ADVFN UK Market News

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  • European shares mixed; miners’ results, nuclear discussions and UK jobs data in focus: DAX, CAC, FTSE100

    European shares mixed; miners’ results, nuclear discussions and UK jobs data in focus: DAX, CAC, FTSE100

    European equity markets were uneven on Tuesday as investors digested another wave of corporate earnings, fresh UK labour figures and developments surrounding U.S.-Iran nuclear negotiations.

    At 08:05 GMT, Germany’s DAX was down 0.1%. France’s CAC 40 added 0.2%, while London’s FTSE 100 advanced 0.3%.

    Mining earnings take centre stage

    The reporting season remains front and centre, with major mining groups drawing particular attention.

    BHP Group (LSE:BHP) posted better-than-expected first-half underlying profit, helped by robust copper earnings. For the first time, copper overtook iron ore as the company’s largest profit contributor, as prices for the metal climbed amid demand linked to artificial intelligence.

    Antofagasta (LSE:ANTO) also delivered record 2025 earnings, supported by firmer copper and by-product prices that lifted both profitability and operating cash flow. Annual revenue climbed 30%, reflecting stronger realised copper pricing and improved by-product contributions.

    Results are due this week from Europe’s largest diversified miners — Rio Tinto (LSE:RIO), Glencore (LSE:GLEN) and Anglo American (LSE:AAL) — alongside Antofagasta, at a time when several key metals are trading near recent highs.

    Outside the mining space, InterContinental Hotels (LSE:IHG) reported a 16% increase in adjusted earnings for 2025. However, revenue per available room in its Americas division fell 2% in the fourth quarter, marking the sharpest quarterly decline of the year as U.S. government and inbound international travel softened.

    Spanish gas grid operator Enagas (BIT:1ENG) returned to profitability in 2025, exceeding its financial objectives. Asset disposals, a higher arbitration award linked to its Peruvian investment and disciplined cost management supported performance.

    UK labour market shows signs of cooling

    Data released Tuesday indicated further easing in UK labour conditions, potentially strengthening the case for additional monetary easing from the Bank of England.

    The unemployment rate rose to 5.2% in the three months to December, up from 5.1% previously and the highest level since early 2021.

    Meanwhile, annual growth in regular pay excluding bonuses slowed to 4.2% in the final three months of 2025 compared with a year earlier, down from 4.4% in the period to November.

    “The lack of green shoots of recovery in the labor market and further fall in wage growth supports the idea that the Bank of England has at least a couple more interest rate cuts in its locker, with the chances of the next cut happening in March rather than April edging higher,” analysts at Capital Economics said in a note.

    Later in the day, Germany’s ZEW economic sentiment survey is expected to show improving confidence in Europe’s largest economy.

    Oil slips ahead of U.S.-Iran discussions

    Crude prices edged lower as markets evaluated potential supply risks from Iran ahead of indirect talks with the United States in Geneva aimed at addressing their long-standing nuclear dispute.

    Brent futures fell 0.7% to $68.15 per barrel, while U.S. West Texas Intermediate rose 0.6% to $63.12 per barrel. Monday’s U.S. public holiday meant there was no official settlement price.

    While diplomatic efforts are under way, reports suggest the U.S. military is preparing contingency plans for possible extended operations involving Iran. Tehran has also begun military exercises in the Strait of Hormuz, a key global shipping lane for oil exports from Gulf producers.

  • FTSE 100 today: Sterling Slides on Rising Jobless Rate and Slower Pay Growth; Index Edges Higher

    FTSE 100 today: Sterling Slides on Rising Jobless Rate and Slower Pay Growth; Index Edges Higher

    The pound weakened on Tuesday after fresh UK labour data showed unemployment ticking higher and wage growth cooling more sharply than expected. Equity markets, however, opened firmer in London, while major European indices were mixed.

    By 0811 GMT, the blue-chip FTSE 100 was up 0.3%, while sterling had fallen 0.5% against the dollar to 1.3573. Germany’s DAX slipped 0.06%, and France’s CAC 40 gained 0.2%.

    UK labour market update

    According to figures released by the Office for National Statistics, the UK unemployment rate rose to 5.2% in the three months to December, up from 5.1% previously and marking the highest reading since early 2021.

