FTSE 100 Live Wednesday
- Barclays profit beats hopes
- GSK reassures on tariffs
- Aston Martin limits US imports
Market update: GSK rallies in robust FTSE 100, Glencore down 5%
10:09 , Graeme EvansGSK and Smith & Nephew outperformed forecast-beating Barclays today as the FTSE 100 index stayed within reach of a 13th consecutive improvement.
London’s top flight stood 5.10 points lower at 8458.36, having posted its best run of gains since early 2017.
Barclays has contributed to the FTSE 100 rebound by recouping all the heavy losses seen in the days after the announcement of US tariffs on 2 April.
Shares threatened a further rise today after the lender’s first quarter figures beat forecasts on several fronts, including a pre-tax profit of £2.7 billion.
Investment banking drove the beat, while there was reassurance on its US consumer operation and the company’s delivery of targets for this year and next.
Shares initially rose 8.6p to 306.6p before returning to their opening mark at 297.4p.
Investors favoured GSK after it reiterated full-year guidance and said supply chain and productivity initiatives left it well placed to cope with any changes to US tariffs.
The company’s speciality medicines division, where sales rose 17% on the back of strong demand for oncology, respiratory and HIV treatments, provided the standout performance in today’s Q1 results.
Shares rallied after a sluggish start to stand 4% or 57p higher at 1489p, a rise of 10% so far this year. AstraZeneca added 148p to 10,766p in today’s session.
Smith & Nephew led the FTSE 100 index after its reassuring first quarter update sent shares up 7% or 69p to 1065p.
Amid uncertainty over the impact of tariffs, the medical devices firm reiterated guidance for underlying revenue growth of around 5% and “significant” margin expansion to 19%-20%.
Other risers in the top flight included bottling business Coca-Cola HBC, which lifted 84p to 3838p, and Associated British Foods as shares put back 39p to 2073p following yesterday’s sugar division profit warning.
On the fallers board, Glencore dropped 5% or 12.3p to 251.6p after the miner reported a 30% drop in copper production in the first quarter.
It expects a stronger performance by its copper mines over the rest of the year, leading to unchanged guidance overall.
The selling pressure came during a poor session for the sector as Anglo American reversed 74p to 2053.5p, Antofagasta fell 54.5p to 1639.5p and Rio Tinto lost 87.5p to 4459p.
Among other companies reporting today, Taylor Wimpey fell 3.1p to 115.4p despite reiterating full-year guidance on the back of “good levels” of demand in the Spring selling season.
Warehouse and industrial properties firm Segro and the Asia-focused insurer Prudential also lost about 2% of their value in the wake of first quarter updates.
GSK shares rally after tariffs reassurance, sales up 4%
09:26 , Graeme EvansGSK shares have risen 44p to 1476p after it reiterated full-year guidance and said it is “well positioned” to cope with the impact of any changes to US tariff rules.
The reassurance came as GSK reported that total sales grew by 4% to £7.52 billion for the first quarter of 2025.
This was boosted by its speciality medicines division, where sales rose 17% on the back of strong demand for oncology, respiratory and HIV treatments.
In its vaccines arm, sales dropped by 6% to £2.1 billion for the quarter.
Aston Martin limits US imports, sticks to guidance
08:44 , Graeme EvansAston Martin Lagonda said today it is limiting imports to the US amid the uncertainty of new tariff rules.
The car maker, which generates around 30% of its sales through the US, left guidance for 2025 unchanged while it continues a turnaround plan.
It reported a pre-tax loss of £79.6 million for the first quarter, down from £138.9 million. Total revenues dropped by 13% to £233.9 million for the quarter.
Chief executive Adrian Hallmark said: “We are carefully monitoring the evolving US tariff situation and are currently limiting imports to the US while leveraging the stock held by our US dealers.”
Shares rose 0.75p to 70.65p, having fallen by a third this year due to worries over the potential impact of tariffs.
Sanderson Design falls into the red, tariffs impact orders
08:29 , Graeme EvansLuxury wallpaper and furnishings group Sanderson Design today recorded a pre-tax loss of £13.9 million for the year to the end of January,
The AIM listed company, which has a royal warrant from King Charles, posted a £10.4 million profit in the previous year.
Revenues were down 7.6% at £100.4 million in “a sustained challenging consumer environment.” The dividend is cut from 3.5p to 1.5p.
While the company does not currently expect a material direct impact from tariffs, the current situation has “impacted order intake in all regions”.
