MARKET TALK: Tesco Update In Line; UK Mkt Still Challenging

15th Jun 2010 07:53

0653 GMT [Dow Jones] Tesco's (TSCO.LN) trading update is very much in line with expectations, says an analyst, noting sales growth in the UK is slowing, which suggests a challenging market outlook. Still, "the international impact on trade has been at the top end of our expectations, with total sales increasing by 11.9%. Sales in Asia and US markets are encouraging," he adds. Says the company has made a solid start to the year and believes it is well positioned for the future. "I expect this trading performance to be at the low point at Tesco's overall performance for the year ahead, with comparatives set to ease," the analyst adds. Shares closed at 392p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 15, 2010 02:53 ET (06:53 GMT)