FTSE 100 Live Monday
- CityFibre £2.3bn funding boost
- McVitie's factory spending revealed
- Saga strikes NatWest tie-up
Market update: FTSE 100 outperforms, AstraZeneca and AB Foods higher
10:05 , Graeme EvansAstraZeneca and Glencore shares today kept the FTSE 100 index in positive territory during a session of outperformance versus European peers.
London’s top flight rose 17.43 points to 8958.55, whereas the Dax fell 0.9% and the Cac40 dropped 0.6% in response to President Trump’s threat to impose a 30% tariff on EU imports from 1 August.
Uncertainty ahead of tomorrow’s US inflation print and flurry of bank sector earnings also weighed on Wall Street futures, with the S&P 500 index on course to open about 0.4% lower.
In the FTSE 100, heavyweight AstraZeneca shares rose 2% or 178p to 10,628p after it announced the success of a late-stage trial for a potential blood pressure treatment.
A stronger silver price helped miner Fresnillo top the risers board following a gain of 45p to 1561p, while copper specialist Antofagasta lifted 178p to 10,628p and Glencore improved 3.05p to 315.55p.
Retail-focused stocks also fared well as Primark owner Associated British Foods improved 2% or 52p to 2100p, B&Q business Kingfisher cheered 3.5p to 279.7p and Sainsbury’s put on 3.4p to 283.8p.
On the fallers board, BT Group came under pressure after its Openreach rival CityFibre announced a £2.3 billion financing deal in order to “supercharge” growth.
BT fell back 1.5p to 193.15p, having risen by more than 30% so far this year. In contrast, Vodafone shares rose 0.6p to 81.1p.
Among other stocks marked lower, WPP dropped 3.9p to 416.9p and thermal engineering group Spirax weakened 140p to 6040p.
The FTSE 250 index rose 0.2% or 47.25 points to 21,660.50, led by gold miner Hochschild Mining after an advance of 5% or 15p to 295.6p.
McVitie's owner unveils £68m investment plan
09:18 , Graeme EvansThe owner of McVitie’s is to inject £68 million into its British operations in a bid to “supercharge” the growth of its brands.
Turkish-owned snacking giant Pladis said investment funds will be used to boost manufacturing capacity and productivity across its factories.
The plans include £21 million for a new chocolate moulding line at its Stockport Jaffa Cake factory and £2 million to create new roles at its Carlisle site, which is the world’s oldest biscuit factory.
Bitcoin surge continues, nears $123,000
09:12 , Graeme EvansBitcoin today hit a fresh record, having rallied more than 60% since early April to trade close to $123,000. The cryptocurrency rose more than 2% this morning.
Susannah Streeter, Hargreaves Lansdown head of money and markets, said: “President Trump has been a cheerleader for crypto, and his promises look set to be incorporated into law.
“Legislation will be debated in Congress to provide a regulatory framework for the market. It could encourage more companies and financial institutions to hold bitcoin and other coins.
“One of the other triggers for the flood of money pumping into Bitcoin is Elon Musk’s pledge to set up an America Party. His public fight with the President over his so called ‘Big Beautiful Bill’ has shone a light onto the US debt mountain.
“Speculators are piling into crypto amid concerns about an unsustainable US fiscal position and the dented reputation of the dollar, which has fallen 11% against a basket of currencies this year.”
Saga unveils NatWest savings tie-up
09:00 , Graeme EvansSaga has unveiled a seven-year tie-up with banking giant NatWest to launch a range of savings products for the over-50s.
Saga, which offers cruises through to insurance services for people over 50, said an instant access savings product would be the first to launch under the partnership later this year.
London-listed Saga struck a 20-year partnership for motor and home insurance with Belgian firm Ageas late last year, while also agreeing to sell its underwriting business Acromas to the group.
