Daily News Updates:
PWS Southport daily news and market updates keeping you up to date on coronavirus news and how global stock markets are reacting to the ongoing pandemic.
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Coronavirus: Daily News and Updates July 2020
Friday 31st July 2020
Coronavirus: Lockdown easing postponed and masks to be mandatory in all public indoor settings
Apple and Amazon to dominate an economy ‘without mouths or noses’ but 10% of jobs may never come back, strategist says
MarketWatch – In the U.S., hospitality, retail, and transport account for 12% of economic activity, he notes. Assume that physical distancing and the use of face masks force them to operate at two-thirds capacity, then the economy will lose a tolerable 4% of activity. However, those labor-intensive sectors employ 25% of all workers — so at two-thirds capacity, more than 8% of all jobs get wiped out, or 10% in a less-favorable scenario.
UK house prices jump by most in 11 years in July
LONDON (Reuters) – British house prices jumped by the most in 11 years this month, reversing about half their losses due to the impact of COVID-19 on a surge in pent-up demand, figures from mortgage lender Nationwide showed on Friday. Average prices rose 1.7% in July, the biggest single-month increase since August 2009, after dropping by 1.6% in June and 1.7% in May.
Coronavirus: NatWest sees red after hiking provision for bad loans to £2.8bn
Sky News – NatWest plunged into the red in the first half of the year after hiking its provision for loan losses caused by the coronavirus pandemic to £2.8bn. The bank has set aside a further £2.1bn to cover a threatened surge in bad debts due to the COVID-19 crisis – far higher than even the most pessimistic forecasts from analysts, which predicted a £1.5bn hit.
FTSE 100 Index futures pointing to gains but they did on Thursday morning
Currently with about half an hour before the London market opens, FTSE 100 futures are indicating the index will open up between 10 and 20 points. However, yesterday futures anticipated the same, but the index fell -2.31% on Thursday.
Losses on global stock markets on Thursday look to continue on Friday
Excluding the Nasdaq in the US and SSE Composite in China global stock markets look like they are heading into the red again on Friday.
The Nikkei in Japan is trading down -2.68% before the close. The Hang Seng in Hong Kong is slightly down -0.10% in the afternoon session.
The main SSE Composite index in China is defying the odds and is trading up 0.20% after positive economic data.
Hong Kong, China stocks mixed as investors digest July PMI, Covid-19 outbreaks; Shanghai set for best month in a year
South China Morning Post – On the last trading session of July, the Hang Seng Index inched up 0.2 per cent to 24,749.87 after the lunch break.The Shanghai Composite Index has seesawed between small gains and losses, and turned up a bit after lunch, rising 0.3 per cent to 3,296, on mixed sentiment as investors took a closer look at China’s latest economic data. The benchmark saw a rapid run-up early this month and is on track to post its best monthly performance since February 2019.
Amazon, Apple, Facebook and Alphabet defy coronavirus to post better results than expected
Sky News – Some of America’s biggest tech companies have defied the coronavirus pandemic to post better-than-expected financial results. Amazon posted the biggest profit in its 26-year history, while Facebook, Apple and Alphabet all beat estimates. Many brick-and-mortar retailers have struggled during the coronavirus pandemic, with most forced to shut down under rules intended to limit the spread of the illness.
Sky News Live
Thursday 30th July 2020
Coronavirus: Tui to shut 166 high street shops in UK and Ireland
Sky News – Tour operator Tui is to shut 166 high street stores in the UK and the Republic of Ireland in the face of the downturn in travel caused by the coronavirus pandemic. Around 350 shops will remain following the closures, which the travel firm said was a result of changes in customer’s shopping habits, with the shift online “accelerated” by the COVID-19 crisis.
U.S. economy suffers titanic 32.9% plunge in 2nd quarter, GDP shows, and points to drawn-out recovery
MarketWatch – The numbers: An economy badly battered by the coronavirus shrank at a record 32.9% annual pace in the second quarter, underscoring just how big a hole the U.S. finds itself in as it labors to recover from the deepest recession in American history.
UK had Europe’s highest rate of excess deaths during COVID-19 pandemic – official
LONDON (Reuters) – The United Kingdom suffered the highest rate of excess deaths during the COVID-19 pandemic in a comparison of 21 European countries, an analysis from Britain’s statistics office showed on Thursday.
FTSE 100 index drops below 6,000 points mark
In London, the FTSE 100 index has dropped below 6,000 points for the first time since the 22nd May 2020.
With the prospect of coronavirus infections increasing in the world, markets are reacting to the negative sentiment. The FTSE 100 is down 2.30% at 5,988 points at 2.30 pm and is likely to drop further as US market open.
The Dow Jone and S&P 500 have both opened down on Thursday at 1.30% and 1.02% respectively.
Redundancy pay to be protected for furloughed workers
BBC News – Furloughed workers losing their jobs will be eligible for redundancy pay based on their normal wages – not the furlough rate – from Friday. The government said a minority of firms had taken advantage of the current crisis to pay a lower rate. The new law will ensure workers get their full pay-off, said Business Secretary Alok Sharma. “It is important that employees receive the payments they are rightly entitled to,” he said.
Grim Lloyds Bank, StanChart results hit FTSE 100; AstraZeneca gains
(Reuters) – Gloomy quarterly results from Lloyds Bank, Standard Chartered and a clutch of other firms led the FTSE 100 lower on Thursday, while AstraZeneca rose after topping analysts’ estimates on the back of strong drug sales during coronavirus-driven lockdowns.
UK worried about second wave in Europe, more quarantine measures possible
LONDON (Reuters) – The British authorities are worried about a second wave of coronavirus infections in Europe and will not hesitate to bring back more quarantine measures, possibly within the next few days, Health Secretary Matt Hancock said on Thursday.
Futures again indicating European stock markets to open flat
European stock markets are likely to see a similar trading session as Wednesday with futures indicating some gains when markets open.
After the US Federal Reserve left interest rates unchanged on Wednesday, US markets finish up, and Asia-Pacific markets have open mixed on Thursday.
Currently, in Japan, the Nikkei 225 is trading down 0.25% before the close. The Hang Seng in Hong Kong up 0.40% in the afternoon session and China’s SSE Composite is down 0.15%.
In the UK, FTSE 100 futures at 7.30 am are indicating the index will open up between 10-20 points.
Hong Kong stocks advance as Federal Reserve keeps rates at near zero and vows more support in war against Covid-19
South China Morning Post – Hong Kong stocks continued to rise, as the US Federal Reserve vowed to do whatever it takes to bolster the world’s largest economy as it slogs through the unrelenting turmoil of the coronavirus.
