Key Takeaways
- Intercontinental Exchange (ICE) is preparing to expand trading hours for European and UK gas and power markets to 22 hours daily by February 23, 2026, a move aimed at boosting market accessibility and liquidity.
- Associated British Foods (AB Foods) (ABF) has warned of a profit decline, primarily due to weaker sales at its Primark retail chain, particularly in continental Europe, and reduced sugar profits, with analysts' consensus profit expectations for fiscal year 2024/25 projected to fall by approximately 2%.
- Tesco's (TSCO) CEO noted mixed UK consumer sentiment but highlighted resilient employment, asserting that the UK government's November budget had no material impact on the supermarket's Christmas trading performance.
- Major European stock indices experienced a mixed day, with Britain's FTSE 100 (UKX) declining by 0.45% and France's CAC 40 (PX1) down 0.18%, while Germany's DAX (DAX) registered a marginal gain of 0.02% and Spain's IBEX (IBEX) fell 0.31%.
The financial landscape in Europe is currently characterized by a blend of strategic market expansions, corporate profit warnings, and varied consumer and market performances. On the energy front, the Intercontinental Exchange (ICE) is set to significantly extend trading hours for European and UK gas and power markets. By February 23, 2026, these markets will operate for 22 hours a day, a strategic move to enhance liquidity and accessibility for participants. This expansion comes as European natural gas prices, specifically Dutch TTF Gas, saw a rise to 28.36 EUR/MWh on January 7, 2026, up 1.03% from the previous day, though still 37.10% lower than a year ago.
In corporate news, Associated British Foods (AB Foods) (ABF), the owner of budget fashion retailer Primark, has issued a profit warning, indicating a projected 2% fall in analysts' consensus profit expectations for its 2024/25 fiscal year. The warning primarily stems from weaker underlying sales at Primark, particularly in continental Europe, despite some improvement in UK trading. The company also cited reduced profits from its sugar business. This follows an earlier report in November 2025 where AB Foods announced a 13% decline in adjusted pre-tax profit to £1.7 billion for the year ending September 13, 2025, and revealed it was considering a spin-off of Primark from its food business.
Meanwhile, Tesco's (TSCO) CEO provided an update on the UK consumer landscape, describing sentiment as 'mixed' but noting that employment remains 'resilient'. The CEO also stated that the UK government's November budget did not have a material impact on the supermarket's Christmas trading performance. This perspective offers a nuanced view compared to broader concerns about cost pressures impacting retailers, as seen in other reports from late 2025.
Across European stock markets, trading on January 8, 2026, presented a mixed picture. Britain's FTSE 100 (UKX) experienced a decline of 0.45%, while France's CAC 40 (PX1) also fell by 0.18%. In contrast, Germany's DAX (DAX) managed a slight increase of 0.02%, and Spain's IBEX (IBEX) was down by 0.31%. This mixed performance reflects the ongoing economic uncertainties and varying regional dynamics influencing investor sentiment across the continent.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.