Highlights from Business news on Tuesday 9th July 2024.
A Low key start to London markets amid summer holidays and Keir Starmer says no to Nationalising Thames Water, to calm the fears of industry after Labour’s Election win.
While Tesla motors if feeling the pressure from electric competitor BYD who are investing $1bn in a new plant in Turkey to target Europe.
Market Overview
Markets
- FTSE 100 – 8,193.49
- DAX Index – 18,472.05
- Growth INT – 5.25% | INF 2%
- £/$ – 1.2803
- £/€ – 1.1825
Indices
- Gold – 2,352.90
- Copper – 870.50
- Brent Crude oil – 85.51
- NYMEX Nat Gas – 2.37
- ICE NBP NAT GAS – 74.85
Crypto
- BTC – $57,314.37
- ETH – $3,076.49
- ADA – $0.372257
- DOGE – $0.108445
- DOT – $5.93
Today’s Business Briefing
Low key start to London markets
The FTSE 100 closed lower on Monday, and futures indicated a quiet start to Tuesday’s trading session. A muted and cagey start to the Labours economic growth focused government.
British consumer spending saw a decline, impacted by the cost of living crisis. This adds to the broader picture of modest economic growth that the new Labour government aims to improve. Card spending fell last month for the first time in more than three years, according to Barclays.
Stalmer keen to shake off Nationalisation talk
Nationalising Thames Water would “not be consistent” with Labour’s fiscal rules, the Prime Minister’s spokesman has said.
The debt-laden water company has been the focus of public outcry over sewage spillage and warned regulator Ofwat it has £19bn in assets that may “pose a risk to public safety”.
Tesla feeling the pressure from BYD
China’s biggest electric car maker BYD has agreed a $1bn (£780m) deal to set up a manufacturing plant in Turkey, as it continues to expand outside its home country and target Europe.
The new plant will be able to produce up to 150,000 vehicles a year. The facility is expected to create around 5,000 jobs and start production by the end of 2026.
Ukraine receives oil and gas investing boost
Ukraine’s largest oil and gas mining company, Ukrnafta, received a letter of intent from six companies regarding the joint development of 15 fields out of the 21 it had proposed for investment in 2023. The investment ranges from offers ranging from $100M, and the smallest is $7M.
The negotiations should be completed by the end of the year. Most the firms that have proposed are reportedly American private corporations.
Gold prices notch up
Gold prices inched higher on Tuesday after a sharp drop in the previous session, with investors awaiting Federal Reserve Chair Jerome Powell’s testimony before Congress and June inflation data to assess the next policy move by the U.S. central bank.
Powell will deliver two days of testimony before Congress, beginning later in the day with the Senate and followed by the House on Wednesday.