Sharewatch: Renewed Caution Weighs On Media Market

The market market proceeded with caution yesterday as research cast doubts over the Government’s ambitious forecasts for economic growth during 2004 and suggested that the initial euphoria of the post-war Iraq period had been dampened. WPP was seen down by 5.14% and Emap slipped by 1.82% (see Marketing Spend Expected To Grow By 3% During 2004).

GWR was also seen in focus dipping by 4.17% after its chairman, Ralph Bernard, called on the Government to announce a definitive switch-off date for the analogue signal as part of a wider initiative to boost the uptake of digital radio in the UK (see Radio Industry Calls For Analogue Switch-Off Date).

Meanwhile, BSkyB saw shares slip by 2.54% to close at 749˝p. The satellite broadcaster recently announced plans to begin measuring television viewing with an audience panel four times the size of that currently used by BARB (see BSkyB To Launch UK’s Largest Audience Panel).

Broader market sentiment was subdued yesterday following further dollar weakness and a cautious outlook from life assurer Prudential. The FTSE 100 closed 0.8% lower at 4,476.8 and the FSTE 250 dipped by 0.8% to 6,069.

The closing prices of media company shares on Thursday were: