ADVFN UK Market News

Author: Fiona Craig

  • Amazon spending surge, Stellantis rethink, Bitcoin slump – markets in focus: Dow Jones, S&P, Nasdaq, Wall Street Futures

    Amazon spending surge, Stellantis rethink, Bitcoin slump – markets in focus: Dow Jones, S&P, Nasdaq, Wall Street Futures

    U.S. equity futures edged lower on Friday as selling pressure in technology stocks lingered. E-commerce heavyweight Amazon (NASDAQ:AMZN) unveiled an aggressive increase in capital spending, while automaker Stellantis (NYSE:STLA) announced a major shift in strategy away from electric vehicles. Bitcoin (COIN:BTCUSD) extended its decline, and oil markets remained cautious ahead of expected talks between the United States and Iran.

    Amazon flags major jump in capital investment

    Amazon (NASDAQ:AMZN) was among the final big technology groups to report earnings after Thursday’s Wall Street close, and it echoed peers by signalling a substantial ramp-up in investment aimed at expanding its artificial intelligence capabilities.

    Chief executive Andy Jassy said the company plans to commit $200 billion to AI-related investment in 2026, representing a more than 50% increase in capital expenditure this year. The scale of the spending plans unsettled investors, sending Amazon shares sharply lower in after-hours trading.

    The announcement reinforced the view that Big Tech remains firmly committed to heavy AI investment. The four leading hyperscalers—Amazon, Microsoft, Google and Meta—are now expected to collectively spend more than $630 billion this year.

    On the results side, Amazon reported fourth-quarter 2025 earnings of $1.95 per share on revenue of $213.39 billion, up 13.6% year on year, narrowly missing profit expectations. Amazon Web Services delivered revenue of $35.6 billion in the December quarter, with sales growth of 24%, its strongest pace in 13 quarters.

    Although AWS accounts for only around 15% to 20% of total revenue, it generates more than 60% of Amazon’s operating profit.
    “Amazon delivered a slightly mixed picture with strong overall revenue growth and a standout boost from the cloud unit’s much anticipated reacceleration picking up greater speed,” Emarketer principal analyst Sky Canaves said.

    U.S. futures dip as Wall Street braces for a weak week

    U.S. stock futures moved lower early Friday, extending recent losses as Amazon’s post-earnings slide added pressure to the broader tech sector. At 03:35 ET, S&P 500 futures were down 0.2%, Nasdaq 100 futures fell 0.4%, and Dow futures slipped 0.1%.

    The main Wall Street indices closed sharply lower on Thursday. The Nasdaq Composite dropped 1.6%, the S&P 500 fell 1.2%, and the Dow Jones Industrial Average lost more than 500 points. The Nasdaq is heading for its worst weekly decline since early April, down about 4%, while the S&P 500 has fallen roughly 2%. The Dow is broadly flat for the week.

    Further earnings are due later Friday, including reports from Under Armour (NYSE:UAA), Biogen (NASDAQ:BIIB), AutoNation (NYSE:AN) and Philip Morris (NYSE:PM). The closely watched U.S. jobs report, initially scheduled for Friday, has been postponed to next week following the resolution of the federal government shutdown.

    Separately, figures from Challenger, Gray & Christmas showed that announced job cuts by U.S. employers jumped in January to their highest level for the month in 17 years.

    Stellantis books large charge in “strategic shift”

    Stellantis (NYSE:STLA) said it will take a charge of roughly €22 billion ($26.5 billion) related to a reassessment of its electric vehicle strategy, resulting in a preliminary loss of between €19 billion and €21 billion in the second half of 2025.

    The automaker said most of the write-downs stem from revisions to its product roadmap, reflecting sharply lower assumptions for EV demand.
    “The charges announced today largely reflect the cost of over-estimating the pace of the energy transition that distanced us from many car buyers’ real-world needs, means and desires,” said Stellantis CEO Antonio Filosa in a statement.

    The Franco-Italian group described the move as a “strategic shift” as it adapts to high costs and slower-than-expected EV sales. Stellantis, alongside other major European manufacturers such as Volkswagen, has also called for subsidies to support car production in the EU amid pressure from U.S. tariffs and increasing competition from China.

    Bitcoin slides toward steep weekly losses

    Bitcoin weakened further on Friday, putting the world’s largest cryptocurrency on track for a sharp weekly decline as appetite for risk continued to fade. Bitcoin dropped more than 9% to around $64,730, after earlier falling to a 16-month low near $60,100.

    The digital currency was heading for a third consecutive weekly loss and was down more than 20% over the week. It has now lost over half its value from the record high reached in October and has erased all gains made since President Donald Trump’s election victory in late 2024.