    At the same time, wage pressures continued to ease. Annual growth in regular pay, excluding bonuses, slowed to 4.2% over the same period, down from 4.5% in the prior three-month window.

    The combination of higher unemployment and moderating pay growth points to further softening in the labour market, potentially strengthening the case for additional interest rate cuts from the Bank of England at its upcoming meeting.

    Corporate highlights

    Antofagasta (LSE:ANTO) reported record EBITDA for 2025, supported by stronger copper and by-product pricing. Revenue increased 30% to $8.62 billion, while EBITDA rose 52% to $5.20 billion, lifting the margin to 60.3% from 51.8% a year earlier.

    Profit before tax came in at $3.16 billion, and earnings per share including exceptional items climbed to 134.8 cents from 84.1 cents. Operating cash flow rose 30% to $4.25 billion. The board proposed a final dividend of 48.0 cents per share, taking total annual dividends to 64.6 cents, equivalent to a 50% payout of underlying earnings.

    InterContinental Hotels Group (LSE:IHG) posted a 16% increase in adjusted EPS for 2025 to 501.3 cents, up from 432.4 cents a year earlier, and opened a record 443 hotels during the year.

    However, its Americas division experienced pressure, with fourth-quarter revenue per available room declining 2%, marking the sharpest quarterly drop of the year amid softer US government and inbound international travel. The board approved a new $950 million share buyback for 2026 after completing a $900 million programme in 2025, and proposed a 10% higher final dividend of 125.9 cents per share, bringing the full-year total to 184.5 cents.

    Coca-Cola Europacific Partners (LSE:CCEP) reported a 31% rise in operating profit for 2025 and announced a €1 billion share repurchase plan. Reported operating profit reached €2.79 billion, while comparable operating profit stood at €2.81 billion, up 5.4% on a comparable basis and 7.5% on a comparable, FX-neutral basis.

    Annual revenue increased 2.3% to €20.90 billion, with adjusted comparable FX-neutral revenue growth of 2.8%, according to preliminary unaudited figures.

  • Antofagasta Delivers Record 2025 EBITDA, Reaffirms 2026 Guidance as Shares Ease

    Antofagasta Delivers Record 2025 EBITDA, Reaffirms 2026 Guidance as Shares Ease

    Antofagasta (LSE:ANTO) posted record EBITDA for 2025, supported by stronger copper pricing and improved by-product contributions that lifted earnings and operating cash flow. Despite the solid performance, the shares fell more than 3% in early trade, with results broadly matching market expectations.

    Full-year revenue increased 30% to $8.62 billion, benefiting from higher realised copper prices and stronger by-product income. The total came in 2% ahead of consensus forecasts.

    EBITDA rose 52% year-on-year to $5.20 billion, approximately 1% above company-compiled consensus estimates. The EBITDA margin expanded to 60.3%, up from 51.8% in the prior year.

    Profit before tax reached $3.16 billion. Adjusted earnings per share of $129.3 exceeded consensus by 2%. Operating cash flow advanced 30% to $4.25 billion.

    The board recommended a final dividend of 48.0 cents per share, taking total 2025 distributions to 64.6 cents per share, equivalent to a 50% payout of underlying earnings.

    In a post-results commentary, Morgan Stanley analysts said Antofagasta’s full-year EBITDA was “just 1% above consensus” and broadly aligned with the bank’s own projections. The analysts added they expected “the shares to modestly outperform at the open.”

    Copper output for the year totalled 653,700 tonnes, representing a 2% decline compared with the previous year. Net cash costs fell 27% to $1.19 per pound, supported by stronger by-product credits.

    Capital expenditure reached $3.68 billion in 2025, up from $2.41 billion in 2024, reflecting continued investment in major development projects at Centinela and Los Pelambres. The balance sheet remained resilient, with net debt to EBITDA at 0.53x.

    Looking ahead to 2026, Antofagasta reiterated its copper production target of between 650,000 and 700,000 tonnes. Cash costs before by-product credits are expected in the range of $2.30 to $2.50 per pound, with net cash costs forecast between $1.15 and $1.35 per pound. Capital spending for the year is projected at approximately $3.4 billion.

