THE TIPSTER | BT having difficulty dialling profits
Concerns about its substantial pension deficit have hobbled BT’s rally in recent days, with the shares making little progress in a choppy market. Still, its cash generation remains attractive, as does the possibility of further dividend growth. IG’s price on BT is 216p-217p.
Easyjet’s earnings release tomorrow will hopefully show that the airline carrier’s performance is still strong, with the share price trading recently at four-year highs. On the other hand, there have been ripples in the sector of late with Air France’s staff seeing drastic cost cuts and Iberian pilots striking. So will the budget airline be able to soar ahead? Capital Spreads quotes a price of 513.3p-515.7p.
Fresnillo’s share price is under pressure. The Mexican gold and silver miner is suffering as precious metals continue to sell off. Last week, silver broke back below $30 per ounce – its lowest level since mid-January this year, while gold is close to falling below its long-term bullish trend line. Fresnillo released a strong set of earnings last month, but after breaking above resistance at 1,620p the stock price fell sharply. GFT’s last price was 1,518p-1,519p.
The S&P 500 index was sending out flashing signals to the head and shoulders pattern lovers last week as it broke below the neckline of what looked like a textbook set up at 1,395. With the head being at 1,415, the measured move target was at 1,375 and it was duly hit in the post non-farm payroll sell-off. With those levels collapsing, 1,360 looks vulnerable to go next week. Spread Co offers a spread on the S&P 500 of 1,370.3p-1,370.8p.