FTSE 100 touches above 9,000 for the first time
The top tier later eased back to stand 3.34 points lower at 8994.72 by mid-morning.
Markets across Europe lifted tentatively with the Dax in Germany and France's Cac 40 up 0.3% and 0.2% respectively.
Investors were optimistic that a deal can still be reached between the US and EU, despite the latest tariff threats from US President Donald Trump.
Mr Trump said on Saturday that major trading partners Mexico and the EU would face a 30% tariff starting next month, piling on the pressure for deals to be struck.
Some stocks were struggling on the FTSE despite the record being reached, with Barratt Redrow plunging to the bottom of the top tier, shedding 7% after a disappointing update, which also dragged rival housebuilders Persimmon and Berkeley Group lower.
Victoria Scholar, head of investment at Interactive Investor, said a speech by Chancellor Rachel Reeves later will also be in sharp focus.
She said: 'UK Chancellor Rachel Reeves prepares to deliver her closely watched Mansion House speech tonight when she is anticipated to outline a series of financial reforms including measures to improve mortgage access.'
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The Independent
17 minutes ago
- The Independent
Asian shares are mixed after Wall Street sets more records for US stocks
Stock markets in Asia were mixed on Monday after U.S. stocks rose to more records as they closed out another winning week. U.S. futures and oil prices were higher ahead of trade talks in Stockholm between U.S. and Chinese officials. European futures rose after the European Union forged a deal with the Trump administration calling for 15% tariffs on most exports to the U.S. The agreement announced after President Donald Trump and European Commission chief Ursula von der Leyen met briefly at Trump's Turnberry golf course in Scotland staves off far higher import duties on both sides that might have sent shock waves through economies around the globe. Tokyo's Nikkei 225 index lost 1% to 41,056.81 after doubts surfaced over what exactly the trade truce between Japan and U.S. President Donald Trump, especially the $550 billion pledge of investment in the U.S. by Japan, will entail. Terms of the deal are still being negotiated and nothing has been formalized in writing, said an official, who insisted on anonymity to detail the terms of the talks. The official suggested the goal was for a $550 billion fund to make investments at Trump's direction. Hong Kong's Hang Seng index gained 0.4% to 25,490.45 while the Shanghai Composite index lost 0.2% to 3,587.25. Taiwan's Taiex rose 0.3%. CK Hutchison, a Hong Kong conglomerate that's selling ports at the Panama Canal, said it may seek a Chinese investor to join a consortium of buyers in a move that might please Beijing but could also bring more U.S. scrutiny to a geopolitically fraught deal. CK Hutchison's shares fell 0.6% on Monday in Hong Kong. Elsewhere in Asia, South Korea's Kospi was little changed at 3,195.49, while Australia's S&P/ASX 200 rose 0.3% to 8,688.40. India's Sensex slipped 0.1%. Markets in Thailand were closed for a holiday. On Friday, the S&P 500 rose 0.4% to 6,388.64, setting an all-time for the fifth time in a week. The Dow Jones Industrial Average climbed 0.5% to 44,901.92, while the Nasdaq composite added 0.2%, closing at 21,108.32 to top its own record. Deckers, the company behind Ugg boots and Hoka shoes, jumped 11.3% after reporting stronger profit and revenue for the spring than analysts expected. Its growth was particularly strong outside the United States, where revenue soared nearly 50%. But Intell fell 8.5% after reporting a loss for the latest quarter, when analysts were looking for a profit. The struggling chipmaker also said it would cut thousands of jobs and eliminate other expenses as it tries to turn around its fortunes. Intel, which helped launch Silicon Valley as the U.S. technology hub, has fallen behind rivals like Nvidia and Advanced Micro Devices while demand for artificial intelligence chips soars. Companies are under pressure to deliver solid growth in profits to justify big gains for their stock prices, which have rallied to record after record in recent weeks. Wall Street has zoomed higher on hopes that President Donald Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation. Trump has recently announced deals with Japan and the Philippines, and the next big deadline is looming on Friday, Aug. 1. Apart from trade talks, this week will also feature a meeting by the Federal Reserve on interest rates. Trump again on Thursday lobbied the Fed to cut rates, which he has implied could save the U.S. government money on its debt repayments. Fed Chair Jerome Powell has said he is waiting for more data about how Trump's tariffs affect the economy and inflation before making a move. The widespread expectation on Wall Street is that the Fed will wait until September to resume cutting interest rates. In other dealings early Monday, U.S. benchmark crude oil gained 24 cents to $65.40 per barrel. Brent crude, the international standard, also added 24 cents to $67.90 per barrel. The dollar rose to 147.72 Japanese yen from 147.71 yen. The euro slipped to $1.1755 from $1.1758.