  • Debenhams Group Targets £35m Equity Raise to Reduce Debt and Speed Up Restructuring

    Debenhams Group Targets £35m Equity Raise to Reduce Debt and Speed Up Restructuring

    Debenhams Group (LSE:DEBS) has outlined plans to raise approximately £35 million through an equity placing aimed at bolstering liquidity and reshaping its balance sheet. Directors have indicated their intention to subscribe for shares at 20 pence each. The company is also in detailed discussions with its lending syndicate regarding covenant revisions tied to the capital raise, with a goal of reducing its net debt-to-Adjusted EBITDA ratio to about 2x in FY27 and to below 1x by the end of that financial year.

    Management reaffirmed its expectation of delivering £50 million in Adjusted EBITDA for FY26, followed by double-digit growth in FY27. Trading trends show improving gross merchandise value, while cost-saving measures continue to take effect. The group stated that all of its brands are now profitable on an Adjusted EBITDA basis. As part of its transformation, Debenhams is accelerating a shift toward an asset-light structure, trimming lease commitments, capital expenditure and interest costs. Additional deleveraging options under review include intellectual property licensing, supply-chain collaborations and potential disposals of non-core assets to improve cash flow and financial flexibility.

    Despite strategic progress, the company’s outlook remains constrained by its financial history and valuation pressures. While recent share price action indicates some near-term positive momentum, overbought signals suggest caution. Corporate initiatives offer potential upside, but balance sheet repair and sustained profitability remain critical to restoring investor confidence.

    More about Debenhams Group

    Debenhams Group, trading as boohoo group plc, is a UK-based online retail platform specialising in fashion, home and beauty. The business operates digital brands including Debenhams, boohoo, PLT, MAN and Karen Millen, and is transitioning toward a marketplace-led, asset-light model designed to enhance scalability and capital efficiency.

  • BHP Secures $4.3 Billion in Landmark Silver Streaming Agreement Linked to Antamina

    BHP Secures $4.3 Billion in Landmark Silver Streaming Agreement Linked to Antamina

    BHP (LSE:BHP) has struck a long-term silver streaming deal with Wheaton Precious Metals tied to its 33.75% stake in the Antamina copper and zinc operation in Peru. The transaction, supported by firm silver market dynamics, is described as the largest streaming agreement ever completed based on upfront payment.

    Under the terms, BHP will receive an immediate cash payment of US$4.3 billion, alongside additional proceeds equivalent to 20% of prevailing spot silver prices upon delivery. In exchange, Wheaton will receive silver credits initially equal to 33.75% of Antamina’s output attributable to BHP. That share will reduce to 22.5% after a cumulative 100 million ounces of silver have been delivered over the life of the mine.

    BHP clarified that the agreement does not alter its shareholder rights or operational responsibilities at Antamina, nor does it affect existing commercial contracts. The miner will continue to maintain full exposure to copper, zinc and lead production, effectively monetising silver — which it considers a secondary by-product — without impacting its core commodity mix.

    Management positioned the transaction as part of a broader capital allocation strategy aimed at recycling value from non-core streams into higher-return growth initiatives and shareholder distributions. Combined with a recently announced infrastructure-related transaction, the company expects to generate more than US$6 billion in additional liquidity, reinforcing balance sheet flexibility and supporting long-term returns.

    The streaming arrangement is set to take effect from 1 April 2026, with closing anticipated around that date, subject to standard corporate conditions. No regulatory approvals are required. BHP added that the structure is not expected to increase reported debt, allowing it to enhance liquidity while preserving balance sheet strength.

    More about BHP Group Limited

    BHP Group Limited is a globally diversified mining and resources company headquartered in Australia. Its portfolio includes iron ore, copper, metallurgical and energy coal, and other base metals. The company focuses on large, long-life assets that underpin industrial development and support growing demand linked to global infrastructure and the energy transition.