Coronavirus: Lloyds in the red as bank books £3.8bn charge for bad loans
Sky News – Lloyds Banking Group has plunged into the red after it booked a £3.8bn provision for bad loans arising from the coronavirus crisis. Results covering the first half of the year showed a pre-tax loss of £602m compared to profits of £2.9bn for the same period in 2019.
Wednesday 29th July 2020
Coronavirus: Heathrow wants ‘double testing’ regime to reduce quarantine
Sky News – Heathrow Airport is proposing a regime of testing in a bid to reduce 14-day quarantines and get people travelling as the travel sector suffers under the strain of the coronavirus crisis. Its chief executive John Holland-Kaye called on the government to grant a scheme whereby passengers would be tested for COVID-19 at their point of entry to the UK – and again at a health centre within five to eight days.
Americans are anxious. That’s bad news for the White House – and stocks.
MarketWatch – As coronavirus cases surge in many American states, policymakers bicker about how to manage the pandemic, and jobless benefit claims tick back up, consumer confidence is plunging. That’s bad news, according to an analysis from TS Lombard Chief US Economist Steve Blitz: bad for the incumbent in the White House, and bad for risky assets like stocks – although there are some caveats to that.
UK mortgage approvals rebound in June as property market reopened
LONDON (Reuters) – British mortgage approvals more than quadrupled last month from May’s record low and households showed signs of spending more, as the economy began to open up from the coronavirus lockdown.
European Markets open flat but China’s leading market surges
The FTSE 100 and other major European markets have opened flat on Wednesday morning after falls in the US on Tuesday. However, the SSE Composite index in China is up over 2.00% in the afternoon session with the Hang Seng in Hong Kong up 0.30%.
Coronavirus: Barclays sets aside £3.7bn as crisis hurts consumer business
Sky News – Barclays made provisions of £3.7bn in the first half of the year to cover possible loan losses as the coronavirus crisis took its toll on consumers and businesses. The bank’s latest financial results showed it set aside £1.6bn during the second quarter – the three months to the end of June – as the lockdown in its core UK market came into full effect.
Hong Kong, China stocks climb; HSBC rallies as investors buy shares beaten to record low as bank is dragged into Huawei fight
South China Morning Post – China stocks were on track to record their best day in seven trading sessions on Wednesday, while Hong Kong’s market also rose, as investors piled into financials, pharmaceuticals and consumer firms on improved sentiment from increased foreign capital inflow.
Coronavirus: Britons turn to staycations amid fears over foreign trips during pandemic
Sky News – Scarborough is busy, buoyed by a combination of traditional staycationers and those who can’t, or won’t, take their usual overseas holiday. Confidence is returning to the UK holiday sector, according to a survey by Visit Britain, but slowly. Only a quarter of adults in England were expecting to book an overnight stay in July.
Tuesday 28th July 2020
Extend UK furlough scheme or risk wave of joblessness, think tank warns
LONDON (Reuters) – The National Institute of Economic and Social Research (NIESR) said the furlough programme for workers at companies hit by the coronavirus outbreak should run until June 2021. It is due to wind down at the end of October. “The planned closure of the furlough seems to be a mistake, motivated by an understandable desire to limit spending,” NIESR deputy director Garry Young said.
FTSE 100 ends the day up 24 points on a topsy-turvy day on the index
The FTSE 100 in London managed to finish the day in positive territory after mainly a day of losses until the last two hours of the session.
After a day when the Hang Seng and SSE Composite in Hong Kong and China both finished the day up 0.70%, markets in the US remain in negative territory early in the afternoon session.
Stocks open lower as fiscal stimulus battle heats up
MarketWatch – U.S. stocks were modestly lower at the open Tuesday as investors eyed progress in Washington toward an additional round of fiscal stimulus before the current benefits expire Friday. The Dow Jones Industrial Average DJIA, -0.47% fell 84 points or 0.3% to open near 26,501, while the S&P 500 SPX, -0.24% was off 5 points, 0.2%, at 3,234.
Spain slams British, German travel advisories as discriminatory
MADRID (Reuters) – Spain reacted with outrage on Tuesday to recommendations from Britain and Germany that their citizens avoid its islands and beaches because of an increase in coronavirus cases during what should be the height of the tourism season.
Early signs are European markets will start Tuesday positive
Current FTSE 100 futures have the index opening up between 20-25 points with other European markets likely to follow suit.
In Japan, the Nikkei 225 is currently trading down 0.25% before the close, and the Hang Seng in Hong Kong is up 0.35% in the afternoon session.
In mainland China, the SSE Composite index is also up 0.40%.
Coronavirus: UK revises Spain travel advice amid quarantine row
Sky News – The UK government has revised its travel advice for Spain to warn against all non-essential travel to the Balearics and Canaries – despite calls for the islands to be exempt from quarantine rules. The Foreign Office said the latest advice came after it considered “the impact of the requirement to self-isolate on return to the UK”. Britons were already advised against non-essential travel to mainland Spain.
Hang Seng Index, China stocks gain as Moderna launches large-scale vaccine trial in US in hunt to beat Covid-19
South China Morning Post – Hong Kong and mainland stocks advanced in early trading on Tuesday as American pharmaceutical manufacturer Moderna’s launch of a late-stage vaccine trial boosted investor sentiment despite infection hotbeds in the US, Hong Kong, China and elsewhere.
Coronavirus: Prospect of sudden quarantine rules signals end of summer for travel sector
Sky News – Stepping inside the north terminal at Gatwick Airport tells you everything you need to know about the state of the travel business in this, the first summer of COVID-19. Even on a Monday in July it should be teeming. Instead, you could count the travellers in tens where there ought to be thousands.
Monday 27th July 2020
Coronavirus: Plea for targeted quarantines as travel firms feel second wave pain
Sky News – Holiday firm TUI has called on the government to take a more targeted approach to the imposition of coronavirus quarantine measures amid an industry backlash against curbs on travel to Spain. The company’s UK managing director, Andrew Flintham, told Sky News a more “nuanced” attitude was called for after ministers gave just hours’ notice on Saturday evening of a decision to force a 14-day isolation period on people arriving in the UK from all of Spain, citing a spike in COVID-19 cases.
Stimulus bets boost Wall St. ahead of busy earnings week
(Reuters) – U.S. stocks rebounded on Monday as investors shrugged off surging COVID-19 cases and U.S.-China tensions, betting instead on more stimulus to revive a battered domestic economy ahead of a week packed with quarterly earnings reports.
EU’s Barnier believes deal with post-Brexit Britain is possible – sources
BRUSSELS (Reuters) – The European Union’s Brexit negotiator Michel Barnier expressed confidence at a closed-door meeting with member state envoys to the bloc last Friday that a new deal with Britain was possible, diplomatic sources have told Reuters.