Reuters
17 minutes ago
- Reuters
Morning Bid: US and EU avert tariff bust-up
A look at the day ahead in European and global markets from Gregor Stuart Hunter We may be hearing a lot about the art of the deal this week. With the U.S. tariff deadline bearing down on the global economy at the end of this week, it's the EU's turn to announce a trade deal with the White House, albeit one that is skewed in the U.S.'s favour. The agreement lowers the baseline tariff on most European imports to 15% from the Trump administration's earlier threat of a 30% rate, while committing the EU to invest some $600 billion in the United States. Governments around the world are racing to reach trade agreements with the U.S. to avert the imposition of the Liberation Day tariffs that were first announced on April 2. Talks are also taking place between the U.S. and China in Stockholm on Monday, with reports indicating another 90-day extension to the tariff deadline may be in the works. As Vasu Menon, managing director for investment strategy at OCBC in Singapore, puts it: "The 15% tariff is a pleasant surprise as it is half of what the U.S. threatened to impose on the EU, and it offers hope that other major trading partners of the U.S. could also strike deals of this nature soon." The deal appears to mirror the one struck between the U.S. and Japan last week, with a pattern emerging of unilateral investment in exchange for a lower tariff. That could indicate what to expect as talks go down to the wire with other big economies like China, South Korea and Taiwan. The new U.S. tariff rate on the EU extends to medicinal and pharmaceutical products and motor vehicles, which were the bloc's biggest exports to the U.S. last year. Aircraft and their components, the next biggest segment, will have zero-for-zero tariffs, though the U.S. will keep in place a 50% tariff on steel and aluminium. Investors welcomed the trade deal that avoids a trade war and could bring clarity for companies. Pan-region futures climbed 1%, German DAX futures rose 1%, and FTSE futures gained 0.5%. U.S. equity futures rose 0.4% following the deal, putting the S&P 500 on track for a sixth consecutive day of gains and potentially a new peak. Earnings from Heineken ( opens new tab will headline the corporate diary on Monday as the world's second-largest brewer counts the cost of tariffs. However, the firm's shares will likely get a boost from the newly-agreed framework deal along with automakers (.SXAP), opens new tab and drugmakers (.SXDP), opens new tab in the region. Key developments that could influence markets on Monday: Earnings: Heineken NV, Wise PLC, EssilorLuxottica SA UK data: CBI Distributive Trades for July Debt auctions: France 3-month, 7-month, 9-month and 1-year Trying to keep up with the latest tariff news? Our new daily news digest offers a rundown of the top market-moving headlines impacting global trade. Sign up for Tariff Watch here.
The Herald Scotland
an hour ago
- The Herald Scotland
Starmer told to demand Trump ends tariffs on Scotch whisky
Shock waves were sent through the Scottish whisky industry in April when Mr Trump announced 10% tariffs - a rise from zero tariffs - on imports of the product into the US. America is the largest export market by value for Scotch whisky, with 2024 figures showing the market was worth £971m to the industry. Single malt whisky was previously hit with a 25% tariff in 2019, during the first Trump presidency - a decision later estimated to have cost the industry around £600m over a two-year period. That tariff, which expired in 2021, came about due to a battle between the US and the EU over subsidies for plane makers Airbus and its American rival Boeing. READ MORE: Mark Kent, chief Executive of the Scotch Whisky Association (SWA) said the US President's visit to Scotland "is a timely opportunity to highlight the enduringly positive relationship that has lasted between Scotland and the United States for centuries". He added: "It is underpinned by our diaspora who now call the United States home, and the cross-Atlantic trade which generates investment and creates jobs in communities across Scotland and in States across the US. "Scotch Whisky and US whiskey embody that close and abiding relationship. Our two great industries collaborate, invest and trade, and both have flourished under zero-tariff access to UK and US markets for over thirty years. The visit is a critical moment for the UK government to re-engage in discussions to remove the tariffs on Scotch Whisky in the industry's largest global market. 'We are urging the Prime Minister and ministers to push for tariff removal for Scotch [[Whisky]], and demonstrate the UK Government's commitment to ensuring a key UK export can thrive and grow.' Prime Minister Sir Keir Starmer will meet President Donald Trump on Monday (Image: PA) The Scottish Conservative's shadow cabinet secretary for business, economy, tourism and culture Murdo Fraser said: 'All tariffs are damaging, but when he meets President Trump, Keir Starmer must make the strongest possible case for protecting the whisky industry from additional taxes. 'Scotch whisky accounts for almost a quarter of the UK's entire food and drink exports and is worth more than £7billion to the economy, as well as supporting tens of thousands of jobs. 'The Prime Minister has a patchy record on negotiations, but this is a chance for him to stand up for Scotland's interests, and it's crucial he rises to the challenge.' Scottish Lib Dem leader Alex Cole-Hamilton MSP said: 'Securing tariff free access to American markets needs to be a top priority. The Scottish economy is already fragile from years of SNP neglect, it doesn't need any more upheaval. 