  • GSK Wins EU Clearance for First Twice-Yearly Biologic in Severe Asthma

    GSK Wins EU Clearance for First Twice-Yearly Biologic in Severe Asthma

    GSK (LSE:GSK) has received approval from the European Commission for Exdensur (depemokimab), marking the first ultra-long-acting biologic authorized in the European Union for severe asthma driven by type 2 inflammation. The therapy is also cleared as an add-on treatment for severe chronic rhinosinusitis with nasal polyps. Backed by data from four Phase III studies demonstrating durable efficacy and a favorable safety profile with dosing just twice per year, the decision bolsters GSK’s respiratory portfolio and introduces a differentiated option that could reshape care standards for patients whose disease remains poorly controlled.

    Clinical results underpinning the approval showed sustained symptom control and reduced exacerbations across both indications, highlighting the potential of depemokimab to address unmet needs in type 2 inflammatory disease. The extended dosing schedule may improve adherence and reduce treatment burden compared with more frequent biologic regimens. Meanwhile, the asset continues to be evaluated in additional late-stage trials, supporting potential expansion into other type 2 inflammatory conditions.

    GSK’s broader investment case remains centered on solid profitability and strengthening operational performance. Management’s guidance for 2026 reflects confidence in continued momentum across key franchises, including respiratory and vaccines. Shares appear reasonably valued and offer a modest dividend yield, though technical indicators suggest overbought conditions in the near term. Investors are also monitoring balance-sheet discipline and the consistency of earnings delivery.

    More about GSK

    GSK is a global biopharmaceutical leader specializing in respiratory and inflammatory diseases. Its portfolio spans vaccines, targeted biologics and inhaled therapies. The company’s strategy is focused on advancing respiratory medicine by addressing underlying disease pathways and slowing progression in asthma, chronic obstructive pulmonary disease (COPD), and rare respiratory disorders.

  • FTSE 100 opens higher as investors await key UK data; SkinBio tumbles

    FTSE 100 opens higher as investors await key UK data; SkinBio tumbles

    UK equities began the week on a firmer footing Monday as investors positioned ahead of a packed economic schedule. Employment figures are due on Tuesday, followed by inflation data on Wednesday — both seen as potentially influential for the Bank of England’s interest rate decision next month.

    By 1029 GMT, the FTSE 100 was up 0.1%, while sterling edged 0.01% lower against the dollar to 1.3647 in GBP/USD trading. Germany’s DAX was little changed and France’s CAC 40 gained 0.3%.

    UK market movers

    Shares of Barratt Redrow PLC (LSE:BTRW) dropped more than 2% after Deutsche Bank lowered its profit projections and cut its price target by 15%, pointing to weakening market conditions and rising fire-safety remediation expenses.

    Analyst Chris Millington reduced the target price to 454 pence from 536 pence but kept a “buy” recommendation on the stock, which last closed at 388.90 pence. The bank trimmed its underlying pre-tax profit forecasts by 9% for fiscal 2026, 6% for FY27, and 7% for FY28.

    Elsewhere, SkinBioTherapeutics PLC (LSE:SBTX) slumped over 37% after announcing an internal probe into former CEO Stuart Ashman over allegations of material financial misrepresentation. The issue will require a 17% reduction in reported 2025 revenue.

    The skincare-focused group said it will reverse £770,000 in royalty income, a move expected to significantly widen operating losses and push fiscal 2026 performance well below market expectations. Management noted that information received late on February 13 raised “significant doubt” about the legitimacy of the royalty revenue.

    Optima Health PLC (LSE:OPT) declined 4.8% after confirming it had agreed to acquire PAM Healthcare Limited for around £100 million. The deal will be funded through £70 million in new borrowing facilities from HSBC and Barclays, alongside a £30 million bridge loan from Deacon Street Partners Limited, controlled by major shareholder Lord Ashcroft.

    Meanwhile, Schroders PLC (LSE:SDR) was cut to “sector perform” by RBC Capital Markets, which argued that limited upside remains for the asset manager’s shares following Nuveen’s approach. RBC lifted its price target to 610 pence to reflect the cash terms outlined in the 612 pence-per-share offer.

    Economic and political backdrop

    On the housing front, asking prices in the UK were largely flat in February after a record jump in January, according to property portal Rightmove. The average price for newly listed homes slipped by £12 to £368,019, following a 2.8% surge the previous month. Even so, prices are still 2.8% higher than in December, marking the strongest start to a year since 2020.

