Athleisure Is Here For JD

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Tuesday, 16th April: Today was a tough one for Galliford Try, as the construction company released an operational update which was accompanied by a profit warning and sent the shares diving to the bottom of the FTSE 250 on Tuesday. Pre-tax profit, including exceptional items, for the year ending 30th June 2019 will be between £30m-£40m lower than the consensus of analysts. The news sent the share price down by 22% in the morning to 565.50p.

Whilst Galliford falls short of expectations, JD Sports beat their full-year earnings expectations today, with the help of the athleisure-wear trend which seems to be sticking around for longer than expected. The ongoing trend has made it gradually more acceptable for people to wear gym clothes to work, school and social occasions. The cultural impact that has been made on athleisure-wear has resulted in a 15.5% increase in JD Sports headline pre-tax profit, which is fairly impressive considering the struggles its retail peers are facing.

The FTSE 100 opened 0.21% higher this morning as it anticipated UK wage and employment data. UK real pay growth was up to 1.5% and the unemployment rate remained the same at 3.9%. Many were unsatisfied with these figures regardless of unemployment remaining at its lowest since 1975.

The blue-chip index managed to hold onto positive momentum today and hit a six-month high. By the end of the day the index was up 0.44% at 7469.92.

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