enteq Technologies PLC (AIM:NTQ), Gear4Music (Holdings) PLC, IG Design Group PLC (LSE:IGR), Intercede Group (AIM:IGP) PLC

US earnings: FedEx (NYSE:NYSE:FDX) Corporation

AGMs: Acceler8 Ventures PLC (LSE:AC8), Afentra plc (AIM:AET), Armadale Capital PLC (AIM:ACP), Bay Capital PLC (LSE:BAY), Block Energy PLC (AIM:LON:BLOE), Corero Network (LON:NETW) Security PLC (AIM:CNS), Coro energy PLC, Crimson Tide (LON:CTID) (AIM:TIDE) PLC, Curtis Banks Group PLC (AIM:CBP), EPE Special Opportunities Ltd (AIM:ESO), ICG-Longbow Senior Secured UK Property Debt Invest , Jersey Oil & Gas PLC, Kore Potash PLC (AIM:KP2, ASX:KP2, JSE:KP2), North Atlantic Smaller Cos Inv Tst PLC, Prospex Energy PLC (AIM:PXEN), Red Capital PLC (LSE:REDC), Saga PLC (LSE:SAGA), SDX Energy PLC (AIM:SDX, OTC:SDXEF), Skillcast Group PLC (AIM:SKL), Zegona Communications (LSE:ZEG) PLC

Economic announcements: Building Permits (US), Housing Starts (US)

WEDNESDAY 21 JUNE

UK inflation figures are in focus midweek, with a smoking hot consumer price index last month having sent interest rate expectations surging.

Things are not forecast to change much in this week's data, so how the market will react is anyone's guess.

The headline CPI rate is expected to show inflation dipping to 8.5% from 8.7% for May, with core CPI barely predicted to ease at all from 6.8%.

Talking of inflation and rates, company news will bring a focus onto the housebuilding sector, where someinvestors have been concerned about the effects of these factors on companies like Berkeley Group Holdings PLC (LON:BKGH), reports final results.

These numbers should, reckon some analysts, offer upbeat guidance and reassurance. Current trading and the outlook will be the main items under scrutiny.

Elsewhere, Halfords' annual results arrive a week late, after its auditor requested more time to complete - though the company reassured that nothing untoward should be read into this.

Significant announcements on Wednesday

Finals: Berkeley Group Holdings PLC (LSE:BKG), GCP Infrastructure Investments Ltd, Halfords Group PLC (LSE:LON:HFD), Liontrust (LON:LIO) Asset Management (LSE:LIO) PLC, RA International Group PLC (AIM:RAI)

AGMs: Afarak Group PLC (LSE:AFRK), Argentex Group PLC (AIM:AGFX), EQTEC PLC (LON:EQTE) (AIM:EQT), HSS Hire Group PLC (AIM:HSS), Hydrogen Utopia International PLC (LSE:HUI, OTCQB:HUIPF), Intelligent Ultrasound Group PLC (AIM:MED), RTW Venture Fund Ltd (LSE:RTWG), Schroders (LON:SDR) Capital Global Innovation Trust PLC, Sivota PLC (LSE:SIV), THG PLC (LSE:LON:THG), UK Commercial Property REIT (LSE:UKCM) Ltd

Economic announcements: Consumer Price Index (UK), Producer Price Index (UK), Public Sector Net Borrowing (UK), Retail Price Index (UK), MBA Mortgage Applications (US), Crude Oil Inventories (US)

THURSDAY 22 JUNE

The Bank of England's meeting should be the big news in the City on Thursday, though financial market and economists suggest another quarter-point interest rate hike is nailed on.

With rate expectations having surged in recent weeks, fueled by unwanted inflation and wage growth data, any push-back from policymakers or clues about what to expect from the next few meetings will be key.

Premier Inns owner Whitbread updates on trading amid reports that it is looking to sell some of its pubs and restaurants, which include chains such as Brewers Fayre and Beefeater.

As for Thursday's update, some analysts expect the Premier Inn owner to impress shareholders with its first-quarter trading.

Another FTSE 100 company to keep an eye on its DS Smith, where machinations of the global cardboard market are apparently going to have investors on the edge of their seats.

Significant announcements on Thursday

Trading updates: Whitbread PLC (LSE:WTB)

Finals: Alpha Financial Markets Consulting PLC (AIM:AFM), Cordiant Digital Infrastructure Ltd (LSE:CORD), DS Smith PLC (LSE:SMDS), First Property Group PLC (AIM:FPO), Manolete Partners PLC, Mulberry Group (AIM:MUL) PLC, Urban Logistics REIT PLC (AIM:SHED), Volex PLC (AIM:LON:VLX), XPS Pensions Group PLC (LSE:XPS)

US earnings: Accenture (NYSE:NYSE:ACN) PLC

AGMs: Alphawave IP Group (LON:IPO), PLC Angling Direct PLC (AIM:ANG), Anglo Asian Mining PLC (AIM:AAZ, OTC:AGXKF), Boohoo Group PLC (AIM:BOO), Braime Group Ord Shs, Card Factory (LSE:CARD) PLC, Ergomed PLC (AIM:ERGO, ETR:2EM), Falcon Oil & Gas Ltd (AIM:FOG, TSX-V:FO), Futura Medical PLC (AIM:FUM, OTC:FAMDF), Grand Vision Media Holdings PLC (LSE:GVMH), Longboat Energy PLC (AIM:LBE), Pathfinder Minerals (AIM:PFP) PLC, Robinson PLC (AIM:RBN), Sanderson Design Group PLC (AIM:SDG), Team17 Group PLC (AIM:TM17), Tekcapital PLC (LSE:TEK), Trellus Health PLC (AIM:TRLS), Whitbread PLC (LSE:WTB)

Economic announcements: BoE Interest Rate Decision (UK), Continuing Claims (US), Current Account (US), Initial Jobless Claims (US), Existing Home Sales (US)

Ex-dividend to reduce FTSE 100 by: 3.48

FRIDAY 23 JUNE

The financial calendar at the end of the week is a quiet one, though there will be no Ashes cricket on the day to help investors and traders to pass the time, just some macroeconomic data.

GFK consumer confidence, retail sales numbers and 'flash' purchasing managers' index (PMI) survey data in fact.

Consumer confidence has improved from the record lows last autumn while retail sales have been up and down so far this year.

Economists at Deutsche Bank (ETR:DBKGn) said: "Markets will be looking forward to the latest global flash PMIs on Friday to get the latest pulse check on growth among the key economies...The focus will also be on the wedge between the still-robust services and lagging manufacturing gauges across key economies, especially the extent to which the former can continue to power growth despite all the central bank tightening this cycle."

Significant announcements on Friday

Finals: Vianet Group (AIM:VNET) PLC

AGMs: Cadogan Energy Solutions PLC, Mears Group PLC (AIM:MER), Non-Standard Finance PLC (LSE:NSF), Ocean Harvest Technology Group PLC (AIM:OHT), Oxford Biomedica PLC, Pelatro PLC (AIM:PTRO), Petrofac (LON:PFC) Ltd, Princess Private Equity Holdings Ltd, Supply@ME Capital PLC (LSE:SYME), Vietnam Enterprise Investments (LSE:VEIL) Ltd, VPC Specialty Lending Investments PLC

Economic announcements: GFK Consumer Confidence (UK), Retail Sales (UK)

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