A gauge of global stocks rose in choppy trading on Tuesday after data showed US inflation remained sticky in February, indicating the Federal Reserve could keep interest rates higher than anticipated.
DUBLIN
Euronext Dublin was up 0.5 per cent at close of business, but slightly underperformed its international peers.
There were positive moves for the banks as Bank of Ireland and AIB rose 2.5 per cent and 0.3 per cent respectively. However, Permanent TSB was a standout underperformer as it slipped 2 per cent.
“Permanent TSB has struggled to get any momentum going following their slightly disappointing numbers last week,” a trader noted. The bank is unlikely to resume dividend payments before 2026, chief executive Eamonn Crowley indicated last week.
In the travel and leisure sector, Dalata — the largest hotel operator in the State — climbed 2.8 per cent. Ryanair was down 1 per cent, which was slightly in advance of its peer EasyJet, which dropped 1.3 per cent. Irish Continental, which operates Irish Ferries, was up 1 per cent.
Another big name on the index, box-maker Smurfit Kappa, was up 2 per cent at close of business.
Among the home builders, Glenveagh Properties moved up slightly, while Cairn Homes was up 2 per cent, which was described by a trader as “a strong day”.
LONDON
The FTSE 100 rose 1.02 per cent to close at its highest level since May last year after official data showed a slowdown in wage growth.
The Office for National Statistics (ONS) said average regular pay growth, excluding bonuses, fell to 6.1 per cent in the quarter to January, down from 6.2 per cent in the three months to December and marking the slowest growth for more than a year.
Traders took the data as a sign interest rates might need to be cut earlier than previously expected, boosting UK equities and knocking the pound in the process.
Vet firms slumped in value after the Competition and Markets Authority said it is launching an investigation into the vet industry over concerns that pet owners could be being overcharged.
CVS Group, the UK’s largest veterinary services group, tumbled in value by almost a quarter as a result. Pets at Home, which runs vet facilities as well as pet stores, saw its shares drop by 9.8p to 265.4p.
Housebuilder Persimmon closed in the red after it revealed annual profits more than halved and warned 2024 will be another difficult year.
Shares were down 50.5p at 1,324p after the Charles Church builder saw pretax profits slump to £351.8 million in 2023 from £730.7 million the previous year.
Superdry shares slipped by 3.95p to 26.95p after the fashion brand confirmed it was in talks with specialist lender Hilco for a further £10 million in loans to help support its turnaround.
EUROPE
Across the Channel, hopes about lower borrowing rates also helped spark increases for Europe’s other big markets.
The German Dax index was up 1.23 per cent at the close and the Cac 40 in France closed up 0.84 per cent.
MSCI’s gauge of stocks across the globe rose 0.64 per cent. Elsewhere, the Stoxx 600 index rose 0.62 per cent, while Europe’s broad FTSEurofirst 300 index rose 0.64 per cent.
NEW YORK
The tech-heavy Nasdaq drove Wall Street higher, as traders held on to bets of interest-rate cuts by the Federal Reserve in the coming months, even as consumer prices data came in slightly hotter than expected.
At 15:35 Irish time, the Dow Jones Industrial Average was up 0.56 per cent; the S&P 500 was up 0.96 per cent; and the Nasdaq Composite was up 1.36 per cent.
Chip stocks snapped a two-day losing streak and rose 1.7 per cent, with AI darling Nvidia jumping 5.9 per cent.
Oracle jumped 11.2 per cent on signs the firm was making progress in its plan to grab a share of the cloud-computing market, thanks to its tie-up with AI chip giant Nvidia. — Additional reporting: Agencies
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