Thursday preview: US GDP, BT Group in focus

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Sharecast News | 28 Jul, 2021

Financial markets' focus on Thursday will be on a preliminary reading for US gross domestic product in the second quarter.

The US Department of Commerce is expected to announce that the annualised rate of growth accelerated further, from the 6.4% pace observed over the three months to March to 8.3%.

Also due out are the latest weekly jobless claims data, although they are likely continuing to be distorted by seasonal retooling at US vehicle manufacturers.

On home shores, at 0700 BST, the Office for National Statistics will release consumer credit and mortgage lending data for June.

Across the Channel meanwhile, the main release to watch out for will be a reading on German unemployment in July.

For BT Group's first fiscal quarter, UBS analyst Polo Tang has penciled-in revenues of £5.12bn and earnings before interest, taxes, depreciation and amortisation of €1.84bn.

In terms of valuation, the analysts believed financial markets were pricing in expectations for a rise in EBITDA to £7.9bn by 2023 together with a high valuation for Openreach towards the top end of the £14-20bn consensus valuation range.

Furthermore, Altice's decision to acquire a 12.1% stake in BT had stoked hopes that the value in Openreach could be crystallised soon.

Yet a stake sale of JV in fibre now seemed less likely and the shares were failing to take into account potential competitive pressures from Virgin Media and Sky, he said.

The recent settlement with CWU and lower Openreach pricing also put downside pressure on consensus estimates.

Thursday 29 July

INTERIMS

Anglo American, AstraZeneca, BAE Systems, Compagnie de St-Gobain SA, Devro, Drax Group, Elementis, Equiniti Group , Inchcape, Indivior, Informa, Lloyds Banking Group, Mail.ru Group Ltd GDR (Reg S), National Express Group, Nokia OYJ, Nokia OYJ, Relx plc, Rentokil Initial, Schroders, SEGRO, Smith & Nephew, Spectris, Totally, Vesuvius

INTERIM EX-DIVIDEND DATE

BB Healthcare Trust (Red), Independent Inv Trust, Moneysupermarket.com Group, Nichols, Northern Venture Trust, RBG Holdings

QUARTERLY EX-DIVIDEND DATE

Greencoat Renewables (CDI), NB Global Monthly Income Fund Limited Red Ord Shs NPV £, SME Credit Realisation Fund Limited NPV

INTERNATIONAL ECONOMIC ANNOUNCEMENTS

Business Climate Indicator (EU) (10:00)

Consumer Confidence (EU) (10:00)

Continuing Claims (US) (13:30)

Economic Sentiment Indicator (EU) (10:00)

Industrial Confidence (EU) (10:00)

Initial Jobless Claims (US) (13:30)

Pending Homes Sales (US) (15:00)

Services Sentiment (EU) (10:00)

Unemployment Rate (GER) (08:55)

Q2

AstraZeneca, Nokia OYJ, Royal Dutch Shell 'A', Royal Dutch Shell 'B', Smith & Nephew, Totally

FINALS

Amigo Holdings, Platform HG Finance 1.625% Sec Bds 10/08/55, SRT Marine Systems

SPECIAL DIVIDEND PAYMENT DATE

Edinburgh Inv Trust, KKV Secured Loan Fund Limited 'C Shares', KKV Secured Loan Fund Limited NPV

SPECIAL EX-DIVIDEND DATE

Bloomsbury Publishing, CML Microsystems, Gulf Keystone Petroleum Ltd Com Shs (DI), Jarvis Securities, Northern Venture Trust

EGMS

Amiad Water Systems Ltd

AGMS

Amiad Water Systems Ltd, Aminex (CDI), B&M European Value Retail S.A. (DI), CMC Markets, Discoverie Group, Dr. Martens , GB Group, Intermediate Capital Group, Johnson Matthey, MS International, Ovoca Bio (CDI), Palace Capital , Powerhouse Energy Group, Tate & Lyle, TMT Investments, Volex

TRADING ANNOUNCEMENTS

Compass Group, Discoverie Group, Evraz, Headlam Group, Intermediate Capital Group, Sage Group, Smith & Nephew

UK ECONOMIC ANNOUNCEMENTS

Consumer Credit (09:30)

M4 Money Supply (09:30)

Mortgage Approvals (09:30)

Nationwide House Price Index (07:00)

FINAL DIVIDEND PAYMENT DATE

Anglo Asian Mining, Edinburgh Inv Trust, Integrated Diagnostics Holdings, Tribal Group

FINAL EX-DIVIDEND DATE

Bloomsbury Publishing, Blue Planet Investment Trust, Downing One VCT , Monks Inv Trust, NewRiver REIT, QinetiQ Group, Royal Mail, SSE, Triad Group, Ventus VCT D Shs, Ventus 2 VCT, Ventus 2 VCT 'C' Shares, Ventus 2 VCT D Shs, Ventus VCT, Ventus VCT 'C' Shares

Q1

Airtel Africa

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