Flybe takes a dive lower

Wednesday, 26 October: European stocks traded weakly today, not helped by Brent crude as it slipped lower on a light data day for Europe, with weaker than expected earnings reports for US companies last night also weighing on equity market sentiment. Oil and natural resource majors specifically weighed on the FTSE 100 index.

Antofagasta sunk(-3.70%) lower after it warned production will be at the lower end of its guidance for 2016, with a further fall expected in 2017 as grades and throughput are expected to fall at two of its major mines. On a brighter note, net cash cost guidance for 2016 was lowered once more, and reported 3Q production was in-line with expectations.

Flybe Group descended 8.64% lower, after a shock announcement from CEO Saad Hammad that he has stepped down from his role with immediate effect and ‘by mutual agreement’. The regional airline said it has commenced the search for a new CEO, with Non-Executive Chairman Simon Laffin stepping into the hotseat in the interim. Laffin reiterated the airline’s focus on its regional routes and excellent customer service.

After the closing bell in the US yesterday, Apple announced its third straight quarter of iPhone sales and revenues decline, though it did beat estimates on the street with regard to fourth-quarter profit. Apple shares were down 3.10% in pre-market trade, after announcing it sold 45.5m iPhone units over the quarter, generating $28.16bn in revenues.

At the close, European indices were down with the FTSE 100 -0.85%, the DAX 30 -0.44% and the CAC 40 -0.14%.

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