WEBVTT - Ryanair Gains, Shell Falls, Close Brothers Surges

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look at some stocks on the move

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<v Speaker 3>today in Europe. I'm Stephen Carroll with Anna Edwards and

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<v Speaker 3>we're joined by Bloomberg's Breaking These editor Louise Louise. Good morning.

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<v Speaker 3>Of course, plenty of market reaction to the ceasefire news

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<v Speaker 3>between the US and Iran. Let's start with airlines. Plenty

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<v Speaker 3>of reaction there. How are the likes of Ryan Air

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<v Speaker 3>doing exactly?

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<v Speaker 1>Yeah, So airlines as a whole are soaring on the

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<v Speaker 1>back of this news. Obviously, they've been severely disrupted since

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<v Speaker 1>the war began. You know, firstly, major connection hubs have

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<v Speaker 1>been disrupted, so flight's been canceled, re routed. And then

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<v Speaker 1>also high energy prices and constrained supplies of fuel. So

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<v Speaker 1>both of those, all of those factors have been hitting airlines.

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<v Speaker 1>And so today, on the back of this news, airlines

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<v Speaker 1>as a whole are soaring. They're making up ground, but

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<v Speaker 1>they haven't, you know, fully recouped what they have lost

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<v Speaker 1>since the war begam But as you say, Ryanair one

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<v Speaker 1>of the key ones, up eleven as much as eleven

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<v Speaker 1>percent this morning. Easy yet similar moves. IAG, the owner

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<v Speaker 1>of British Airways, up about eight percent. And then this

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<v Speaker 1>has been seen not just in London but across all

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<v Speaker 1>of Europe. So in Germany you've got tuy which rose

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<v Speaker 1>about twelve percent, of Hanza about ten per cents, all

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<v Speaker 1>sowing on the back of this news. So as I say,

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<v Speaker 1>it hasn't totally made up their losses. They've had severe

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<v Speaker 1>losses really since in their stock since the since the

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<v Speaker 1>warbgam but making some headway there.

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<v Speaker 4>And let's just talk to the talk about the other

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<v Speaker 4>end of that trade. I suppose Louise and that's the

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<v Speaker 4>energy sector. It's really under pressure today. Oil price is

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<v Speaker 4>considerably weaker. And we've also heard from Shell.

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<v Speaker 1>Yeah, so Shell had their first quarter production update, which

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<v Speaker 1>is significant in the sense of their the first kind

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<v Speaker 1>of oil major to report to report official numbers since

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<v Speaker 1>since the war broke out. So they have said that

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<v Speaker 1>the oil trading was in their word, significantly higher than

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<v Speaker 1>the previous quarters of profiting on the back of that

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<v Speaker 1>volatile market, but doing little to move their shares in

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<v Speaker 1>any positive direction. As you say, the focus is on

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<v Speaker 1>oil's oil companies, you know, tracking that the stock in

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<v Speaker 1>overall oil prices. So Shell shares down almost about seven

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<v Speaker 1>percent BP about eight percent, and they're both kind of

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<v Speaker 1>the key drags on the foot see hundred this morning.

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<v Speaker 1>And again this is being seen all across Europe and

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<v Speaker 1>also kind of in a similar way to airlines. It's

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<v Speaker 1>that reversal of what's happened before. So oil has been,

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<v Speaker 1>oil firms have been, you know that their shares have

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<v Speaker 1>sawed since since the spagan and now they're seeing a

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<v Speaker 1>bit of a reversal of that, but again not a

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<v Speaker 1>full reversal, bit a bit of that.

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<v Speaker 3>Yeah, and of course want to watch Clothes through the

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<v Speaker 3>day as well, but away from the news coming out

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<v Speaker 3>of the Middle East, some moves for Clothes Brothers this morning.

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<v Speaker 1>Yes, so non Middle East related Close Brothers shares sawed

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<v Speaker 1>as much as twenty three percent in early trading and

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<v Speaker 1>they're still off about sixteen percent. That's after they said

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<v Speaker 1>that they can cover the what they estimate the cost

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<v Speaker 1>to be related to the motor finance scandal that's been

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<v Speaker 1>ongoing in the UK. So this is the amount that

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<v Speaker 1>Close Brothers will will have to compensate customers that were

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<v Speaker 1>missold car loans. This is all based on the latest

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<v Speaker 1>guidance from the FCA, which came out last week. So

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<v Speaker 1>Close Brothers expects to face a three hundred and twenty

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<v Speaker 1>million hit, which they say is broadly similar to the

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<v Speaker 1>provisions that they kind of laid out in January. So

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<v Speaker 1>they say no provision changes have been recognized and they

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<v Speaker 1>think that they can absorb that. It's slightly more than

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<v Speaker 1>they said in January. They said that can be absorbed

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<v Speaker 1>by existing resources. They're one of the most exposed lenders

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<v Speaker 1>to this, so very you know, their stock is very

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<v Speaker 1>reactive for news on this. But obviously other banks, you know,

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<v Speaker 1>a host of other banks also affected, and billions has

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<v Speaker 1>been set aside to compensate customers. But for Close Brothers

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<v Speaker 1>in particularly very exposed and also quite a boost after

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<v Speaker 1>there was a report by short sellar Visory Research relatively

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<v Speaker 1>recently claiming that Close Brothers' provisions were too small. So

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<v Speaker 1>this is obviously countering that, so as I say, shares

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<v Speaker 1>soaring on the back of that.

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<v Speaker 2>In London, the Stockmovers report from Bloomberg Radio. Check back

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