Market Commentary Outlining Critical Economic and Company Developments

Market View: Risk sentiment stabilises. Cairn Homes and Ryanair

  • Global equities have stabilised this morning following a brief period of risk off sentiment following ongoing geopolitical tensions with North Korea.
  • However, safe haven asset remains close to recent highs with gold trading at $1,335 an ounce which is close to 12 month highs, while 10 year Treasuries at 2.14% and 10 year German bunds at 0.38%.
  • Key market focus today is Eurozone Services PMI and retail sales data

Cairn Homes – Solid results but recent rally warrants caution

  • Solid results with uptick in complete sales and healthy forward sales pipeline
  • Development and construction activity has also picked up pace
  • Recent rally has seen share price move into overbought territory

Ryanair – Another stellar month of traffic stats

  • This morning, Ryanair released another very positive set of traffic statistics for August 2017.
  • The airline maintained industry leading load factor at 97% which it also achieved in July 2017. It carried 10% additional passengers in the month to 12.7 million passengers.

Ultimately, Ryanair remains a buy on dips in our opinion and drawdown should be supported by the company’s on-going share buyback programme

Source : Cantor Fitzgerald 5th September 2017