FTSE 100 likely to open flat on Monday morning
Current FTSE 100 futures have the index opening flat on Monday morning. Still, with further lockdowns in Spain and other European countries, it’s going to be difficult for the index to be positive in the trading session.
In the Asia-Pacific region, most major markets are trading down with the Nikkei 225 currently down 0.20% before the close.
In China, the main SSE Composite index is down 0.04%, and in Hong Kong, the Hang Seng is down 0.60% in the afternoon session.
Coronavirus: Ryanair outlines ‘biggest fear’ as it books €185m lockdown loss
Sky News – Ryanair has outlined the scale of the financial hit to its operations from the coronavirus lockdown and warned a second wave of the disease is its “biggest fear”. The no-frills carrier’s parent firm, which was forced to ground almost all its planes from mid-March to the end of June as COVID-19 swept across its key European market, reported a €185m loss for the first quarter of its financial year.
Hong Kong stocks surrender gains with third wave of coronavirus in focus; gold miners advance
South China Morning Post – Hong Kong stocks traded lower by lunch break on Monday, as worries over the worsening third wave of Covid-19 outbreak in the city overwhelmed earlier enthusiasm about technology stocks. The Hang Seng Index dipped 0.1 per cent to 24,683.66 by noon, giving up gains of as much as 1.1 per cent advance in the opening hour. The Hang Seng Tech Index, a new gauge tracking 30 largest new economy and other technology companies, declined 1.1 per cent on its debut.
New countries could go on quarantine list at short notice despite 1.8 million holidays being thrown into chaos
Sky News – The government has warned it “won’t hesitate” to add more countries to its quarantine list at short notice – despite anger among Britons who went to Spain unaware they would have to isolate for two weeks upon returning. Ministers faced questions after Spain was added to the list from midnight on Saturday with just a few hours’ warning.
Friday 24th July 2020
FTSE 100 ends the week 2.50% on Friday afternoon
In London, the FTSE 100 ended the week down 2.50%, but the index has managed to keep its head above the 6,000 points mark for two months.
The coronavirus is keeping the index low, but the diplomatic relations between China and the West is not helping.
The Dow Jones and S&P 500 in the US are both trading down in the afternoon session.
Centrica soars on U.S. energy unit sale but U.K. stocks sink as China hits back over consulate closure
MarketWatch – British Gas owner Centrica stock soared on plans to sell its U.S. energy arm, but the broader U.K. stock market slumped amid rising U.S.-China tensions. The U.K.’s benchmark FTSE 100 UKX, -1.36% index fell 1.2% and the FTSE 250 MCX, -1.17% declined 1%, in line with other major European indexes. The pound ticked higher against the dollar, shaking off concerns over a Brexit trade deal. Equities were put under pressure as Beijing retaliated against the U.S. after the Trump administration ordered the closure of the Chinese consulate in Houston.
UK companies and shoppers send recovery signals for economy
LONDON (Reuters) – An early flash reading of the IHS Markit/CIPS UK Composite Purchasing Managers’ Index (PMI) shot up to 57.1 in July from 47.7 in June, above the 50 threshold for growth for the first time since lockdown began in March. The figure, its highest since June 2015 and above the euro zone’s reading for this month, was better than all forecasts in a Reuters poll of economists.
Market turbulence in the Asia-Pacific region will see FTSE 100 open down on Friday morning
With the fallout from US-China relations spooking global stock markets, the current futures indicate the FTSE 100 will open down between 50-60 points on Friday.
Hong Kong, China stocks dive as China closes US consulate in Chengdu, the ‘last straw’ for market sentiment
South China Morning Post – Hong Kong and mainland stocks tumbled as Beijing closed the American consulate in Chengdu, a retaliatory move that added to escalating US-China tensions and became what one analyst called the “last straw” for panicking investors. China’s stocks plunged on the news, adding to earlier steep falls. The CSI 300 of large caps in Shanghai and Shenzhen plummeted as much as 4 per cent, and the Shanghai Composite Index fell as much as 3.3 per cent.
COVID-19: Total retail sales bounce back to pre-coronavirus levels
Thursday 23rd July 2020
U.S. new jobless benefit claims rise for first time since late March
MarketWatch – The numbers: Initial jobless claims rose in the week ended July 18 for the first time since late March. New applications for unemployment benefits, a rough gauge of layoffs, rose by 109,000 to 1.42 million, the Labor Department said Thursday. The figures are seasonally adjusted.
Brexit: UK must ‘face possibility’ of no deal on future relationship with EU by end of transition
Sky News – The UK must “face the possibility” that it will not agree a deal on its future relationship with the EU by the end of the year. Chief negotiator David Frost said that with less than six months to go until the end of the Brexit transition period, the UK must “continue preparing for all possible scenarios” for once that deadline passes. His EU counterpart, Michel Barnier, said an agreement “at this point” is “unlikely”.
UK trade deal unlikely for now: Britain, EU clash over post-Brexit ties
LONDON/BRUSSELS (Reuters) – Britain and the European Union clashed on Thursday over the chances of securing a free trade agreement, with Brussels deeming it “unlikely” but London holding out hope one could be reached in September.
Trade experts reject government gagging orders
Sky News – Business groups, unions and experts advising the government on trade talks with the US are refusing to sign sweeping confidentiality agreements imposed by the Department for International Trade (DIT), Sky News has learned.
Slew of upbeat earnings lift European stocks
(Reuters) – European shares climbed on Thursday, as investors brushed off simmering U.S.-China tensions and focused on better-than-expected earnings reports from companies such as Unilever, Daimler and Publicis.
FTSE 100 looking to open up on Thursday morning
After Wednesday’s 1.00% fall, current FTSE 100 futures have the index opening up between 10-15 points.
China stocks slide on closing of US consulate, but Hong Kong shares rebound in jittery early trading
South China Morning Post – Hong Kong stocks rose after a bout of jitters while China’s shares fell as of the lunch break after the US told China to pack up its consulate in Houston and leave, in the latest sign of deteriorating ties between the world’s two largest economies.
Australia unveils biggest deficit since WWII as Victoria’s coronavirus crisis continues
Sky News – Australia will see its biggest deficit since World War Two due to the cost of fighting the coronavirus, it has been revealed. The country’s treasurer Josh Frydenberg said the year ending 30 June saw the budget in the red by $85.8bn (£48bn) and the 2020/21 year, which began this month, would see this figure balloon to $184.5bn (£103bn). Net debt was expected to be $488.2bn (£273bn), or 24.6% of GDP at 30 June 2020, jumping to $677.1bn (£379bn), or 35.7% of GDP by mid-2021.
Wednesday 22nd July 2020
After a small gain yesterday the FTSE 100 likely to open lower on Wednesday morning
Current FTSE 100 futures have the index opening down between 20-30 points after an 8 point gain on Tuesday.
Asia-Pacific markets are trading down after an initially a positive start with the Nikkei 225 in Japan down 0.50%.
The Hang Seng in Hong Kong is down 0.20% with the SSE Composite index in China up 1.10%.
Coronavirus: UK airports declare £4bn emergency after lockdown
Sky News – UK airports have declared a funding emergency amid the continuing coronavirus pandemic, warning that 110,000 jobs are at risk from a collapse in global travel. The Airport Operators Association (AOA) renewed its call for government support as it warned that a revenue hit of almost £2bn during the first four months of the COVID-19 crisis would likely double over the course of the year.
Hong Kong stocks rise as investors remain upbeat on launch of new tech index, shrug off rise in Covid-19 cases
South China Morning Post – Hong Kong stocks rose in early trading as investors remained upbeat on the launch of a new tech index and Ant Group’s plan to list in the city and Shanghai, shrugging off the rise in coronavirus infections around the world. The Hang Seng Index increased 0.1 per cent to 25,655.88 at the lunch break at noon on Wednesday, while the Shanghai Composite Index rose 1.2 per cent.
Coronavirus: A third of firms to cut jobs in the next three months say British Chambers of Commerce
Sky News – When Birmingham-based engineering firm Lontra advertised 10 jobs on a new production line, Chief Executive Steve Lindsey expected a few hundred applications at the most. Instead, he got 15,000. “It’s gratifying and worrying at the same time. I would love to employ them all,” he told Sky News.
Tuesday 21st July 2020
Dow surges 320 points, briefly retakes perch at 27,000 as Coca-Cola delivers upbeat results and investors bet on beaten-down sectors
MarketWatch – U.S. stock-indexes gained at the start of trade Tuesday, with investors turning to beaten-down energy and financial stocks, as investors waded through a slate of corporate earnings reports, which included quarterly results from Coca-Cola, Lockheed Martin. Market sentiment was upbeat after positive results from International Business Machines late-Monday and after the European Union forged a historic fiscal package, intended to dampen the economic impact of the effects of the COVID-19 pandemic.
Coronavirus: April-June borrowing more than double level for whole of previous year
Sky News – Government borrowing for April-June was more than double that for the whole of the previous fiscal year thanks to the “unprecedented impact” of the COVID-19 pandemic, official figures show. The deficit of £127.9bn for the three-month period compares with a £55.4bn shortfall for the year to the end of March, the Office for National Statistics (ONS) said.
European stocks hit four-month highs after EU recovery fund sealed
(Reuters) – European shares rallied to four-month highs on Tuesday, with Germany’s blue-chip DAX turning positive for the year, after EU leaders agreed on a landmark stimulus package to revive the bloc’s economies from a coronavirus-induced slump.
FTSE 100 on course to open up on Tuesday morning
Current FTSE 100 futures have the index opening up 40 points on Tuesday morning following gains in the Asia-Pacific region.
Hong Kong stocks head for biggest gain in two weeks following Ant Group’s listing
South China Morning Post – Hong Kong’s stocks climbed the most in two weeks, with the exchange operator’s shares soaring in their biggest intraday percentage gain in five years following Ant Group’s plan to list in the city and Shanghai. The Hang Seng Index added 1.9 per cent, or 478.43 points, to 25,536.42 in early afternoon trading, heading for the biggest gain since July 6.
Coronavirus: EU leaders agree €1.82trn budget and pandemic recovery fund
Sky News – European Union leaders have finally agreed a €1.82trn budget and coronavirus recovery fund after four days of sometimes bitter negotiations. The €750bn (£677bn) coronavirus fund will be used as loans and grants to the countries hit hardest by the virus. The remaining money represents the EU budget for the next seven years.
Japan’s exports slump 26.2% in June
Japan Today – TOKYO Japan’s exports suffered a double-digit decline for the fourth month in a row in June as the coronavirus pandemic took a heavy toll on global demand, reinforcing expectations that the economy has sunk into its deepest recession in decades. U.S.-bound Japanese shipments nearly halved again due to plunging demand for cars and auto parts, while exports to China remained weak, pointing to the absence of a strong growth engine in the global economy.
Monday 20th July 2020
Cyclical stocks knock Europe lower, focus on EU talks
(Reuters) – European shares fell on Monday, dragged down by cyclical sectors amid a surge in coronavirus cases globally, while investors remained cautiously optimistic about the ongoing talks over an EU-wide recovery fund.
FTSE futures indicating European markets will be flat on Monday morning
The FTSE 100 and other European markets are likely to follow the Nikkei 225 and Hang Seng and open flat on Monday morning.
Current futures have the FTSE 100 index opening between 5 points down and 5 points up thirty minutes before the market opens.
Asia-Pacific Markets start the day down after an increase in coronavirus cases
The Hang Seng in Hong Kong initially traded down over 1.00% but has clawed its way back in the afternoon session. However, on the mainland, the SSE Composite is trading up over 2.00% after last weeks drops.
Before the close, the Nikke1 225 in Japan is flat trading up 0.09% before the session finishes on Monday.
Coronavirus: UK secures early access to 90 million COVID-19 vaccine doses
Sky News – The UK has secured early access to 90 million COVID-19 vaccine doses through partnerships with pharmaceutical companies. Included in the figure are 30 million doses of a vaccine being developed by BioNTech and Pfizer, the first agreement the two companies have signed with any government. This vaccine has reached Phase 2 trials.
Hong Kong stocks drop on record new coronavirus cases; mainland shares defy decline
Coronavirus: M&S to announce hundreds of job cuts this week
Sky News – Marks & Spencer (M&S) will serve notice this week of imminent plans for hundreds of job cuts as it becomes the latest prominent retailer to restructure its workforce in the wake of the coronavirus pandemic.
Friday 17th July 2020
Coronavirus: Boris Johnson hopes for Christmas ‘normality’ – but reveals details of swift lockdowns
Sky News – Swift local lockdowns – including the shutting down of businesses, cancellation of events and restrictions on travel to certain areas – will aim to control future COVID-19 outbreaks. Boris Johnson outlined the plan to contain localised flare-ups in COVID-19 infections as he expressed his hope of a “more significant return to normality” by Christmas.
Bank of England’s Bailey sees UK economy beginning to recover
LONDON (Reuters) – Bank of England Governor Andrew Bailey said on Friday that Britain’s economy was starting to recover from its coronavirus lockdown but some job-intense sectors remained weak and the longer-term outlook was unclear. “We are seeing activity return. We are beginning to see this recovery,” Bailey said during a webinar organised by the central bank.
