A dividend is quite simply a portion of a company's earnings distributed to its investors.In the UK most companies pay two ordinary dividends per year, one at the half-way stage (the interim or first-half dividend) and one at the end of the year (the final dividend). Some UK firms pay quarterly dividends.Sometimes, companies will decide to pay a special dividend on a one-off basis if their earning

You might not think online grocery retailer Ocado (OCDO), luxury goods group Burberry (BRBY) and UK water utility giant Pennon (PNN) have much in common. However, they are all among the most shorted stocks according to data from the FCA (Financial Conduct Authority) daily short position report which you can find on the published on the ShortTracker website.WHAT IS SHORT SELLING?Short selling also

Stock markets across the globe have just emerged from a short, sharp shock, with the sell-off on 5 August one of the worst days in years as investors mull the frightening thought that the US economy is slowing and could be sent spinning into recession.Combined with the impact of the unwinding in the yen 'carry trade' discussed in this explainer and some stretched valuations and you had the recipe

Shares have been out of favourOfwat ruling seen as positiveThames Water in special measuresHaving lagged the market all this year, water utilities were the star turn following an announcement from the regulator Ofwat that the firms could raise their bills over the next five years.In the FTSE 100, Severn Trent (SVT) gained 66p or 2.5% to £26.85 and United Utilities (UU.) added 25p or 2.3% to £10.

Stock prices in London were mixed on Thursday morning while water companies enjoyed a boost from Ofwat announcing an increase in water prices for customers in England and Wales.The FTSE 100 index opened up 13.36 points, 0.2%, at 8,206.87. The FTSE 250 was down just 0.88 of a point at 20,926.88, and the AIM All-Share was up 3.30 points, 0.4%, at 776.15.The Cboe UK 100 was up 0.3% at 818.38, the Cbo

The potential collapse of Thames Water and a mooted move into public ownership amid spiralling debts has put the spotlight on the contingent of water utility firms on the UK stock market.Saddled with their own significant borrowings and with investment required to fix the UK's ageing water infrastructure, questions are being asked about their ability to continue to pay generous dividends to shareh

The utilities sector has historically attracted investors for its defensive and reliable revenue streams which in turn funded a decent level of dividend income.More recently, several connected factors have shaken up this industry. These include a transition away from fossil fuels into renewables in the face of a climate emergency, greater appetite for investments in ESG (environmental, social and

The FTSE 100 finished Tuesday's trading session 0.71% lower at 7,059.45 points and the FTSE 250 index shed 1.04% to 22,519.72, as markets continued to worry about the potential impacts of the ominously-named new Covid variant, Omicron.Sentiment weakened after Moderna chief executive Stephane Bancel cast doubts over the efficacy of existing vaccines against the coronavirus variant, although data re

UK equity markets continued to drift lower on Tuesday. The blue chip FTSE 100 index fell 1.2% to 7,024, and its mid-cap FTSE 250 index counterpart lost 0.9% at 22,556.Markets continue to exercise caution regarding the potential impacts of the new Covid variant Omicron. Sentiment weakened after Moderna chief executive Stephane Bancel cast doubts over the efficacy of existing vaccines against the co

A combination of factors including sagging US consumer confidence, a spate of downgrades to China's economic growth forecasts and renewed inflationary concerns weighed on UK stocks towards the end of Tuesday's trading session.The FTSE 100 Index closed 0.4% lower at 7031 and the FTSE 250 Index finished the session 1.6% lower at 23,233 points.Economists have cut their growth forecasts for the Chines

Fears that inflationary pressures will be more persistent than originally anticipated, coupled with concerns regarding the winding up of the UK furlough scheme weighed on both the FTSE 100 and FTSE 250 Indexes during lunchtime trading.At midday the former had slipped by 0.4% to 7031 while the latter had given up 1.6% to 23,233 points. The recent rally in crude oil prices has reignited concerns tha

UK stocks dropped at the open on Tuesday as the fuel crisis sweeping the country showed no signs of easing. To make matters worse, Brent crude oil prices surged to a three-year high over $80 per barrel, pushing up prices at the pump, and UK and European natural gas price hit new records.By 8.45am the FTSE 100 index was down 30 points or 0.4% to 7,035 points as weakness in miners and industrials ou

There are plenty of reasons to be more cautious about the markets despite the flagship US stock indices, the S&P 500, continuing to hit new highs.Investor nervousness is increasing. Just look at how many companies have recently beaten earnings forecasts, but their share prices have fallen as the market worries about near-term pressures or the loss of momentum in parts of their business.Valuations

There is a well-worn phrase that 'a week is a long time in politics'. In market terms, a week can feel even longer and can sometimes signal a shift from one trend to another.A fortnight ago when we introduced the idea of watching the number of stocks making new highs as a barometer of the health of the market, the FTSE All-Share was just below its all-time high and everything seemed to be going sw

UK stocks recovered from their midday lows on Thursday but investors turned to worrying over tomorrow's US jobs report amid rising signs of inflation in the labour market.The US non-manufacturing activity index hit the highest level since the series started, while the European composite purchasing managers' index hit its highest level since early 2018.Brent rrude prices were easier at $71.12 per b

UK stocks slumped on Thursday as geoplitical tensions rose between the US and Russia over a recent cyber-attack on the biggest US meat producer and Russia's decision to reduce its exposure to dollar assets.There was also a degree of nervousness ahead of the government putting out an update of its 'green list' of countries deemed safe for foreign travel later today.Brent rrude prices were easier at

Shares in water utility company Pennon (PNN) gained 2.4% to £10.95 after it announced a special dividend and buyback as well as the acquisition of Bristol Water.Following the divestment of waste management services company Viridor for £4.2 billion in July 2020, Pennon is now a focussed water and waste-water company.Almost half the cash proceeds of £3.7 billion have been reinvested back into the

UK stocks traded lower on Thursday dragged down by B&M European Value Retail (BME) after results and National Grid (NG.) after going ex-dividend. There was also a degree of nervousness ahead of the government putting out an update of its 'green list' of countries deemed safe for foreign travel later today.Overnight trading in Asia was mixed with China's SE Composite down 0.4% and Japan's Nikkei 22

UK shares finished Tuesday strongly as investors shook off inflation and interest rate fears and kept their attention focused on a vaccine-led economic recovery.Blue-chip stocks briefly turned negative in afternoon trading as US stocks opened down on another rise in bond yields, demonstrating lingering concern over inflation and a rise in interest rates.The Dow Jones index was a notable faller, do

UK shares made solid gains on Tuesday as investors turned their attention to vaccine-led economic recovery optimism.Britain was given a boost as Prime Minister Boris Johnson said on Monday that the economy was on track for the gradual re-opening set out in the government's road-map.Sentiment in this regard was further bolstered by news the UK had secured a deal for 60 million new Novavax jabs to b