FTSE 100 Live 23 July: LVMH slips on disappointing sales, Spotify soars on subscriber growth

FTSE 100 Live (Evening Standard)
FTSE 100 Live (Evening Standard)

Compass shares rallied today after the Wimbledon caterer served up more strong figures, helping the main London share index turn positive.

Mining stocks headed the other way, impacted by the uncertain China demand outlook.

On Wall Street, Tesla and Alphabet shares are in focus ahead of tonight’s quarterly results.

FTSE 100 Live Tuesday

  • Compass lifts profit guidance

  • Miners hit by copper price fall

  • Fullers eyes margins growth

LVMH disappoints as sales fall short of estimates

16:53 , Simon Hunt

Shares in Christian Dior and Givenchy owner LVMH fell as much as 3% in after-market trade as the fashion giant posted sales that fell short of market estimates, in the latest sign of troubles facing the luxury market.

Overall second quarter sales rose 1%, compared to market consensus predictions of 2.9% according to Bloomberg data.

Fashion and leather goods sales rose 1% compared to an estimate of 1.95%, while watches and jewellery sales slumped 4% compared to a predicted decline of 2.85%.

 (Dave Benett)
(Dave Benett)

Compass clear winner as blue-chips end the day lower

16:45 , Simon Hunt

After a late-morning rally, the FTSE 100 reversed course this afternoon and finished the day lower, down 31 points to 8,167.

Catering company Compass was a clear winner today, with its shares rising some four and a half percent on news the Wimbledon food contractor was upgrading its profit expectations after taking on plenty of new business.

Porsche shares slip on fears of aluminium shortage

15:55 , Simon Hunt

Shares in Porsche slid as much as 7% in afternoon trade after the sports car maker cut its outlook for the year amid concerns over aluminium shortages.

The 911 maker said the shortage could mean it would not have enough parts and would stop production of some models.

The supply shortage was partly caused by a flooding at the production facility of one of its key suppliers, Porsche said. The issues could stall the production of as much as 10,000 vehicles in the second half of the year.

 (Porsche)
(Porsche)

15:37

There are sunnier times ahead for the UK economy according to one of the City’s most closely watched forecasts, which today predicted better growth and interest rates under 5% by the end of the year.

The EY Item Club’s hotter summer outllook was “a significant upgrade” it said, compared with its last update in spring. It now expects growth of 1.1% for 2024, up from the 0.7% predicted in April.

Hywel Ball, EY’s UK chair, said: “The UK’s economic recovery is under way,” adding: “With inflation predicted to remain relatively stable and consumer spending set to climb, growth should continue … but it’s expected to be more steady than spectacular”