Futures: FTSE 100 likely to open flat after Thursday’s losses
FTSE 100 futures have the index opening flat on Friday morning along with other European markets.
In the Asia-Pacific region, the Hang Seng in Hong Kong is up 0.30% in the afternoon sessions but has fallen back. In China, the main SSE Composite Index is down 0.50% after Thursday’s drop of 4.50%
The Nikkei 225 in Japan is trading down 0.50% before the close.
Hong Kong stocks rise as bargain hunters swoop in to take advantage of rout; Kweichow Moutai jumps
South China Morning Post – Hong Kong stocks advanced as bargain hunters swooped in after Thursday’s rout, but mainland China shares turned down as investors worried policymakers might tap the liquidity brakes amid signs of economic recovery and overheated markets. The Hang Seng Index rose 0.6 per cent to 25,123.58 as of the noon lunch break. It tumbled 2 per cent – about 511 points – on Thursday, dragging it below the 25,000 resistance level for the first time this month.
Coronavirus: Boris Johnson pledges extra £3bn for NHS amid key adviser warning over ‘work guidance change’
Sky News – Boris Johnson will pledge another £3bn for the NHS as he lays out the next stage of the coronavirus recovery roadmap, amid reports he wants staff to return to work. The prime minister will make the funding pledge to prepare the health service for a second wave of COVID-19 infections as the country heads towards winter.
Thursday 16th July 2020
Shanghai Composite Index tumbles the most since China imposed coronavirus lockdowns five months ago
South China Morning Post – Overheated China stocks saw their biggest daily percentage tumble in more than five months, as traders scrambled for the exits on fears of more cooling measures and tighter monetary policy. The panic selling left the Shanghai Composite Index as the worst percentage performer out of 93 major global indices on Thursday, according to Bloomberg data.
Slowing UK job losses seen as ‘calm before storm’
LONDON (Reuters) – The number of employees on company payrolls slumped by 649,000 between March and June, despite the government’s huge job retention plan that has protected more than 9 million jobs. However, June’s drop of just over 74,000 was much smaller than April’s 450,000 tumble and was smaller than the fall in May too, the Office for National Statistics said.
Asia-Pacific stocks down on Thursday with Europe likely to follow
Stock markets in the Asia-Pacific region fall on even with positive GDP data from China. China recovered from a 6.80% decline in the first quarter of the year to 3.20% growth in the second quarter. However, ongoing tension between Hong Kong and China and the rest of the western world are dragging indexes down.
The Hang Seng is down 1.30%, and the SSE Composite on mainland China is down 2.90% in the afternoon session.
The Nikkei 225 in Japan is currently trading down 0.75% before the close.
In Europe, FTSE 100 futures indicate the index will open lower by between 20-30 points on Thursday morning.
Hong Kong, China stocks slide even as data shows pace of economic recovery is quickening on the mainland
South China Morning Post – Hong Kong and mainland Chinese markets slid as traders worried Beijing may tighten liquidity after upbeat government data showed the pace of economic recovery on the mainland has been gaining momentum.
Coronavirus: China’s economy returns to growth as lockdowns lifted
Sky News – China’s economy has recovered from a record contraction to post 3.2% growth in the second quarter compared to the same time last year. The first quarter had seen the country’s gross domestic product (GDP) slump by 6.8% – the worst performance for decades.
Coronavirus: Employment crisis builds as 649,000 lose their jobs
Wednesday 15th July 2020
Any whiff of a coronavirus vaccine and markets surge up!
Another day and more positive sentiment surrounding a possible coronavirus vaccine and markets head south.
The FTSE 100 index in London is trading up 1.90% an hour before the close with other major European markets, also showing positive gains.
The Nasdaq, Dow Jones and S&P 500 are all up in the morning trading session in the US.
Hong Kong Autonomy Act: US tariffs, sanctions, export bans ‘all on the table’ after Donald Trump signs law
South China Morning Post – After US President Donald Trump signed the Hong Kong Autonomy Act and an executive order that will remove the city’s preferential trade status, legal experts have warned that “all is on the table” with regard to possible punitive actions against Hong Kong.
Apple and Ireland win appeal over EU’s €13bn tax demand
Sky News – Apple and Ireland have won an appeal against an EU order that the tech giant pay the country €13bn (£11.6bn) in back taxes. In 2016, the European Commission ruled that Ireland had breached state aid rules by giving Apple unfair tax benefits, and ordered Ireland to recover the money plus interest.
Dow briefly gains foothold on 27,000, S&P 500 erases this year’s losses on vaccine hopes, Goldman earnings
MarketWatch – The Dow Jones Industrial Average DJIA, 0.91% traded up 336 points, or 1.3%, to 26,979, briefly rising as high as 27,071.33 at the start of Wednesday’s session. The S&P 500 SPX, 0.81% rose 34 points, or 1.1%, to 3,231, erasing its year-to-date losses. The Nasdaq Composite COMP, 0.62% climbed 94 points, or 0.9%, to 10,582.
English lockdown might have reduced COVID-19 infections more than thought, scientists say
LONDON (Reuters) – The reproductive number of COVID-19 in England may been lower than previously thought in May, research published by British scientists said on Wednesday, suggesting the government’s COVID-19 lockdown worked to reduce infection rates.
Futures have the FTSE 100 index opening up between 40-50 points
Current futures are indicating the FTSE 100 index will open up on Wednesday with other European markets following suit.
Trading in the Asia-Pacific region unpredictable on Wednesday
After a positive start, both the Hang Seng in Hong Kong and the SSE Composite in China are trading down.
The Nikkei 255 is up after Tuesday’s losses as is up 1.60% before the close.
Hong Kong stocks reverse to losses, as traders weigh Covid-19 vaccine hopes, President Trump’s step to revoke city’s special status
South China Morning Post – Hong Kong stocks reversed into losses, as traders weighed promising results of a Covid-19 vaccine against President Donald Trump’s step to revoke the city’s special trade status as well as tough new local restrictions to fight a spike in virus infections that has Hongkongers hunkered back down. The Hang Seng Index shot up as much as 1.6 per cent to 25,888.78 in early Wednesday trading, but then slid to a 0.6 per cent loss at the lunch break.
Coronavirus: Will the hospitality industry pass on VAT cuts to consumers?
Sky News – The hospitality and tourism sectors are set to benefit from a reduction in VAT from today – but there are concerns the savings might not be passed on to consumers. More than 80% of hospitality firms stopped trading in April due to the coronavirus lockdown, according to data from the Office for National Statistics.