CityFibre £2.3bn financing deal set to “supercharge” growth
08:52 , Graeme EvansBroadband network firm CityFibre today said a £2.3 billion financing deal marked a significant moment in the upgrading of the UK’s digital infrastructure.
The challenger to BT Openreach said the new package included £500 million in new equity secured from existing shareholders such as Goldman Sachs.
Debt facilities have been expanded by £960 million, alongside a new £800 million facility to catalyse CityFibre’s growth through M&A.
Chief executive Greg Mesch said the financing will “supercharge” CityFibre’s next phase of growth as it looks to consolidate the alt-net sector and accelerate the pace of customer connections.
He added: “There is a huge opportunity ahead for CityFibre and it is testament to the success of the company that we have such strong backing from our lenders and shareholders.”
AstraZeneca supports FTSE 100, WPP shares weaker
08:26 , Graeme EvansThe FTSE 100 index has risen 11.94 points to 8953.06, countering expectations for a weak start. The FTSE 250 index is 27.38 points lower at 21,585.87.
Mining and pharmaceutical stocks offered support to the top flight, led by AstraZeneca after a rise of 1.5% or 162p to 10,612p.
GSK also lifted 6.5p to 1415p and Rio Tinto improved 35.5p to 4492.5p. Other risers included Diageo after an advance of 10.5p to 1911p.
On the fallers board, WPP shares remain under pressure after a decline of 5.1p to 415.7p.
Wall Street futures lower, Bitcoin above $120,000
07:48 , Graeme EvansWall Street’s S&P 500 and Nasdaq futures are down 0.4% ahead of the US earnings season and key US inflation data due this week.
President Trump’s proposed 30% tariff on EU and Mexican imports has also unsettled markets, IG said today.
The Nikkei 225 has fallen 0.2%, while the Hang Seng index is 0.3% higher. The FTSE 100 index is seen opening about 21 points lower, according to IG.
Meanwhile, a 2.5% rise means the price of Bitcoin is above $120,000 for the first time.
Inflation figures and US banking results in focus
07:41 , Graeme EvansThe corporate reporting season gets underway this week, beginning with JPMorgan, Wells Fargo and Citigroup results tomorrow.
Bank of America, Morgan Stanley and Goldman Sachs follow on Wednesday, while UK-listed Ocado, Frasers Group and easyJet report on Thursday.
Figures on Tuesday are expected to show a rise in US inflation to 2.6% from May’s 2.4%, driven by factors including higher gas prices.
The UK’s rate is seen staying at 3.4% on Wednesday, which together with labour market statistics the following day will help determine an August interest rate cut.
Rate cuts possible if jobs market slows - BoE chief
07:09 , Graeme EvansThe Bank of England could make cuts to interest rates if the jobs market slows down, governor Andrew Bailey has said.
Businesses are “adjusting employment” as a result of the Chancellor’s decision to raise national insurance contributions for employers, Bailey told The Times.
In an interview with the newspaper, the governor also said the British economy was growing behind its potential.
The current Bank rate of 4.25%, which has a bearing on all lending in the UK – including mortgages – will be reviewed again on 7 August by the Bank’s Monetary Policy Committee.
“I really do believe the path is downward,” Mr Bailey told The Times.
He added: “But we continue to use the words ‘gradual and careful’ because… some people say to me ‘why are you cutting when inflation’s above target?’”
FTSE 100 seen flat, oil price above $70
07:02 , Graeme EvansGlobal markets are set for a subdued start to the week amid the latest tariffs uncertainty.
On Saturday, President Trump pledged to introduce 30% levies on imports from the European Union and Mexico from 1 August.
Leading Asia benchmarks are slightly higher but Wall Street futures are pointing to a weaker start later today.
On Friday, the FTSE 100 index closed a stronger week on the back foot by falling 0.4% or 34.54 points at 8941.12. It is seen opening broadly unchanged this morning.
Meanwhile, the price of oil is back above $70 a barrel after Brent Crude futures rallied by more than 2% on Friday.
