Author: WTX Business Team

Business Live: US & UK markets monitoring. Market data: FTSE 100, NASDAQ, FTSE 250, Pound/Dollar, Pound/Euro, US markets, Oil price and so much more

Brussels’ economy chief has warned that Europe will need to step up its response to Washington’s Inflation Reduction Act as the US programme to finance the industrial green transition is set to be larger than expected, the Financial Times reports. The paper reports a story about Microsoft’s slated $75bn (£57.3bn) purchase of Activision Blizzard, something which has involved a long-running battle with Sony over the Call of Duty video game title. It reports Microsoft has made regulatory breakthroughs in the deal, and is “on the brink of clinching victory”. Brussels’ economy chief has warned that Europe will need to step…

Read More

Twitter loses nearly half advertising revenue since Elon Musk takeover Twitter boss Elon Musk has revealed his social media site has lost almost half of its advertising revenue since the billionaire bought the company for $44bn (£33.6bn) last October. He said Twitter had not seen the increase in sales that had been expected in June, but that July was a “bit more promising.” Musk took over the company in 2022 and in an effort to cut costs he sacked around half of Twitter’s staff. Rival app Threads – from Mark Zuckerberg’s Meta, has around 150 million users, according to some…

Read More

CITY AM – Sorry seems to be the hardest word Thames Water crisis: Ofwat boss refuses to apologise for water industry debt crisis CITY AM SAYS Ofwat’s former boss yesterday refused to apologise for allowing the water industry to rack up an eye-watering £65bn debt mountain, which has led to Thames Water’s desperate scramble to secure funds and avoid collapse. “I won’t apologise for my role at Ofwat, no,” Cathryn Ross said, during yesterday’s grilling with MPs when Labour MP Darren Jones scrutinised her record. As chief executive of Ofwat for four years between 2013 and 2017, Ross signed off…

Read More

Financial Times – Microsoft bears down on Activision as judge rebuffs regulator’s challenge Summary of the front page Microsoft’s push to acquire Activision Blizzard is on the front of the Financial Times, which reports a judge in the US has rejected attempts by the Federal Trade Commission to halt the deal. The front page also leads on the Ukrainian president’s frustrations over Ukraine’s wait for Nato membership. Zelensky said the lack of a clear timeline meant Russia had “motivation to continue its terror”. Today’s top stories Like this article? Leave a comment UK National newspapers

Read More

CITY AM – ‘Turning point’ for square mile Can Jeremy Hunt’s Mansion House reforms cure London markets’ malaise? CITY AM SAYS Jeremy Hunt’s package of City reform has been hailed by top figures across the Square Mile today – even as one top money manager cast doubt on whether it would prove the right elixir for London’s market woes. The Chancellor last night announced that some of the country’s top pension providers, including Aviva, Aegon, Phoenix and Scottish Widows, have committed to channelling at least five per cent of defined contribution (DC) pension cash into unlisted British companies by 2030. …

Read More

Financial Times – Bailey and Hunt urge wage restraint in joint pledge to conquer inflation Summary of the front page The Financial Times reports the Bank of England Governor Andrew Bailey and Chancellor Jeremy Hunt have called for restraint over wage rises, saying it contributes to “sticky inflation”. Hunt and Bailey made the argument at the Mansion House dinner, an annual event to which senior financiers, business leaders and government officials are invited. The front page features an image of Joe Biden on a UK visit. Today’s top stories Like this article? Leave a comment UK National newspapers

Read More

Record wage growth fuels fresh inflation fears Official figures show UK wages have risen at a record annual pace fuelling fears that inflation will stay higher for longer. Regular pay grew by 7.3% in the March to May period from year earlier, equalling the highest growth rate last month. But despite the increase, pay rises still lag behind inflation. The speed of wage rises has come under focus by the Bank of England as it tries to control inflation. The Bank has raised interest rates 13 times in a row in an attempt to reduce the rate of inflation but…

Read More

CITY AM – Hunt: We want funds to invest City AM says Jeremy Hunt is set to announce hotly-anticipated plans to supercharge pension funds to invest in high-growth sectors and boost British businesses. The Chancellor will spell out his plans today to encourage schemes to invest cash in infrastructure, startups and green tech – in a bid to rocket power the UK’s growth while avoiding adding to the debt pile. Speaking at Mansion House in the City of London, Hunt is expected to explain how his plans could secure funds for firms while expanding on returns for pensioners, the Treasury…

Read More

The Economist – The future of war The Economist says at first glance the war in Ukraine may look like a conflict from the 20th century, but it tells us as much about the future as it does about the past. New technology is transforming the way wars are fought, and not just in Ukraine. As the sabre-ratting between China and America over Taiwan intensifies, what does the future of war look like? Read all the business pages here