Tuesday 14th July 2020
Huawei blocked: Tech must be stripped from UK’s 5G network by 2027
Sky News – Boris Johnson has ordered all Huawei technology to be stripped out of the UK’s 5G network by 2027. In a major U-turn, the prime minister also banned the purchase of any new 5G equipment from the Chinese tech giant from the end of this year. The government acknowledged the move would delay the roll-out of 5G in the UK by two to three years and increase costs by up to £2bn.
FTSE 100 index finishes the day flat at 6,179
The FTSE 100 index finished the day up 3 points after initially dropping 80 points when the market opened on Tuesday.
Currently, both the Dow Jones and S&P 500 in the US are trading up at midday trading.
U.S. Stocks Waver on Virus Worries, U.S.-China Tensions
MarketWatch – U.S. stocks wavered after JPMorgan Chase and Citigroup kicked off the second-quarter earnings season with better-than-expected results, but a rout in technology shares continued from Monday. Global stocks declined on concerns that the coronavirus spread may disrupt the economic recovery and on fears over brittle U.S.-Chinese relations.
UK economy could shrink 14% this year, budget forecasters say
LONDON (Reuters) – Britain’s economy could shrink by more than 14% this year if there is lasting damage from the coronavirus, a scenario that would push government borrowing to nearly half a trillion dollars, budget forecasters said on Tuesday.
FTSE 100 drops over 1.00% after the latest GDP figures
The May 2020 Gross Domestic Product (GDP) only rose by 1.80%, and the FTSE 100 has reacted by falling on the news.
UK economy begins tepid recovery in May after record slump
LONDON (Reuters) – Britain’s economy took a first step on the long road to recovery from the COVID-19 crisis in May, as activity began to pick up after lockdown restrictions began to ease. Gross domestic product rose by 1.8% in May after slumping by a record 20.3% in April, Britain’s first full month of lockdown, the Office for National Statistics said. This was a smaller rise than the average 5.5% increase forecast in a Reuters poll of economists.
Futures indicating European markets to open down on Tuesday
At 7.30 am in the UK, future markets are indicating the FTSE 100 will open down between 30-40 points on Tuesday.
However, after yesterdays losses US market futures are more positive with the Dow Jones and S&P 500 potentially opening up later today.
Yesterday’s gains to be wiped out by coronavirus concerns in the US
After a positive start to the week, global stocks markets are likely to fall on Tuesday.
Asia-Pacific markets are already trading lower with the Nikkei 225 in Japan down 0.90% before the close.
In China, the main SSE Composite index is down 1.60% and the Hend Seng in Hong Kong trading down 1.57% in the afternoon session.
Hong Kong, China markets slide as concerns rise about overheated stocks, cases of coronavirus grow in US
South China Morning Post – Hong Kong and mainland markets slid, as concerns mount that some stocks may be overheated and the pace of economic recovery in the US – the world’s largest economy – is threatened by a surge in Covid-19 cases.
Coronavirus: Fines for failing to wear a face mask in shops in England
Sky News – Face coverings must be worn in shops and supermarkets in England from Friday 24 July, Boris Johnson has announced. Enforcement will be carried out by police – not retail staff – and anyone failing to wear a face covering while shopping will be subject to a fine of up to £100, or £50 if paid within 14 days.
Friday 10th July 2020
European shares enter fourth day of declines, energy firms drag
Jobs losses and economic concerns taking its toll on markets
The FTSE 100 is heading for the fourth day of losses as futures markets have the index opening near the 6,000 points market after another 106 points drop on Thursday. The index is down over 3.00% in July 2020, and the recent government reliefs announced on Wednesday are not in the short term stabilising the market.
In the Asia-Pacific region coronavirus sentiment is weighing on markets on Friday with the Hang Seng in Hong Kong trading down 1.90% and the SSE Composite in China down 1.30% in afternoon trading.
In Japan, the Nikkei 225 is down 1.00% before the close.
Coronavirus: UK quarantine rules end for travellers from dozens of countries
Sky News – Quarantine rules end today for people travelling to the UK from more than 70 countries and British Overseas Territories. People will no longer have to isolate for 14 days or provide an address where they are staying. The rules covered people arriving by air, sea or train, and also included UK nationals.
Hong Kong stocks slip but on track for second weekly gain, as coronavirus weighs on sentiment
South China Morning Post – Hong Kong and other major Asia-Pacific stocks slid in early trading Friday, as investors continued to balance fears of rising coronavirus cases in the city, the US and elsewhere against signs of China’s steady economic recovery and the huge amount of liquidity around the globe.
Coronavirus: 5,300 jobs go at Boots and John Lewis
Sky News – High street chain Boots and department store chain John Lewis are cutting a total of more than 5,000 jobs – blamed on the impact of COVID-19. Boots plans to axe 4,000 workers in a major shake-up while John Lewis said that eight of its shops were set to remain closed after the lockdown, putting 1,300 workers at risk.
Thursday 9th July 2020
More grim job losses as U.S. hits record high on new COVID cases
(Reuters) – As the number of new coronavirus cases in the United States rose to a single-day record, fresh government data on Thursday showed another 1.3 million Americans filed for jobless benefits, highlighting the pandemic’s devastating impact on the economy.
Boots to cut more than 4,000 jobs
Independent – High street pharmacy chain Boots has said it plans to cut more than 4,000 jobs – 7 per cent of its workforce – as part of action to mitigate the “significant impact” of Covid-19. The company has recently announced closures of several branches across the UK.
UK set to borrow £350 billion and more is likely, IFS says
LONDON (Reuters) – British government borrowing is on course to surge to around 350 billion pounds this year following new COVID-19 spending announced by finance minister Rishi Sunak, and could rise higher still, a leading think tank said on Thursday.
Coronavirus: Chancellor Rishi Sunak warns of ‘difficult times ahead’ despite stimulus package
Sky News – Rishi Sunak has told Sky News there will be “difficult times ahead” despite new emergency measures to kickstart the economy after the coronavirus lockdown. The chancellor admitted “we are not going to be able to protect every single job” as businesses reopen following a three-month shutdown.
Is the FTSE 100 heading for the third day of losses?
The FTSE 100 initially opened positive but within 20 minutes the index was trading down on Wednesday’s close. With Asia-Pacific stocks and European indexes in positive territory is the FTSE 100 become the most unloved index.
Buyers return to COVID-hit UK property market in June, RICS says
LONDON (Reuters) – Buyers returned to Britain’s property market last month as it reopened following the coronavirus lockdown but activity remained depressed, a closely-watched survey showed on Thursday. The Royal Institution of Chartered Surveyors (RICS) said a net balance of +61% of its members reported a rise in new buyer enquiries in June, following a reading of -94% in May.
