Updates from the retailers continue to come thick and fast with Currys PLC (LSE:CURY) the next cab to leave the rank.
The company, which recently ditched its archaic sounding name of Dixons Carphone, should have had a bumper Christmas with online sales to the fore.
Online sales have grown from 27% of total sales in 2020 to almost 50% in 2021.
During the lockdown, the group took 6% market share online from their competition and, says broker Liberum, which has picked the shares as one of its top choices for 2022, "cemented their dominant number one market position".
In the half-year statement on 15 December, Currys boss Alex Baldock highlighted that the market had been “softer over recent weeks”, which put the willies up some investors.
However, says Liberum analyst Adam Tomlinson, having grown their market by 20% since COVID, "not only is it unsurprising if there is a slight market slowdown, I suspect that the replacement cycle is now likely to be coming off a higher installed base… even if it doesn’t manifest for another 2-3 years."
Bellway PLC (LSE:BWY) issues a trading update and it will be interesting to see what its attitude is to the government’s announcement at the start of 2022 that developers should have to pay for the costs of remedial work.
On Thursday, Persimmon – a company not noted for caring much about public opinion – said it was sympathetic towards the government’s initiative.
Then again, it has “constructed only a very small proportion of buildings affected by this issue”.
Investors will also be interested in management’s view of the housing market now that the government has for the time being stopped bending over backwards to add fuel to an already roaring housing market.
On the macroeconomic front, UK GDP is expected to show modest growth of 0.4% month-on-month, compared to a three-month average of 0.3%.
“I don’t think that’s going to cause any fireworks, but nor would it be slow enough to discourage the Bank of England from tightening policy further. In that respect, I imagine it could be positive for the pound,” market analyst Marshall Gittler at BDSwiss.
Significant announcements expected
Trading updates: Bellway PLC (LSE:BWY) (Bellway PLC (LSE:BWY)), Currys PLC (LSE:CURY) (Currys PLC (LSE:CURY)), Experian (LSE:EXPN) PLC (Experian (LSE:EXPN))
Economic announcements: GDP (UK), industrial & manufacturing production (UK), monthly trade (UK)