1 00:00:02,520 --> 00:00:07,000 Speaker 1: Bloomberg Audio Studios, Podcasts, radio News. 2 00:00:08,560 --> 00:00:12,440 Speaker 2: The Stock Movers Report, your roundup of companies making moves 3 00:00:12,480 --> 00:00:16,160 Speaker 2: in the stock market, harnessing the power of Bloomberg Data. 4 00:00:16,480 --> 00:00:18,000 Speaker 3: Look at some of the stocks on the move today 5 00:00:18,000 --> 00:00:20,360 Speaker 3: here in Europe. I'm Caroline Hepkin with Lizzie Burden and 6 00:00:20,360 --> 00:00:24,360 Speaker 3: were joined by Bloomberg reporter clomer Ley. Good morning, BP, 7 00:00:24,640 --> 00:00:27,560 Speaker 3: continuing to show that green isn't the new black. Tell 8 00:00:27,600 --> 00:00:29,160 Speaker 3: us about the right downs. 9 00:00:29,480 --> 00:00:32,680 Speaker 1: Yeah, absolutely so. BP expects an impairment charge of as 10 00:00:32,760 --> 00:00:35,599 Speaker 1: much as five billion dollars for the fourth quarter, and 11 00:00:35,840 --> 00:00:39,080 Speaker 1: those charges are mostly related to its gas and low 12 00:00:39,159 --> 00:00:42,360 Speaker 1: carbon energy business, and it's not really like it's the 13 00:00:42,360 --> 00:00:45,000 Speaker 1: only segment that's not doing great. BP also said this 14 00:00:45,080 --> 00:00:47,960 Speaker 1: morning that oil trading results will be weaker, and that 15 00:00:48,080 --> 00:00:50,920 Speaker 1: is the second consecutive quarter for which there will be 16 00:00:50,960 --> 00:00:53,840 Speaker 1: weaker and also said that production will be flat, so 17 00:00:54,200 --> 00:00:56,960 Speaker 1: across the board, not really a great update from VP, 18 00:00:57,040 --> 00:00:59,279 Speaker 1: and we saw the shares moving a little lower as 19 00:00:59,320 --> 00:01:02,000 Speaker 1: a result of that this morning. It comes at quite 20 00:01:02,000 --> 00:01:04,800 Speaker 1: an interesting time for the company, given that has just 21 00:01:04,840 --> 00:01:07,600 Speaker 1: replaced its CEO and it's still in the middle of 22 00:01:07,640 --> 00:01:10,960 Speaker 1: this really big turnaround where it wants to move away 23 00:01:11,000 --> 00:01:14,640 Speaker 1: from low carbon and renewables and back into oil and gas, 24 00:01:14,680 --> 00:01:18,560 Speaker 1: and it is currently divesting some assets with that strategy 25 00:01:18,640 --> 00:01:21,480 Speaker 1: in mind. But then the timing of that itself is 26 00:01:21,520 --> 00:01:25,400 Speaker 1: not necessarily ideal because it's refocusing on oil and gas 27 00:01:25,480 --> 00:01:28,200 Speaker 1: at a time when oil prices are lower, and obviously 28 00:01:28,240 --> 00:01:31,400 Speaker 1: that might mean that it will have to squeeze buybacks. 29 00:01:31,480 --> 00:01:33,920 Speaker 1: So the next update is going to come in the 30 00:01:33,920 --> 00:01:37,919 Speaker 1: form of an earnings report next month, but this update 31 00:01:37,959 --> 00:01:40,679 Speaker 1: that we have today doesn't boat super well for that, 32 00:01:40,760 --> 00:01:43,039 Speaker 1: and so investors will be watching for what that means 33 00:01:43,080 --> 00:01:44,080 Speaker 1: for their buybacks. Really. 34 00:01:44,640 --> 00:01:47,720 Speaker 2: Also, Goldmun thinks freight's going to get a fright tell 35 00:01:47,800 --> 00:01:48,200 Speaker 2: us more. 36 00:01:48,760 --> 00:01:51,080 Speaker 1: Yeah, there's a new note today on the shipping and 37 00:01:51,120 --> 00:01:54,520 Speaker 1: a logistics sector from Goldman and Mask in particular is 38 00:01:54,560 --> 00:01:56,960 Speaker 1: one of the least favored and it was downgraded to 39 00:01:57,080 --> 00:02:00,480 Speaker 1: cell rating, which sent the charies lower today. So the 40 00:02:00,560 --> 00:02:03,400 Speaker 1: endlyst said that there's going to be a deterioration in 41 00:02:03,440 --> 00:02:06,960 