FTSE 100 futures anticipating a positive start to Thursday but the market is still lagging behind other indices
The FTSE 100 is likely to open up 20 points on Thursday morning, but the index is lagging behind other world indices and is still 16% lower than the start of the year.
In the Asia-Pacific, region markets continue to motor forward due to economic data suggesting a V-shaped recovery from the coronavirus pandemic in the area.
In Japan, the Nikkei 225 is up 0.40% before the close, and the Hang Seng in Hong Kong is trading flat in the afternoon session.
The SSE Composite in China is continuing to surge with the index trading up 1.00% in afternoon trading.
Hong Kong stocks gain, with Alibaba on track for biggest gain since debut in city, as traders bet on China economic recovery
South China Morning Post – Hong Kong stocks advanced in morning trading – with e-commerce giant Alibaba soaring and on track for its biggest one-day percentage gain since debuting in the city in November – as investors bet on China’s economic recovery story against the risks of a new wave of coronavirus infections in the city.
Coronavirus: Key points of government plan to revive economy
Wednesday 8th July 2020
Dow Jones and S&P 500 start strong but fall back
After an initially positive start, both the Dow Jones and S&P 500 indexes in the US fall back after gains in the morning session.
The FTSE 100 is trading down for the second day with the index down 20 points before the close.
Coronavirus: Key points on how the government will try to revive the UK’s economy
The threshold for paying stamp duty will be raised temporarily from £125,000 to £500,000 until 31 March 2021, resulting in the average stamp duty bill falling by £4,500 and nearly nine out of ten people buying a main home this year paying no duty at all
In August, everyone in the country will be given an “eat out to help out” discount – 50% off up to a maximum discount of £10 per head at participating restaurants, cafes and pubs from Monday to Wednesday
VAT reduce to 5% on hospitality sector.
UK VAT to reduce to 5% until January 2020 in the hospitality sector from next Wednesday.
UK Chancellor reduces stamp duty on residental property purchases
People buying houses until 31st March 2020 will not have to stamp duty on purchases up to £500,000.00.
Coronavirus: Seven things to watch out for in Sunak’s stimulus statement
Sky News – Over the past few months, millions of us have been directly affected by the unprecedented coronavirus support schemes unleashed by the Treasury. Now, as the COVID-19 lockdown is eased and Britain attempts to return to some form of normality, Number 11 is preparing another round of measures to stimulate the economy.
Hong Kong stock bulls sustain market rally on IPO outlook amid resurgence in Covid-19 cases, sanction threats
South China Morning Post – The Hang Seng Index rose 0.3 per cent to 26,063.51 at noon break local time. The benchmark slipped 1.4 per cent on Tuesday, the most in three weeks, after powering into a bull market on Monday from its March 23’s low.
Tuesday 7th July 2020
FTSE 100 heading for a 1.50% decline on Tuesday
After a positive start to the week on Monday, the FTSE 100 index in London is heading towards a 90 point decline weighted down by property companies Land Securities Group Plc and British Land Plc.
Meanwhile, in the US both the Dow Jones and S&P 500 are trading down in the morning session.
The stock market is poised for a 40% drop, warns economist who says the current climate feels a lot like 1929
MarketWatch – That’s A. Gary Shilling, longtime economist and president of A. Gary Shilling & Co., again delivering a gloomy take on what’s next in a recent CNBC interview. “Stocks are [behaving] very much like that rebound in 1929 where there is absolute conviction that the virus will be under control and that massive monetary and fiscal stimuli will reinvigorate the economy,” he said, adding that the market could drop as much as 40% over the next year.
EU wants Brexit deal ‘but not at any price’ as teams head for dinner
LONDON (Reuters) – Top British and EU negotiators will dine at Number 10 Downing Street on Tuesday, kicking off the latest round of Brexit talks that have all but stalled amid differences, with the top EU official saying he wants an agreement, “but not at any price”.
After Monday’s gains markets likely to be mixed on Tuesday
China’s SSE Composite index has continued to surge with the index up another 1.30% in afternoon trading on Tuesday.
Hong Kong and Japan, however, are both trading down 0.70% and 0.45% respectively.
In the UK FTSE 100, futures are indicating a drop of between 30-40 points when the market opens on Tuesday.
Coronavirus: Pubs close again after punters test positive for COVID-19
Sky News – A number of pubs which reopened for the first time since lockdown measures were imposed have had to close again after punters tested positive for coronavirus. Bars across England welcomed drinkers on Saturday more than three months after the coronavirus outbreak closed down the hospitality sector.
Thailand has Asia’s gloomiest economic forecast as tourism and exports hit hard by coronavirus
South China Morning Post – Thailand has been cited as a success story in containing the coronavirus outbreak, having gone more than 40 days without any local transmission of Covid-19. Yet its economic outlook is the darkest in Asia. Gross domestic product is forecast to contract 8.1 per cent this year, according to the Bank of Thailand. That’s worse than official forecasts for any of the main economies across Asia, and would be Thailand’s biggest GDP decline ever, surpassing even its plunge during the Asian financial crisis two decades ago.
Coronavirus: Chancellor Rishi Sunak sets aside £3bn for green jobs as part of economic recovery
Sky News – Chancellor Rishi Sunak is setting aside £3bn to create green jobs as part of the economic recovery from the coronavirus crisis. The money includes £1bn towards the decarbonisation of public buildings like schools and hospitals – many of which are squandering heat and contributing towards climate change.
Monday 6th July 2020
UK will face consequences if it rules China is a hostile country – envoy
LONDON (Reuters) – Britain will have to bear the consequences if it treats China as a hostile country when deciding whether to allow Huawei to be involved in the country’s telecommunications networks, the Chinese ambassador to Britain said on Monday.
After Friday’s loses the FTSE 100 index set to open positive on Monday
Futures in the UK indicate the FTSE 100 index will start the day up around 80 points on Monday morning.
However, it will lag behind Hong Kong, and China were stocks are up on positive economic data in the region. In afternoon trading the Hang Seng is up 3.11%, and in mainland China, the SSE Composite is up 5.24%.
Elsewhere in the Asia-Pacific region the Nikkei 225 in Japan is up 1.70% before the close.
In the US futures markets are anticipating a positive start to the week, even when coronavirus cases in America are increasing.
Hong Kong, mainland stocks surge in early trading on bullish sentiment over China economic recovery
South China Morning Post – Hong Kong and mainland stocks surged in early trading on bullish sentiment about loosening monetary policies in China and fiscal stimulus around the world to boost global economic recovery, even as coronavirus cases continue to surge in the US.