    In political news, the BBC reported that the UK government is considering accelerating plans to raise defense spending to 3% of GDP. Britain had previously pledged to increase annual defense outlays to 2.5% of economic output by 2027, with a goal of reaching 3% after the 2029 general election.

  • NatWest shares advance after UBS lifts profit outlook

    NatWest shares advance after UBS lifts profit outlook

    Shares of NatWest Group PLC (LSE:NWG) gained 4.6% on Monday after UBS increased its earnings projections for the UK lender, citing robust fourth-quarter performance and stronger capital generation.

    The Swiss bank reiterated its “buy” recommendation and kept its 780 pence price target unchanged, implying potential total returns of around 40%. UBS raised its diluted earnings per share estimates by 5% for 2026, 4% for 2027, and 3% for 2028.

    UBS said NatWest’s fourth-quarter pre-tax profit — excluding notable items and litigation costs — came in 7% ahead of market consensus. Net interest income surpassed expectations by 3%, while operating expenses matched forecasts. Loan impairments were 30% better than anticipated, totaling 13 basis points of loans.

    The broker pointed to “strong” operating momentum, noting expansion in both lending and deposits, as well as an 8 basis point rise in net interest margin compared with the market’s expectation of just a 2 basis point increase.

    NatWest’s common equity tier 1 (CET1) ratio stood at 14.0%, 30 basis points above consensus estimates. That figure reflects the £750 million share buyback announced in connection with the Evelyn Partners transaction.

    Looking ahead, UBS said the bank’s 2026 guidance is broadly in line with current market forecasts, while its newly introduced 2028 targets indicate potential upside of 2–3% relative to consensus and appear achievable.

    Those medium-term goals include a return on tangible equity above 18%, compound annual growth in customer assets and liabilities of more than 4%, a cost-to-income ratio below 45%, and an intention to operate with a CET1 ratio of approximately 13.0%.

  • Optima Health shares slide after £100 million PAM takeover agreement

    Optima Health shares slide after £100 million PAM takeover agreement

    Shares of Optima Health (LSE:OPT) dropped 4.8% on Monday after the UK-based provider of technology-enabled corporate health and wellbeing services revealed a deal to purchase PAM Healthcare Limited for roughly £100 million.

    The transaction remains subject to approval under Ireland’s Foreign Direct Investment rules. To fund the purchase, Optima has secured £70 million in new borrowing facilities from HSBC and Barclays, alongside a £30 million bridge loan from Deacon Street Partners Limited, which is controlled by major shareholder Lord Ashcroft.

    The company plans to refinance the bridge facility through a fully underwritten £35 million open offer priced at 175 pence per share — a 17.8% discount to the February 13 closing price. The equity raise is expected to proceed after the acquisition is finalized.

    Management said the deal should enhance adjusted earnings per share beginning in the first full financial year after completion, with EPS accretion projected to exceed 25% by the end of year three. On an unaudited pro forma basis, the combined group is expected to generate more than £26 million in underlying adjusted EBITDA before accounting for synergies.

    “This transformational acquisition underscores our intent in delivering our stated strategic objectives and cements Optima’s position in its attractive and growing market,” said Jonathan Thomas, Chief Executive Officer of Optima Health.

    Founded in 2004, PAM reported unaudited revenue of about £66.6 million for the year ended December 31, 2025, alongside adjusted EBITDA of £8.2 million. The business serves more than 1.5 million employees and works with over 1,500 organizations.

    Following the acquisition, Optima is set to become the clear market leader, with an estimated 15% pro forma market share. The transaction also advances the company toward its longer-term goal of reaching a 25% share of the market. Management expects annual revenue and cost synergies to surpass £5 million once the integration process is complete.

  • Shortened Trading Week Brings Key Data, Earnings and Renewed U.S.–Iran Dialogue Into Focus: Dow Jones, S&P, Nasdaq, Wall Street Futures

    Shortened Trading Week Brings Key Data, Earnings and Renewed U.S.–Iran Dialogue Into Focus: Dow Jones, S&P, Nasdaq, Wall Street Futures

    Investors are entering a holiday-shortened week that nonetheless features important economic releases and major corporate earnings. Oil markets remain steady as Washington and Tehran prepare for another round of nuclear negotiations in Switzerland. Meanwhile, Warner Bros. Discovery is reportedly reassessing takeover discussions, while gold and Bitcoin are trading lower.

