Vodafone share price up as data traffic surges due to coronavirus
The telecoms company’s shares climbed higher on Wednesday after revealing that its data traffic has surged due to the coronavirus outbreak.
Vodafone shares are up 5% on Wednesday after the company revealed that its data traffic has surged due to the coronavirus outbreak.
The world’s second largest mobile operator told investors that the Covid-19 outbreak has led to data traffic on its network to surge by as much as 50% in some markets.
The telecoms provider said that it plans to maintain network service and provide additional capacity for critical government functions to help combat the Covid-19 outbreak, with the company forecasting that data use will continue to increase.
Vodafone is trading at 113p a share as of 11:45 (GMT) on Wednesday.
The telecoms company has bucked the wider market decline, with the stock outperforming the broader market, with the FTSE 100 down 4% on Wednesday.
Looking to trade Vodafone and other UK stocks? Open a live or demo account with IG today.
UK mobile networks face issues
UK mobile networks have experienced issues in recent weeks, though they contend that it is not directly related to record numbers of people working from home as a result of the coronavirus.
Network issues are ‘affecting all operators and we are working closely to fix it’, EE told BBC News.
The problem is being blamed on ‘interconnect issues’ between mobile operators but ‘we don’t believe it is connected to the rise in home working’, EE added.
You can go long or short Vodafone with IG using derivatives like CFDs.
FTSE 100 looks to hold 5000
The FTSE 100 losses have been contained around 5000 since Monday, with dips to this level finding support for the time being, according to Chris Beauchamp, chief market analyst at IG.
‘However, rallies towards 5400 over the past 24 hours have run into resistance,’ he said. ‘The overall trend is still down, therefore, trying to buy dips is likely to be only a short-term view.’
‘So far, there is no sign of the index beginning to build higher highs and higher lows,’ he added.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
React to global volatility
Market volatility continues as coronavirus dominates the global agenda. Trade with us to take advantage of:
- Tight spreads – from just 1 point on major indices, and 2.8 on US crude
- Guaranteed stops – they’re free to use, and you’ll only pay a small fee if they’re triggered
- Round-the-clock assistance – our highly-skilled team are on hand to support you
Live prices on most popular markets
- Forex
- Shares
- Indices