    Bitcoin has been dragged lower by a broader retreat from speculative assets, with selling pressure intensifying after Trump nominated Kevin Warsh as his preferred candidate to chair the Federal Reserve. Warsh has previously opposed the Fed’s asset-purchase programmes, and expectations of a leaner central bank balance sheet have weighed on crypto markets.

    Adding to the negative tone, major corporate holder Strategy (NASDAQ:MSTR) reported a significantly wider fourth-quarter loss on Thursday, largely due to declines in the value of its Bitcoin holdings.

    Oil rebounds, but weekly losses remain likely

    Oil prices rose on Friday but were still heading for their first weekly decline in almost two months, as investors awaited the outcome of U.S.–Iran talks later in the day. Brent crude gained 1.3% to $68.38 a barrel, while U.S. West Texas Intermediate rose 1.4% to $64.19.

    Despite the bounce, Brent was set to finish the week down 3.3% and WTI lower by around 1.8%, with U.S. and Iranian officials due to meet in Oman amid heightened tensions in the Middle East. Markets have been hoping that dialogue between Washington and Tehran could help ease tensions and reduce the risk of a broader conflict, prompting traders to strip some geopolitical risk premium out of oil prices this week.

    However, uncertainty persists after reports of disagreement over the scope of the talks, with Iran rejecting U.S. calls to include its missile programme and saying discussions would be limited to nuclear issues. Iran is a major oil producer and sits alongside the Strait of Hormuz, one of the world’s most critical shipping routes for crude.

  • European Equities Edge Lower as Earnings Drive Moves; Stellantis Hit by Strategy Shift: DAX, CAC, FTSE100

    European Equities Edge Lower as Earnings Drive Moves; Stellantis Hit by Strategy Shift: DAX, CAC, FTSE100

    European stock markets were mostly weaker on Friday, with investors continuing to digest a heavy run of corporate results as a packed week—featuring major central bank decisions—neared its end. By mid-morning, Germany’s DAX was up 0.3%, while France’s CAC 40 slipped 0.3% and the UK’s FTSE 100 eased 0.2%.

    Earnings remained the main focus across the region, with updates from several large-cap names shaping sentiment. Shares in Stellantis (BIT:STLAM) dropped sharply after the carmaker announced it expects to book around €22.2 billion in charges as it scales back its electric vehicle strategy in response to softer demand. The group said the bulk of the write-downs relate to revisions to its product roadmap, reflecting much lower assumptions for EV sales. Following the reset, Stellantis now anticipates a net loss of €19–21 billion in the second half of 2025 and confirmed that dividend payments will be suspended.

    Elsewhere in the banking sector, Société Générale (EU:GLE) lifted its profitability target for the year after reporting a stronger-than-expected fourth-quarter performance, supported by higher revenues and tighter cost control. In Italy, utility group Enel (BIT:ENEL) said its 2025 ordinary net income came in slightly above the top end of guidance at €6.90 billion, ahead of a capital markets day scheduled for later this month.

    Other notable movers included weight-loss drugmaker Novo Nordisk (NYSE:NVO), whose shares rose after the US Food and Drug Administration warned it could take action against “illegal copycat drugs.” In the mining sector, Rio Tinto (LSE:RIO) and Glencore (LSE:GLEN) confirmed late Thursday that they had ended discussions over a potential megamerger that would have created the world’s largest mining company.

    On the macro front, fresh data underlined the uneven nature of Germany’s economic recovery. Exports jumped 4.0% month on month in December, well ahead of expectations for a 1% rise, but industrial production disappointed, falling 1.9% over the same period. In the UK, figures from mortgage lender Halifax showed house prices rose 0.7% in January and were 1.0% higher than a year earlier.

    Central banks were also in focus, with both the European Central Bank and the Bank of England leaving interest rates unchanged on Thursday, in line with market expectations.

    In commodities, oil prices edged higher on Friday but remained on track for their first weekly decline in almost two months. Brent crude rose 1.3% to $68.43 a barrel, while US West Texas Intermediate gained 1.4% to $64.20. Despite the rebound, Brent was heading for a weekly loss of 3.3% and WTI for a drop of 1.8%, as traders weighed the outcome of US-Iran talks scheduled for later in the day.

    Markets have been hopeful that discussions between Washington and Tehran could help ease tensions in the Middle East and reduce the risk of wider conflict. That optimism has led investors to strip some geopolitical risk premium out of crude prices this week, despite Iran’s status as a major oil producer and its proximity to the strategically vital Strait of Hormuz.

