Hays, FairFX and Anglo Asian

“The fall in blue-chip stocks was less pronounced at lunchtime than many had expected in the wake of the Brexit vote although the more UK-focused FTSE 250 suffered a bigger drop. Sterling fell further despite Chancellor George Osborne’s U-turn on his pre-referendum warning over the need for an emergency Budge on a Leave victory,” says AJ Bell Investment Director Russ Mould.

Uncertainty in the wake of the Brexit vote is having an impact on the recruitment sector and Hays, which earns a significant amount of its fees in Europe, saw a double-digit drop in its share price. Hays also faces a slowdown closer to home with the Institute of Directors claiming that a quarter of its members will be enforcing a hiring freeze. Hays was down by over 13% in lunchtime trading.

The referendum had the opposite effect on low-cost currency provider FairFX which had a record week in the run-up to the vote with revenues up 30% on its previous best and more than 50% higher than a year ago. The group’s platform and IT systems remained fully operational throughout the last few days of the referendum when some peers did not accept business. FairFX has been exceptionally busy throughout June and is cautiously optimistic about the immediate prospects for trading volumes. Its shares were up by nearly 7% in lunchtime trading.

Anglo Asian Mining is on track to hit its gold and copper targets this year. The group increased gold and copper output by 19% and 24% respectively in 2014 and it is aiming for further uplift this year. Production in the first quarter saw a slow-down due to winter weather conditions and poorer grades. But Anglo Asian has seen a significant pick up in gold doré production since the beginning of April due to better grades. Its shares were up by more than 11%.

These articles are for information purposes only and are not a personal recommendation or advice.