Read More

Top US senator calls for probe into Prime energy drink US Senator Chuck Schumer has called on regulators to investigate Prime energy drinks – promoted by YouTubers KSI and Logan Paul.  The energy drinks have become something of a cultural trend in recent months. Senator Schumer alleges the drink is being targeted at children despite its high caffeine content. Prime Energy contains 200mg of caffeine per can, which is almost twice the amount of the energy drink Red Bull.  Prime energy drinks carry a warning stating that it is not recommended for children under the age of 18.  But Schumer…

Read More

Twitter threatens legal action over Threads app Elon Musk’s Twitter is considering legal action after Meta launched its own version of the social media app, called Threads. Threads launched on Wednesday, and saw millions sign up. The social media site has been pitched as a “friendly” alternative to Twitter, which under Musk, appears to have become a bigger hotbed for misinformation and bullying. In response to the launch of Threads, Musk said “Competition is fine, cheating is not.” But Meta has denied claims in a legal letter that ex-Twitter staff helped to create Threads. Threads has been described as being…

Read More

Financial Times – Global stock markets tumble Summary of the front page Investors sold stocks and bonds across the world yesterday as US borrowing costs touched a 16-year high, the Financial Times reports. The paper says it comes after strong private sector jobs figures intensified expectations of further rate rises by the US federal reserve. The paper quotes a bond fund manager saying “the global economy will break eventually, and the higher the rates go, the bigger the cracks will be”. Today’s top stories Like this article? Leave a comment UK National newspapers

Read More

Financial Times – Treasury sells £4bn of debt at highest two-year borrowing cost this century Summary of the front page The Financial Times reports that the UK has paid the highest borrowing cost on two-year debt this century at an auction of £4bn of gilts, as the recent surge in bond yields feeds through to the government’s finances. The paper quotes one economist who says the Bank of England may eventually put up rates to 7%. Today’s top stories Like this article? Leave a comment UK National newspapers

Read More

Average five-year fixed mortgage rates now above 6% Following last month’s interest rate hike, a typical five-year fixed mortgage deal now has an interest rate of more than 6%. Last month the Bank of England raised interest rates to a 15-year-high of 5% in an attempt to bring down inflation.  Mortgage lenders have been increasing rates and withdrawing deals recently, which has been driving up costs for homeowners. PM Rishi Sunak has urged homeowners to “hold their nerve” over rising rates. On Tuesday, the average rate for a five-year fixed mortgage stood at 6.01% according to Moneyfacts. The average two-year…

Read More

Sainsbury’s boss says food price rises starting to slow Sainsbury’s boss Simon Roberts has said food prices are not rising as quickly as they were, helping to boost the amount customers are buying. The supermarket chain saw an increase of nearly 10% in the value of goods it sold in April, May and June. The hot weather, Eastern the royal Coronation and bank holidays all played a role in the increase of goods sold. Roberts said Sainsbury’s was “fully committed” to passing on savings to the customers. The past year has seen food prices skyrocket, but some wholesale prices have…

Read More

The Economist – The Humbling of Vladimir Putin THE ECONOMIST SAYS the last pretence of Vladimir Putin to be, as he imagines, one of his nation’s historic rulers was stripped away on June 24th. A band of armed mercenaries swept through his country almost unopposed, covering some 750km (470 miles) in a single day, seizing control of two big cities and getting to within 200km of Moscow before withdrawing unharmed. Mr Putin long ago failed as a reformer, having presided over ever-deepening corruption and economic stagnation and being unable to make Russia anything more than a purveyor of hydrocarbons just…

Read More

CITY AM – London set to power UK recovery CITYAM SAYS London businesses are shaking off all the doom and gloom swirling around the UK economy and are poised to power the country’s recovery, exclusive research shared with City A.M. has found. The capital’s firms are standing up to rising costs and shaky consumer demand, but are still alive to inflationary threats, according to the London Chamber of Commerce and Industry’s (LCCI) latest Capital 500 survey. Some 24 per cent of London businesses notched an increase in domestic sales in the second quarter of this year, up from 21 per…

Read More

Energy boss says prices might rise this winter The boss of the International Energy Agency has warned energy prices could spike again this winter, forcing governments to step in and subsides bills again. If the Chinese economy strengthens quickly and there is a harsh winter, gas prices could rise, putting financial pressure on customers, Fatih Birol said. He said governments should push for energy-saving and boost renewables. But a UK government spokesperson said energy bills are set to fall by an average of £430 this month. Gas prices jumped massively following Russia’s invasion of Ukraine. The war drove up energy…

Read More