British shares concluded the week on a downbeat note, with the FTSE 100 index dipping by 0.38%. This decline in shares was notable as trading volumes remained low following the New Year holiday observed on Wednesday. Recent data released by the Bank of England indicates that net consumer credit in the UK increased by £878 million in November 2024, a noteworthy shift following a revised increase of £995 million in October.
However, the net mortgage approvals for house purchases saw a decline, with figures reported at 65,720, down from the earlier number of 68,129. In addition, the M4 money supply in the UK remained steady month over month in November 2024, contrasting with a revised fall of 0.2% recorded the previous month. Turning to corporate developments, the International Chamber of Commerce delivered a significant ruling stating that Tullow Oil's Tullow Ghana is not obligated to pay the $320 million branch profit remittance tax associated with its petroleum agreements for offshore projects in Ghana.
This favorable ruling catalyzed an impressive 8.05% surge in the company's shares at Friday's closing. "We are delighted with the outcome and decision of the Tribunal, which affirms our assessment and removes a material overhang from our business," expressed Tullow Chief Executive Officer Rahul Dhir.
He further emphasized his anticipation for productive discussions with the Ghanaian Government aimed at resolving the remaining claims, ensuring that their collective focus continues on maximizing value derived from the Jubilee and TEN fields. In contrast, residential property developer Vistry Group faced a decline, with its shares falling by 1.42%.
The downward trend followed an unscheduled profit warning issued just before Christmas, which resulted in a revised earnings outlook and a cut in price target from Berenberg. The research firm commented, "We have adjusted our Vistry EPS forecasts downward by 19% on average for the years 2024-26, and we are reducing our price target to £6.50 while maintaining an unchanged Hold rating." In another sector, GSK secured a crucial approval from the China National Medical Products Administration for mepolizumab, known commercially as Nucala, targeted towards adults suffering from chronic rhinosinusitis with nasal polyps.
Despite this positive news, the company experienced a decline of 1.65%..