  • FTSE 100 Falls as Pound Firms; Rio–Glencore Talks End and Victrex Shares Slide

    FTSE 100 Falls as Pound Firms; Rio–Glencore Talks End and Victrex Shares Slide

    UK equities opened lower on Friday, extending losses from the previous session, while sterling strengthened against the dollar and European markets weakened on the back of disappointing earnings. The FTSE 100 was down around 0.5% by mid-morning, while the pound rose 0.2% to roughly $1.357. Across Europe, the STOXX 600 slipped 0.2%, Germany’s DAX edged up 0.1%, and France’s CAC 40 fell 0.7%, reflecting uneven regional sentiment.

    Elsewhere in Europe, shares in Stellantis NV plunged more than 18% after the carmaker disclosed around €22.2bn of charges for the second half of 2025, adding to broader pressure on equity markets.

    In UK corporate news, Rio Tinto (LSE:RIO) confirmed it is no longer considering a merger or business combination with Glencore (LSE:GLEN). The decision brings an end to speculation over a potential tie-up as major miners position themselves for strategic shifts in 2026. Analysts note that, even without a deal, the sector is expected to pursue portfolio reshaping and other strategic moves as critical minerals such as copper, gold and lithium take on greater importance in national security and energy transition strategies.

    Shares in Victrex (LSE:VCT) fell more than 7% after the company reported a 6% year-on-year decline in first-quarter revenue. Victrex posted revenue of £62.4m for the three months to 31 December 2025, compared with £66.6m a year earlier. Sales volumes fell 4% to 858 tonnes, while average selling prices eased 2% to £73 per kilogram, reflecting softer demand across several end markets.

    HgCapital Trust (LSE:HGT) reported a net asset value per share of 561.9p at 31 December 2025, delivering a 2.2% return for the fourth quarter. The trust said its portfolio companies achieved last-twelve-months revenue growth of 17% and EBITDA growth of 20% as of the end of November, with the EBITDA margin improving slightly to 34%.

    On the macro front, the Bank of England voted 5–4 on Thursday to keep interest rates unchanged, striking a more dovish tone that has shifted some market expectations toward a possible rate cut as early as March, although consensus still points to the second quarter. Markets are finding it difficult to fully price in two 25 basis point cuts this year, with political uncertainty also in focus. Analysts at ING said sterling could come under pressure, with EUR/GBP supported around the 0.8670–0.8680 area and a bias toward 0.88 over the coming month.

  • Hargreave Hale AIM VCT Manages Challenging UK Markets Through Active Portfolio Rotation

    Hargreave Hale AIM VCT Manages Challenging UK Markets Through Active Portfolio Rotation

    Hargreave Hale AIM VCT plc (LSE:HHV) reported a difficult first quarter of its 2025/26 financial year, with unaudited net asset value per share declining by 1.25p to 35.21p and a NAV total return of -3.43%. Performance was impacted by a weak AIM market and subdued UK economic conditions.

    Qualifying investments were slightly negative overall. Strong gains in Hardide, Skillcast, and Tortilla Mexican Grill were more than offset by sharp falls in defence and diagnostics holdings Cohort and Diaceutics, along with weakness in Property Franchise Group. The non-qualifying portfolio provided some stability, particularly through fixed income holdings and UK small-cap funds. The VCT remained well above the HMRC qualifying threshold at 84.11%, increased its exposure to qualifying assets and fixed income, and continued to deploy capital via new and follow-on AIM investments. During the period, it exited Polarean Imaging and a gold miners ETF and repurchased 2.6 million shares, with the shares trading at a modest discount to NAV.

    After the quarter end, NAV per share recovered to 36.33p as at 31 January 2026. The trust also committed to making further qualifying investments, pointing to continued portfolio rotation and a cautiously optimistic stance despite ongoing UK macroeconomic pressures and a still-quiet IPO environment.

    From an outlook perspective, the VCT benefits from a conservative, debt-free balance sheet, but this is offset by volatile earnings, a sharp revenue decline in 2025, and persistently negative operating cash flow. Technical indicators remain weak, suggesting oversold conditions and negative momentum, while a high dividend yield and recent corporate activity offer partial support.

    More about Hargreave Hale AIM VCT plc

    Hargreave Hale AIM VCT plc is a UK-listed venture capital trust investing primarily in smaller, high-growth companies quoted on London’s Alternative Investment Market. The trust offers exposure to early-stage and developing businesses through a diversified mix of qualifying and non-qualifying assets, including direct equity investments, UK small-cap funds, and fixed income, with the aim of delivering tax-efficient income and long-term capital growth under the HMRC VCT framework.

