Look Ahead 9/8/23: China inflation; Bellway, TUI, Walt Disney results

(Video Transcript)

All eyes on Chinese data

Hello, welcome to IGTV's Look Ahead to 9 August 2023. I'm Angeline Ong.

First up will be China and the all-important Consumer Price Index and China Producer Price Index numbers. Of course, it will be even more important, given we had China's imports and exports falling much faster than expected in July. This is due to a weaker demand, which has dampened recovery prospects in the world's second-biggest economy.

And indeed, in this session, we saw that many mining stocks and auto stocks faltering after that data was announced. Consumer prices, if we get a weak figure, it will also add to the case for more stimulus by Chinese officials to revive sluggish demand.

Uphill battle for UK housing market

In terms of earnings and trading statements, we still have quite a few notable ones. Bellway is one that I want to concentrate on because we have had a huge amount of information recently and reports from the UK housing market.

As you can see here, Bellway's chart, like many of its peers, has seen a lot of volatility recently. And after hitting a peak in the 22 May period - that's the high for this year - it has traversed lower before trying to climb back up towards that 2260 resistance level point.

A lot of the weakness there coming from many reports, including the Halifax saying that the UK housing market still continues to see headwinds because of the rising interest rates, which make it more expensive for those with mortgages and those wanting to buy for the first time as well.

From Europe, we've got more earnings from a delivery hero out with second-quarter numbers. TUI is well likely to say that it, along with its peers, has benefited from the continuation of the revenge travel scene. Ahold Delhaize is another one to look out for, second-quarter numbers there. And Continental out with first-half numbers.

Can Disney monetise streaming platform?

The big one, of course, out of the United States will be Walt Disney. Just bringing up the chart for you now. It is an all session stock on the IG platform. And Walt Disney has seen its share price traverse lower since the February high.

As you can see, it has also come way off levels seen back when people were stuck at home and perhaps having to stream a lot of the time because of lockdowns. Walt Disney, of course, pouring billions into its Walt Disney Plus or Disney Plus offering to try and make sure that we keep ahead of the game in terms of the streaming space.

The Burbank-, California-based company, expected to report a 4.6% rise in sales to around $22.5 billion from $21.5 billion a year ago.