    U.S. markets closed to start the week

    Wall Street is shut on Monday for a public holiday, but attention will quickly shift to a busy calendar of data and earnings in the days ahead.

    On Friday, U.S. equity benchmarks ended mixed. Markets reacted to January inflation data showing price pressures easing more than anticipated, increasing speculation that the Federal Reserve could move up its next rate cut to June. Earlier in the week, however, a strong labor market report had suggested that policymakers — who reduced borrowing costs multiple times in 2025 — might delay further easing until later in the year.

    The Nasdaq Composite continued to face headwinds, as investors remain wary of how emerging artificial intelligence models could disrupt the technology and communications sectors. Questions surrounding intensifying competition and the timeline for returns on heavy AI-related capital spending weighed on sentiment across major indices last week.

    Focus now turns to Friday’s release of the December personal consumption expenditures (PCE) price index, the Fed’s preferred inflation gauge. An advance estimate of fourth-quarter U.S. GDP is also due the same day.

    Corporate earnings remain a key driver this week, with reports expected from Walmart Inc. (NYSE:WMT), Palo Alto Networks (NASDAQ:PANW), Analog Devices (NASDAQ:ADI) and Booking Holdings (NASDAQ:BKNG).

    U.S.–Iran nuclear discussions resume

    The United States and Iran are set to meet again in Switzerland for a second round of talks aimed at addressing Tehran’s nuclear program, after dialogue resumed earlier this month.

    The renewed negotiations come amid ongoing tensions. Washington has reinforced its military presence in the Middle East and signaled readiness to escalate pressure if diplomacy fails. President Donald Trump has repeatedly warned Tehran that it must agree to a deal or risk further military consequences.

    Iranian officials said over the weekend that they are prepared to consider compromises on their nuclear activities in exchange for relief from U.S. sanctions, adding that the next step lies with Washington.

    “[T]here is still a large risk premium priced into the market given the uncertainty over how the situation between the U.S. and Iran evolves,” analysts at ING said in a note.

    Oil prices were largely steady in European trading, with thin volumes due to market holidays in both China and the United States. Weak economic growth data out of Japan also added to concerns about global demand. Brent crude for April delivery hovered near $67.72 per barrel.

    Warner Bros. weighs fresh takeover talks – report

    In corporate news, reports suggest new developments in the takeover saga involving Warner Bros. Discovery (NASDAQ:WBD).

    Bloomberg reported that Warner Bros. is considering reopening negotiations with Paramount Skydance (NASDAQ:PSKY) after David Ellison’s group enhanced its hostile offer. Board members are reportedly assessing whether Paramount’s proposal could be more attractive than a competing bid from Netflix Inc. (NASDAQ:NFLX).

    Last week, Paramount pledged to increase the cash component offered to Warner Bros. shareholders for every quarter that a deal remains unresolved in 2026 and to cover any penalties associated with terminating Warner’s current agreement with Netflix. However, the base offer of $30 per share remains unchanged.

    Gold retreats as dollar steadies

    Gold prices moved lower in European trading as the U.S. dollar stabilized following recent inflation data. Precious metals have experienced sharp swings over the past two weeks and remain below late-January highs.

    Spot gold fell to around $4,998.69 per ounce, while April futures declined to roughly $5,018.69. Although safe-haven demand has been supported by geopolitical tensions, stronger dollar moves have limited gains.

    Bitcoin extends its slide

    Bitcoin (COIN:BTCUSD) continued to decline, marking a fourth consecutive week of significant losses across the cryptocurrency market.

    The digital asset pulled back toward $68,624 after briefly surpassing $70,000 over the weekend. Bitcoin has now lost roughly half its value since reaching a record high near $126,000 in October.

    Meanwhile, Strategy (NASDAQ:MSTR), the largest corporate holder of Bitcoin, said it would remain able to meet its debt obligations even if the cryptocurrency fell to $8,000. The company stated on social media that it can “withstand a drawdown in $BTC price to $8K and still have sufficient assets to fully cover our debt.”

    Strategy currently holds 714,644 Bitcoin, financed through a combination of equity issuance and long-term debt.