Carillions’ worst day… ever

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Monday, 10th July: To start the week off, the FTSE opened 0.39% higher at 7379.57, influenced by global wins which took place after news regarding positive US jobs data surfaced. By mid-day this slipped slightly to 0.24%. Towards the end of the day it was Shire that held a strong position at the bottom end, down 2.73% at £42.06. However, with regards to the FTSE 250 and 350, Carillion suffered the most, down a staggering 39% towards the end of the day amid news of profit warnings and the CEO leaving. The market evidently reacted in the worst way possible and the share price suffered brutally. By the end of the day they were trading at 119p, having spent the entire period from 2012 to June of 2017 trading above 200p and reaching peaks of 380p.

Although the FTSE was supported by the US data, commodities, particularly metals, did not react in the same way. Gold and Copper both slipped, 0.1% and 0.4% respectively, after learning that the US economy added 222,000 non-farm jobs in June, which also boosted the dollar by 0.1% as reported by the WSJ Dollar Index.

Vince Cable, the only candidate currently in contest for leadership of the Liberal Democrats, gave his opinion on Brexit, saying that he doubts it will ever take place, due to the size of the issues and heavily divided opinions between the two major political parties. If Brexit does take place, the only thing that is somewhat certain is that nothing will happen this year, or next year, or maybe even the year after that!

The FTSE didn’t move much from the afternoon, and was trading up 0.26% at 7370.03 to end a relatively quiet day.

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