Coronavirus: Firms to be paid £1,000 bonuses to hire young people as part of economic recovery
Sky News – Companies will be paid £1,000 bonuses by the government to hire young people as trainees, the chancellor will announce as part of his rescue plan for Britain’s post-coronavirus economic recovery. In a hotly anticipated “emergency budget” on Wednesday, Rishi Sunak will unveil a raft of big-spending measures aimed at creating thousands of jobs to replace those lost during the COVID-19 pandemic.
Friday 3rd July 2020
FTSE 100 Index ends the week flat and down 1.33% on Friday
The FTSE 100 index finish Friday down after hopes of significant tax giveaways in the UK government budget next week diminished.
The Asia-Pacific region finished the day earlier with gains in Japan, Hong Kong and China.
Coronavirus: Full list of countries exempt from COVID-19 travel quarantine revealed
Sky News – A full list of the countries exempt from England’s coronavirus travel quarantine has been released by the government. The list includes more than 70 countries and territories where English holidaymakers can visit without self-isolating on their return. Fourteen British Overseas Territories are also included, with Ireland, the Channel Islands and the Isle of Man already exempt.
The long haul – caution as virus cases surge
LONDON (Reuters) – As high-frequency data this week showed a global economy slowly on the mend, the surge in coronavirus cases globally has sharpened the focus on whether the recovery is sustainable in the coming months.
US Markets closed for the holiday weekend but FTSE 100 on course to finish the week on a high
With US markets closed for the 4th of July holiday weekend European markets are looking to finish the week on a high.
Current futures markets are indicating the FTSE 100 will open up 20 points with major European markets likely to follow suit.
Meanwhile, in Japan, the Nikkei 255 is trading up 0.70% before the close, and the Hang Seng in Hong Kong is up 1.00% in the afternoon session.
In China, the SSE Composite Index continues to raise on sentiment around reduced coronavirus cases and positive economic data.
Hong Kong, mainland stocks rally on latest signs China’s economic recovery is speeding up
South China Morning Post – Hong Kong and mainland stocks rallied, as fresh data and positive business sentiment out of China reinforced bets that the world’s second-largest economy’s recovery is gaining speed after the devastation of the coronavirus.
Coronavirus: ‘Vital green shoot’ as number of UK job adverts increase
Sky News – The number of job adverts in the UK has increased, new research suggests, as sectors such as hospitality start to emerge from months of lockdown. There were 990,000 job adverts in the last week of June – 27,000 more than in the first week of the month, the Recruitment & Employment Confederation said.
Thursday 2nd July 2020
FTSE 100 ends the day up 82 points at 6,240.00
In London, the FTSE 100 index ends two days of negative returns finishing up 1.34% on Thursday but lags behind other European markets were the DAX in Germany ended the day up 2.84%
In the US the Dow Jones and S&P 500 are both trading up 0.90% before the 4th of July holiday weekend.
Dow futures rise 400 points after strong jobs report despite record rise in daily new coronavirus cases
Market Watch – U.S. stock futures pointed to sharp gains early Thursday as investors digested a stronger-than-expected monthly employment report amid rising numbers of new coronavirus cases. U.S. financial markets will be closed on Friday and the bond market will close an hour early at 2 p.m. Eastern time on Thursday with the Independence Day holiday observed on Friday instead of July 4th.
Coronavirus: All pupils must return to school in September, education secretary tells MPs
Sky News – All children will be told to go back to school from September, as the government said restarting learning was “critical to our national recovery”. Education Secretary Gavin Williamson announced mandatory attendance will be introduced when the new academic year starts to ensure pupils don’t fall any further behind.
Vaccine hopes propel London shares; Primark owner jumps
(Reuters) – London shares rose on Thursday as signs of progress in developing a COVID-19 vaccine bolstered hopes of a post-pandemic economic recovery, while Primark-owner Associated British Foods jumped after issuing an upbeat trading update.
FTSE 100 futures indicating a positive start on Thursday morning
Future markets anticipate the FTSE 100 index to start trading up 50 points on Thursday morning after two days of losses.
Global stocks looking positive even with the new Hong Kong security law in place
Stock markets in the Asia-Pacific region are in positive territory on Thursday morning even with the new security law implementation in Hong Kong.
The Hang Seng in Hong Kong is up 1.75%, and the primary Chinese SSE Composite Index is up 1.62% in afternoon trading.
The Nikkei 225 in Japan is lagging a little with the index up 0.10% before the close.
Hong Kong stocks kick off third quarter with gains, rise on coronavirus vaccine hope, better US and China economic data
South China Morning Post – The Hong Kong stocks market ended the morning session higher on Thursday, the first trading day of the third quarter, after US stocks rose overnight on hopes an effective coronavirus vaccine made by a recognised company could be available soon.
Coronavirus: Topshop owner and Harrods cut 1,200 jobs on grim day for retailers
Sky News – Luxury department store Harrods will axe 672 jobs, following similar cuts by Sir Philip Green’s Arcadia Group and the owner of Upper Crust and Caffe Ritazza. Harrods blamed the coronavirus pandemic, which kept its flagship branch in central London closed for three months during the UK lockdown.
Wednesday 1st July 2020
Here’s what history tells us happens after the S&P 500’s best quarters of all time, as strategist says it’s set to repeat
MarketWatch – In our call of the day, SunTrust Advisory chief market strategist Keith Lerner said that while history was “only a guide,” he expected it to be repeated with the onset of a bull market and the S&P 500 higher in a year’s time. He expected an uneven path for the index, as the economy reopens in “fits and starts,” but one with a positive trajectory.
Rating agency S&P cuts UK forecasts, warns of ‘perfect storm’
LONDON (Reuters) – Rating agency S&P Global cut its UK forecasts for the year again on Wednesday to a 8.1% contraction and warned of a “perfect storm” next year if efforts to strike a post-Brexit EU trade deal fail.
FTSE 100 likely to start the month on a negative footing
Current FTSE 100 futures indicate the index will open lower on Wednesday with oil and resources shares pushing the market down.
Elsewhere in Japan the Nikkei 225 is down 0.75% before the close. Better news in China with the SSE Composite Index up 0.60% and the Hang Seng in Hong Kong up 0.50% in afternoon trading.
Coronavirus: US buys up almost entire world supply of COVID-19 drug Remdesivir
Sky News – The US has bought up almost the entire global supply of one of two drugs used to treat coronavirus. Remdesivir, which was developed to treat Ebola, is produced almost exclusively by US pharmaceutical giant Gilead Sciences – and it has been priced at $2,340 (£1,892) per patient in wealthier nations.
Shanghai bets on consumer spending to propel the battered local economy in post-coronavirus era
South China Morning Post – The government aims to reignite the faltering economy by fostering what it terms innovative commerce – essentially, making better use of infrastructure, retail and cultural resources to get Shanghai’s 25 million residents people spending again.
June 2020 Daily News and Updates Archive
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