Speaker 1: global trade with of course rising trade barriers, which will 42 00:02:06,960 --> 00:02:09,840 Speaker 1: really weigh on that industry in twenty twenty six, just 43 00:02:09,880 --> 00:02:12,720 Speaker 1: like it did in twenty twenty five. And then also 44 00:02:12,800 --> 00:02:14,960 Speaker 1: the Red Sea route it looks like it has the 45 00:02:14,960 --> 00:02:19,079 Speaker 1: potential for reopening, and Musk just confirmed yesterday that they 46 00:02:19,080 --> 00:02:22,720 Speaker 1: had made a second successful passage through the Red Sea 47 00:02:23,000 --> 00:02:25,680 Speaker 1: after a couple of years of ships avoiding that area, 48 00:02:25,720 --> 00:02:29,200 Speaker 1: of course, and the reopening of that route means that 49 00:02:29,480 --> 00:02:32,400 Speaker 1: freight rates might actually go down, and that means lower 50 00:02:32,440 --> 00:02:36,320 Speaker 1: earnings for those big shipping companies, and so according to analysts, 51 00:02:36,680 --> 00:02:40,600 Speaker 1: Mask faces declining earnings, declining free cash flow, and so 52 00:02:40,760 --> 00:02:43,360 Speaker 1: that doesn't bode super well for the rest of the sector. 53 00:02:43,400 --> 00:02:45,960 Speaker 1: They are named a little bit better position and DSB 54 00:02:46,320 --> 00:02:48,880 Speaker 1: in particular is a topic, according to Goldman. 55 00:02:49,120 --> 00:02:54,480 Speaker 3: Interesting, Okay, can you be cautiously optimistic after your annual 56 00:02:54,639 --> 00:02:59,079 Speaker 3: sales four by nine percent? This is a question related 57 00:02:59,120 --> 00:02:59,840 Speaker 3: to Vista. 58 00:03:00,400 --> 00:03:03,840 Speaker 1: Yeah, so the Vistory, the UK home builder, and the 59 00:03:03,880 --> 00:03:06,680 Speaker 1: outlook today that they shared was cautiously optimistic. But then 60 00:03:06,760 --> 00:03:08,720 Speaker 1: when we look at the numbers, as you said, that 61 00:03:08,840 --> 00:03:11,880 Speaker 1: it's sold nine percent, a fewer homes in twenty twenty 62 00:03:11,880 --> 00:03:15,520 Speaker 1: five because of that budget uncertainty that was really weighing 63 00:03:15,600 --> 00:03:19,200 Speaker 1: on the sector towards the second half of twenty twenty five. 64 00:03:19,360 --> 00:03:21,880 Speaker 1: And Vistory is also specialized in the more kind of 65 00:03:21,880 --> 00:03:24,839 Speaker 1: affordable end of the market, so that's not a very 66 00:03:24,880 --> 00:03:27,680 Speaker 1: reassuring either in that way, and so we are seeing 67 00:03:27,680 --> 00:03:30,280 Speaker 1: that reflected in the shest today. The last time I checked, 68 00:03:30,320 --> 00:03:32,840 Speaker 1: we were down almost eight percent, so really taking a 69 00:03:32,880 --> 00:03:34,960 Speaker 1: beating this morning on the back of that. And it 70 00:03:35,000 --> 00:03:37,800 Speaker 1: doesn't it means that probably it will be quite tough 71 00:03:37,840 --> 00:03:41,360 Speaker 1: in twenty twenty six, but the vistory is cautiously optimistic 72 00:03:41,440 --> 00:03:44,200 Speaker 1: and is saying that this is because interest rates will 73 00:03:44,240 --> 00:03:46,720 Speaker 1: be probably going lower this year, so that will help 74 00:03:47,160 --> 00:03:49,000 Speaker 1: the market, but then we still have the issue of 75 00:03:49,080 --> 00:03:52,440 Speaker 1: regulatory hurdles, UK tax changes. All of that at the 76 00:03:52,560 --> 00:03:56,680 Speaker 1: uncertainty will continue probably to weigh on the sector and 77 00:03:56,760 --> 00:03:59,240 Speaker 1: will be seeing what other home builders are saying when 78 00:03:59,240 --> 00:04:00,840 Speaker 1: they report over the next few weeks. 79 00:04:02,080 --> 00:04:06,320 Speaker 2: The Stockmover's Report from Bloomberg Radio. 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