The shares fell 1.5p to 41.5p.
FTSE 100 higher, Barclays and Smith & Nephew rally on updates
08:17 , Graeme EvansThe FTSE 100 index has added another 16.38 points to 8479.84, having risen for 12 sessions in its best run for eight years.
Barclays lifted 8.6p to 306.6p after first quarter profit growth of 19% to £2.7 billion came in well ahead of expectations.
Hargreaves Lansdown analyst Matt Britzman said: “Barclays has quite comfortably beaten expectations, after its investment banking arm cashed in on market volatility over the first quarter.
“In the main, trends across the portfolio look strong, from stable US credit card write-offs to low default levels on UK cards and loans.”
Among other FTSE 100 risers, Smith & Nephew lifted 6% or 59.5p to 1055.5p after forecasting strong revenue growth and a significant step-up in trading profit margin.
GSK rose 14.1p to 1446.1p and Taylor Wimpey improved half a penny to 119p after their first quarter updates. A production update by Glencore left its shares 6.7p lower at 257.2p.
House prices dampened by stamp duty impact
07:53 , Graeme EvansHouse prices dipped by 0.6% month-on-month on average in April, just as stamp duty discounts became less generous.
Nationwide said the annual rate of house price growth slowed to 3.4% in April from 3.9% in March, taking the average property value in April to £270,752.
Chief economist Robert Gardner said: “The softening in house price growth was to be expected, given the changes to stamp duty at the start of the month.
“Early indications suggest there was a significant jump in transactions in March, with buyers bringing forward their purchases to avoid additional tax obligations.”
Taylor Wimpey encouraged by customer demand, guidance unchanged
07:43 , Graeme EvansHousebuilder Taylor Wimpey today reiterated full-year guidance after reporting “good levels” of demand in the Spring selling season.
The company’s net private sales rate for the year to 27 April was 0.77 per outlet per week, up from 0.74 in 2024. The cancellation rate rose to 16% from 13%.
The total order book value stood at £2.3 billion, representing an increase to 8153 homes from 7742 in 2024. The company is currently operating from 201 outlets.
It added: “While being mindful of recent macroeconomic volatility, as well as ongoing affordability challenges for some of our customers, particularly in the south of England, we are continuing to see good quality customer interest.
“Mortgage lending remains robust with a healthy level of product available at competitive rates and lenders remaining committed to the UK housing market.”
GSK reassures on tariff impact, backs 2025 targets
07:18 , Graeme EvansGSK today told investors that it is well positioned to respond to the potential financial impact of sector-specific tariffs, should they be implemented.
It highlights mitigation options in the supply chain as well as productivity initiatives.
The update came as the company reported first quarter results showing a 5% rise in core operating profit to £2.5 billion.
It continues to expect 2025 turnover growth of between 3% and 5% and core operating profit growth in the range of 6% to 8%.
Chief executive Emma Walmsley said: "GSK continues to make strong progress, demonstrating the quality, strength and resilience of our portfolio.
“Specialty Medicines, our largest business, delivered strong sales contributions in the quarter and R&D progress continued, with two of the five FDA product approvals expected this year now secured, and the acquisition of a promising new oncology asset.”
Barclays backs 2025/26 targets, Q1 profit up 19%
07:09 , Graeme EvansBarclays today reported a bigger-than-expected 19% rise in pre-tax profit to £2.7 billion, adding that it is confident in delivering financial and distribution targets for 2025 and 2026.
Chief executive CS Venkatakrishnan said the company was well placed to support customers and clients and “deliver strong risk-adjusted returns in a wide range of macroeconomic scenarios”.
Barclays’ investment bank income increased 16% in the first quarter, while the US consumer bank division improved 1% on the back of card balance growth.
UK income increased 14%, driven by the use of structural hedges against interest rate volatility and the acquisition of Tesco Bank.
FTSE 100 set for steady start, oil price weakness continues
07:01 , Graeme EvansThe FTSE 100 index is set to open broadly unchanged, having added 0.5% yesterday to record a 12th gain in a row.
The best run for eight years has left the top flight within 5% of its record close of 8871 in early March.
On Wall Street, the Dow Jones Industrial Average rose 0.8% while the S&P 500 index and Nasdaq Composite improved by 0.6%.
Asia markets are trading in a narrow range, with the price of Brent Crude down another 1% to $62.51 a barrel.