  • Sanlam Acquires 19.9% Beneficial Interest in Ninety One Limited

    Sanlam Acquires 19.9% Beneficial Interest in Ninety One Limited

    Ninety One Limited (LSE:N91) has disclosed that Sanlam Investment Holdings (Pty) Ltd has taken a significant beneficial interest in its shares on behalf of clients. The transaction lifts Sanlam’s aggregate holding in the relevant class of Ninety One Limited securities from zero to 19.9% of the company’s issued share capital.

    The required regulatory notifications have been submitted to South Africa’s Takeover Regulation Panel, with Ninety One’s board confirming that the disclosure is based on information provided by Sanlam. The move introduces a sizeable new institutional shareholder to the register, which could influence shareholder dynamics and is likely to be viewed as a vote of confidence in the business.

    From a market perspective, Ninety One’s overall investment case continues to be underpinned by strong financial performance and an attractive valuation, supported by constructive earnings commentary and recent strategic actions. While technical indicators point to some near-term caution, the group’s solid fundamentals and strategic positioning are seen as supportive of longer-term growth.

    More about Ninety One

    Ninety One plc and Ninety One Limited are dual-listed asset management companies incorporated in England and Wales and South Africa, with primary listings on the London Stock Exchange and the Johannesburg Stock Exchange. The group provides a broad range of investment products and services to institutional and retail clients, with shares trading under the ticker N91 in London and Johannesburg and NY1 for Ninety One Limited on the JSE.

  • GEO Exploration Adopts Equity-Focused Board Incentives to Conserve Cash

    GEO Exploration Adopts Equity-Focused Board Incentives to Conserve Cash

    GEO Exploration Limited (LSE:GEO) has approved a wide-ranging equity-based remuneration package for its board, opting to compensate executive and non-executive directors with shares rather than cash fees. The package includes the issue of new ordinary shares, the grant of 490 million new share options, and an extension to the expiry of warrants originally issued as part of a 2023 fundraising.

    The measures materially increase directors’ exposure to the company’s equity while reducing near-term cash outflows. Following the changes, directors collectively hold around 14.4% of the enlarged share capital, rising to approximately 23.5% on a fully diluted basis. The options and share awards are subject to a mix of performance and time-based vesting conditions, designed to encourage long-term value creation and retain key management.

    The warrant extensions, most of which are held by the chief executive and chief financial officer, together with the option grants, are classified as related-party transactions under AIM rules. These arrangements have been reviewed by the company’s nominated adviser and deemed fair and reasonable. The approach highlights GEO Exploration’s reliance on equity-linked incentives to preserve cash, support project development, and potentially generate future funding if warrants are exercised.

    More about GEO Exploration Limited

    GEO Exploration Limited is an AIM-listed resources company focused on early-stage exploration projects. Operating under the capital constraints typical of junior explorers, the group makes extensive use of equity-based instruments to remunerate and incentivise directors and staff, preserving cash for operational and strategic priorities while aligning management interests with those of shareholders.

  • Kore Potash Updates Market on January CDI Rebalancing Across Listings

    Kore Potash Updates Market on January CDI Rebalancing Across Listings

    Kore Potash Plc (LSE:KP2) has reported a change in the number of CHESS Depositary Interests representing its ordinary shares on the ASX, with CDIs falling to 582,964,712 at 31 January 2026 from 589,194,233 a month earlier. This represents a net reduction of 6,229,521 CDIs over the period.

    The movement reflects transfers between ASX-quoted CDIs and ordinary shares traded on AIM and the Johannesburg Stock Exchange, rather than any issuance or cancellation of shares. Correspondingly, the number of directly held ordinary shares increased to 4,592,973,603. The update points to an internal rebalancing of how Kore Potash’s equity is held across its dual listings, with no impact on total share capital but potential implications for where trading liquidity is concentrated.

    From an outlook perspective, the company continues to face financial challenges, including a drop in revenue to zero in 2024, ongoing losses, and recently negative operating and free cash flow. These pressures are partly offset by a deleveraged balance sheet following 2024. Technical indicators remain broadly neutral, while valuation remains difficult to justify given negative earnings and the absence of a dividend.

    More about Kore Potash Plc

    Kore Potash Plc is a potash-focused mining company with ordinary shares listed via CHESS Depositary Interests on the Australian Securities Exchange and directly on London’s AIM and the Johannesburg Stock Exchange. The structure reflects a multi-market investor base supporting the development of the company’s fertiliser-related mineral assets.

  • Kosmos Energy Reports Executive Share Awards and Tax-Related Share Sales

    Kosmos Energy Reports Executive Share Awards and Tax-Related Share Sales

    Kosmos Energy Ltd (LSE:KOS) has disclosed a number of equity transactions involving senior executives under its long-term incentive arrangements. The update covers new grants of restricted share units, along with the vesting of previously awarded units and associated sales of common stock to meet tax withholding obligations.

