Markets report: Halfords saddles up for lockdown cycling boom

Panic buying of bicycles sounds like something out of a Monty Python sketch but it’s a looming reality as the UK moves into lockdown phase 2 on Monday.

Transport Secretary Grant Shapps urged people this weekend to get on their bikes to go to work instead of using buses and trains, helping the UK’s largest bike seller Halfords..

Hopes everyone will rush out to buy a BMX or a mountain bike sent shares soaring, up 20% to 178p.

The retailer, which has closed its 450 stores for browsing but still offers collection, saw shares slump as low as 51p at the onset of the Covid outbreak.

“Saturday’s evangelical Department of Transport speech could have been written by Halfords’ CEO, with its very helpful remarks on cycling and e-scooters,” said Peel Hunt.

Confusion over Boris Johnson’s set- piece speech seeped into the markets on Monday, which reopened after the long bank holiday weekend.

UK-listed insurers, banks and miners rose sharply early amid hopes ending the lockdown could partially revive the moribund economic activity.

But the rally fizzled as fear crept back into the market, leaving the FTSE 100 up 4.86 points to 5,940.84 and the FTSE 250 66.16 points higher at 16,314.10

Sports car supplier TI Fluid, on the up rising 0.6p to 32p, became the latest manufacturer to scrap its 2020 outlook. Management will also take a 10% pay cut, with staff seeing a 5% reduction, but the company is still busy.

The firm, which normally makes equipment used by Aston Martin, Jaguar, Bentley and Maserati, has joined forces with Ford and 3M to manufacture air-purifying respiratory systems (PAPR) for US healthcare workers.

The system uses a rechargeable portable battery to power an air-blower system that sends filtered air into a hood that helps provide respiratory protection for workers.

Oil and gas rig supplier Gulf Marine Services flagged up increasing levels of support for its rejection of a $32 million hostile takeover bid from Dutch rival Seafox.