UK market update – Morrisons & Meggitt to join FTSE 100, Melrose returns to profit

At 08:42BST, the FTSE 100 is trading flat at 7,150. The midcap FTSE 250 is trading lower by 0.2% at 24,208.

In FX markets, GBP/USD is trading at 1.3788, EUR/GBP is trading at 0.8594. The US Dollar Index is flat.

Today’s calendar highlights include Eurozone PPI, US jobless claims, trade balance, durable goods orders and factory orders.

FTSE Reshuffle
Morrisons (LON:MRW) and Meggitt (LON:MGGT) will replace Just Eat Takeaway (LON:JETJ) and Weir Group (LON:WEIR) in the FTSE 100.

Baltic Classifieds (LON:BCG), Throgmorton Trust (LON:THRG), Bridgepoint (LON:BPTB), Darktrace (LON:DARK), Draper Esprit (LON:GROW), and Endeavour Mining (LON:EDV) will join the FTSE 250.

Dropping out of the midcap index will be Avon Protection (LON:AVON), Civitas Social Housing (LON:CSH), Temple Bar Investment Trust (LON:TMPL), Tullow Oil (LON:TLW), and Wickes (LON:WIX).

Stocks
JD Sports (LON:JD) – UK Competition & Markets Authority provisionally finds JD Sports’ acquisition of Footasylum gives rise to competition concerns. May require JD Sports to sell Footasylum to address concerns.

Melrose Industries (LON:MRON) – Says trading is ahead of expectations, with better profit margins, better EPS, and significantly lower net debt. Declares interim dividend of 0.75 pence per share (2020: nil).

Barratt Developments (LON:BDEV) – FY home completions up 36.8% to 17,243. Revenue increased 40.7% to £4.812 billion. Declares final ordinary dividend of 21.9 pence per share (2020: nil). Net private reservations per active outlet per average week at 0.83 from 1 July through to 22 August, 11.7% below the equivalent initial post lockdown period in FY21.

CMC Markets (LON:CMCX) – Overall market activity subdued through July and August following moderation in activity reported in Q1. Year-to-date client income retention tracking moderately below the targeted 80% although is expected to recover through the remaining seven months. Group now expects FY 2022 net operating income of £250-280 million.

Energean (LON:ENOG) – H1 average working interest production was 44,000 boed (72% gas), ahead of FY guidance. Company says is on track to deliver first gas from Karish in mid-2022. Reiterates production guidance. Future dividend to be declared in due course.

The Gym Group – H1 revenue down 21.4% to £29.3 million. Total members at 30th June of 730,000, up from 547,000 at the end of February 2021.

Wizz Air (LON:WIZZ) – In August, Wizz Air carried 3.582 million passengers (up 50% on 2020) at a load factor of 84%.

Ryanair (LON:RYA) – In August, Ryanair carried 11.1 million passengers (up 59% on 2020) at a load factor of 82%.

Domino’s Pizza (LON:DOM) – Has completed disposal of Domino’s Switzerland.

Ex-dividends
Admiral (LON:ADML), Antofagasta (LON:ANTO), BHP Group (LON:BHPB), and Glencore (LON:GLEN) all go ex-dividend in the FTSE 100 today.