    The disclosures show that senior executives including SVP and General Counsel Josh R. Marion, Vice President and Chief Accounting Officer Ronald W. Glass, chief executive Andrew G. Inglis, and executive Neal D. Shah received significant new awards. These restricted share units are scheduled to vest in equal annual instalments between 2027 and 2029. At the same time, a portion of shares was sold following vesting events to satisfy tax requirements, rather than for discretionary disposal purposes.

    The transactions highlight the continued use of equity-based incentives as a core element of Kosmos Energy’s executive remuneration framework, designed to align management interests with those of shareholders. The disclosures were made in line with EU market abuse regulations governing transparency around director and executive dealings.

    More about Kosmos Energy

    Kosmos Energy Ltd is an independent oil and gas exploration and production company with a primary focus on offshore assets. Listed on the New York Stock Exchange, the group uses share-based incentive plans, including restricted share units, as a key component of compensation for its executives and senior management.

  • Everyman Media Bolsters Leadership With CFO Appointment and Interim Creative Director Role

    Everyman Media Bolsters Leadership With CFO Appointment and Interim Creative Director Role

    Everyman Media Group (LSE:EMAN) has strengthened its senior management team with the appointment of Sheree Manning as Chief Financial Officer and the elevation of long-standing non-executive director Charles Dorfman to Interim Creative Director with executive responsibilities. Manning brings more than two decades of senior finance and leadership experience, including roles at National World and other major media and retail groups, and is due to join the board later in February. Outgoing finance director Will Worsdell will remain in post until mid-March to support a smooth transition.

    Dorfman’s move into an executive creative position draws on his extensive background in cross-media production and investment. Interim chief executive management said the change is designed to strengthen Everyman’s creative proposition while supporting the group’s next stage of growth, reflecting a dual focus on tighter financial discipline and differentiated content as the company continues to expand its premium cinema estate across the UK.

    From a market perspective, the outlook is shaped primarily by financial performance. While there are signs of potential recovery through improving revenues and cash generation, the business continues to face challenges linked to high leverage and a lack of profitability. Technical indicators point to a bearish trend, and valuation metrics suggest the shares may be undervalued, largely reflecting ongoing financial risk.

    More about Everyman Media Group

    Everyman Media Group is a leading UK independent premium cinema and entertainment operator, running a growing portfolio of venues that combine cinema exhibition with in-house hospitality. The group differentiates itself through a curated mix of mainstream and independent films, live theatre and concert screenings, high-quality food and drink, and intimate venues designed as destination spaces within local communities.

  • Tortilla Reappoints Founder as CEO in Leadership Reset to Drive Pan-European Expansion

    Tortilla Reappoints Founder as CEO in Leadership Reset to Drive Pan-European Expansion

    Tortilla Mexican Grill plc (LSE:MEX) has announced a wide-ranging leadership reshuffle as it moves into its next phase of growth. Founder Brandon Stephens has returned as group chief executive, while former LEON managing director Mac Plumpton has been appointed UK CEO. Former Gail’s chief Marta Pogroszewska joins the board as a non-executive director, and Mexican chef Edson Diaz-Fuentes takes on the role of food ambassador.

    In parallel, former YUM! Europe CFO Francesca Tiritiello has moved from the board into an advisory position focused on franchise development. Outgoing CEO Andy Naylor and non-executive director and audit committee chair Keith Down have stepped down. The refreshed leadership team has been tasked with delivering a five-point strategy that includes upgrading the menu, completing the rebranding of French sites by 2026, optimising the UK estate by exiting loss-making locations to improve margins, establishing a scalable European franchise model, and using AI and data tools to enhance operational performance.

    The changes come after a period of strong like-for-like sales growth in the UK and improving trading in France, with management positioning the group to pursue its ambition of becoming a leading pan-European fast casual Mexican brand. Despite this strategic momentum, the company’s outlook remains constrained by weak financial performance, including net losses and negative equity. While technical indicators point to strong share price momentum, they also suggest the stock is extremely overbought. Valuation remains difficult to assess given negative earnings and the absence of dividend data.

    More about Tortilla Mexican Grill plc

    Tortilla Mexican Grill plc is the largest fast casual Mexican restaurant operator in the UK and Europe, running a network of burrito- and taco-focused outlets offering affordable, fast casual dining. The group is pursuing a pan-European growth strategy, including the integration and rebranding of Fresh Burritos sites in France, and aims to improve unit economics and scale through a mix of company-owned restaurants and franchising partnerships.