Tuesday preview: RBA rate decision due; Close Brothers, Wickes results in focus

(Sharecast News) - Close Brothers, Tarvis Perkins, Trustpilot and Wickes are all slated to report earnings on Tuesday. As far as Close Brothers' first-half results are concerned, UBS expects a net interest margin of 7.0%, down 10 basis points on the same period a year earlier, a CET1 of 12.4%, including the additional 130bps motor provision and assuming Winterflood sale completion post 1H26.

"We'd be watching in particular loan book developments (including segmental trends), sequential NIM movement (1Q26 7.1%, temporary benefit of higher behavioural fee income), cost performance and savings so far," UBS said.

It expects the FY26 guidance provided recently with FY25 results to be reiterated.

"We expect a bigger focus on the day to be on the scheduled business update, where the firm will provide further information on the business, strategy and market opportunity for each of its three operating divisions," the bank said. "At FY25 results, the firm had indicated it aimed to deliver double digit return on tangible equity by FY28, through its strategy to simplify, optimise and grow.

"It had also shared expectations of annualised £20m cost savings per annum in each of FY26-28 for FY28 group adjusted opex of £410-430m (FY25: £445m).

"We think the market will be looking for more detail on the ROTE pathway and targeted cost savings, and how the firm can get to the high single digit loan growth we think would be needed to meet the FY28 ROTE target."

In the US, quarterly results are due from Lululemon Athletica.

Also on Tuesday, the Reserve Bank of Australia will be the first of a slew of central banks to make its latest policy announcement this week, amid expectations it will hike rates by 25 basis points to 4.10%.

Patrick Munnelly at Tickmill Group said this is driven by hawkish rhetoric and rising oil prices pushing inflation above the 4.2% forecast. "Market watchers will look for guidance on whether this move signals the start of further tightening or merely an early adjustment," he said.

The Bank of Canada, Federal Reserve and Bank of Japan will make policy announcements on Wednesday, while the Bank of England and European Central Bank will update on Thursday.