'Scotch whisky producers will want to know with certainty what tariff rate they are likely to face going forward. 'Having rolled out the red carpet to Donald Trump, the pressure is now on to get a good deal for Scotland and the whole UK.' Scotch whisky accounts for three quarters of Scottish food and drink exports and about a quarter across the UK creating more than 40,000 jobs in Scotland. The industry is also a huge tourist attraction for domestic and international visitors. The US imported almost £1billion of Scotch last year and is a crucial international market for the industry but companies, including Diageo, Scotland's biggest whisky producer, have warned US tariffs could slash profits by hundreds of millions of pounds. More than 41,000 people are employed in the Scotch Whisky industry in Scotland and over 25,000 more jobs across the UK are supported by the industry In 2022, Scotch whisky accounted for 26% of all Scotland's international goods exports and 2% of all UK goods exports The Prime Minister is expected to discuss a ceasefire in Gaza and an end to the war in Ukraine when he meets Mr Trump. On Monday, the leaders are expected to discuss progress on implementing the UK-US trade deal, hopes for a ceasefire in the Middle East and applying pressure on Vladimir Putin to end the war in Ukraine. They are also expected to talk one-on-one about advancing implementation of the landmark Economic Prosperity Deal so that citizens of both countries can benefit from boosted trade links between their two countries. The Prime Minister is also expected to welcome the president's administration working with Qatar and Egypt to bring about a ceasefire in Gaza. The US President played golf on Saturday and Sunday at his Turnberry golf course, and on Sunday afternoon met European Commission president Ursula von der Leyen. After the meeting on Monday, Mr Starmer and Mr Trump will travel on together for a further private engagement in Aberdeen. Mr Trump is expected to meet First Minister John Swinney on Tuesday. The US President will visit the UK again in September for his second state visit. A spokesperson for Number 10 said it was expected they will discuss 'what more can be done to secure the ceasefire urgently, bring an end to the unspeakable suffering and starvation in Gaza and free the hostages who have been held so cruelly for so long'. The war in Ukraine will also be up for discussion with both politicians 'set to talk about their shared desire to bring an end to the barbaric war' according to Number 10, and expected to 'reflect on progress in their 50-day drive to arm Ukraine and force Putin to the negotiating table'. A spokesperson for the UK Government said: 'The UK and the US have one of the closest, most productive alliances the world has ever seen, working together to cooperate on defence, intelligence, technology and trade. 'The UK was the first country to agree a deal with the US that lowered tariffs on key sectors and has received one of the lowest reciprocal tariff rates in the world. 'Businesses in aerospace and autos are already benefiting from the strong relationship the UK has with the US and the deal agreed on May 8. 'The Government is working at pace with the US to go further to deliver benefits to working people on both sides of the Atlantic and to give UK industry the security it needs, protect vital jobs, and put more money in people's pockets through the Plan for Change.' Mr Trump teed off on Sunday morning, being welcomed by supporters who urged him "don't trust Starmer". The Republican leader arrived around 11am at the coastal course in Ayrshire and played golf with his son, Eric. Police were seen patrolling the golf course as associates played earlier in the morning before a huge motorcade of golf caddies arrived around 10.40am. Dressed in a white baseball cap branded 'USA', Mr Trump waved at journalists who shouted questions at him as he teed off. Supporters of the president carrying placards stood in the dunes urging him, "Don't trust Starmer", also shouting, "We love you Trump". Three people gathered to support the Republican leader, carrying a hand-painted placard which read: "President Trump don't trust Starmer". It branded the Prime Minister an explicit term, and was jointly held by a man dressed in black, who wore an Adidas baseball cap. A woman holding the sign wore a red baseball cap reading "Make America Great Again" with fake hair attached and appeared to laugh as she watched. Another female supporter dressed in a floral anorak, held an American flag and wore a baseball cap reading "Make England Great Again". She carried a smaller sign that also branded Starmer an explicit term. A female well-wisher could be heard repeatedly shouting "We love you Trump" and "thank you". Someone else shouted: "Trump, Trump, Trump, Trump". Meanwhile, a man was arrested at Prestwick Airport on Friday evening for allegedly carrying a placard calling [[Donald Trump]] an offensive word. The man, aged 20, was arrested next to the military airport in Ayrshire where Air Force One landed "for abusive behaviour and refusing to stop", according to Police Scotland. The force said on Saturday that no arrests had been made, although a 50-year-old woman was issued with a recorded police warning in connection with alleged threatening behaviour at a Stop Trump Scotland protest outside the US consulate in Edinburgh on Saturday. A Police Scotland spokesperson said: "A 20-year-old man was arrested next to Prestwick Airport on Friday for abusive behaviour and refusing to stop. "He was given a recorded police warning." The UK Government was approached for comment.
