Heat is on after Indian summer

RETAILERS will be back in the spotlight this week as high street stalwart M&S and low-cost rival Primark reveal how the Indian summer has affected their sales.

While Marks in particular is expected to have suffered from the lack of interest in winter clothing, Halfords may emerge as one of the few beneficiaries as the mild autumn has been ideal for cycling. Among those who are getting on their bikes are policy-makers at the European Central Bank.

Lagging the rest of the West by a year or five, they have finally started making asset purchases, but markets will be hoping they can offer a bit more this week. Of course, until recently, this Thursday was meant to be the day the Bank of England put rates up, but no-one expects that to happen now.

Today

l Manufacturing PMI – The industrial sector kicks off the latest series of monthly leading indicators, with the dominant services sector to follow two days later.

Tomorrow

l Associated British Foods – Soaring profits at budget fashion chain Primark will boost results at its parent firm.

Wednesday

l Marks & Spencer – The Indian summer has added to pressure on M&S boss Marc Bolland, with half–year profits expected to slip 4 per cent to £252 million. l Halfords – The cars parts and bicycles group may be one of the few beneficiaries of the recent run of mild weather.

Thursday

l Central banks – Both the UK and European banks will announce the results of their latest policy deliberations. l Morrisons – The City will study the grocer’s third– quarter update for signs that price cuts and a new loyalty card are helping to arrest its sales decline.

Friday

l US jobs – With QE3 out of the way, can world markets now assume that any good news is, well, good?