Card Factory backs FY profit expectations, Workspace profit drops

London open

London's FTSE 100 was called to open 16 points higher at 7,231.

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Retailer Card Factory maintained full year profit expectations as it reported a positive start to the year with first quarter sales up 6.4%, despite Britons spending less due to Brexit worries.

The company said like-for-like sales were up 2.3% against "challenging consumer sentiment and negative footfall on the High Street".

Workspace said full-year pre-tax profit fell to £137.3m from £170.4m in 2018, as a strong rise in trading profit was offset by a lower uplift in property valuation and lower disposal profits than the prior year.

Newspaper round-up

Sir Philip Green has agreed to pump an additional £25m into Arcadia Group’s pension fund, in a deal with regulators that could pave the way for a rescue restructure of his fashion retail empire. Arcadia Group has handed security over additional property assets to the fund in response to a demand from the Pensions Regulator that the former billionaire inject another £50m to fill the group’s pension black hole. - Guardian

The chief executive of Sainsbury’s is “in the money” once again with a £251,000 increase in pay despite the collapse of a planned merger with Asda. Mike Coupe’s total pay increased to nearly £3.9m, as his annual bonus rose nearly 40% to £593,000, according to the company’s annual report. – Guardian

Neil Woodford has been urged to show "contrition, humility and sympathy" by waiving up to £6m in fees after he blocked investors from withdrawing their money from his flagship fund amid calls for the financial watchdog to step in. The troubled fund manager was forced to suspend trading in the fund after a string of investments crashed and outflows accelerated to almost £10m a day in May. – Telegraph

Autonomy founder Dr Mike Lynch will today come face to face with his arch rival in the High Court when former HP chief executive Meg Whitman gives evidence in the biggest civil fraud trial in English legal history. Ms Whitman frequently clashed with the British technology executive during their time working together at HP following the $11bn (£8.7bn) acquisition of Dr Lynch’s software business Autonomy in 2011. – Telegraph

US close

Wall Street stocks recorded their second best day of the year on Tuesday, as market focus shifted from trade concerns to monetary policy when Fed chair Jerome Powell signalled the central would be open to easing monetary policy in order to save the economy.

At the close, the Dow Jones Industrial Average was up 2.06% at 25,331.23, while the S&P 500 closed 2.14% higher at 2,803.22 and the Nasdaq gained 2.65% to 7,527.12.