Closing summary
The oil price has turned positive after falling earlier, while spot gold is still down 1.2%.
The White House intends to issue an executive order “clarifying misinformation” about tariffs on gold bars and other specialty productions.
Gold futures hit a record high on Friday on news of US import tariffs on one-kilo bars of gold, according to a ruling on the US customs and border protection service’s website. The ruling referred to cast gold bars form Switzerland, the world’s biggest bullion refining and transit hub, which is now subject to Trump’s import tariffs of 39%.
Bitcoin and ethereum have risen, targeting all-time highs.
China said it hopes the United States will strive for “positive” trade outcomes, a day before a trade truce reached between the two countries last month is due to expire.
Wall Street has opened flat with chipmakers slipping after a deal to share some of their China revenues with the US government.
Britain’s biggest chemical plant is under threat, its owner Ineos has warned, as soaring energy costs have left it battling for survival.
The Olefins and Polymers plant at Grangemouth, in Scotland, which makes products used by hundreds of UK plastic companies, is at risk of closure unless there is a major turnaround in the next two years, Ineos said.
The Gravelines nuclear power plant in northern France has been shut down after a swarm of jellyfish entered the filter drums that pull in cooling water, according to its state-owned operator, EDF.
The plant in northern France is one of the largest in the country and cooled from a canal connected to the North Sea.
Four reactors were affected by the incident, which occurred late on Sunday and led to the entire plant being shut down. Reactors 2, 3 and 4 stopped automatically when the filter drums of the pumping stations became packed with a “massive and unpredictable” swarm of jellyfish, and reactor 6 went offline shortly after, EDF said.
Fabergé, the jeweller famed for its imperial Russian Easter eggs, has been sold to a technology investor in a $50m (£37m) deal.
Gemfields, which mines coloured gemstones in Africa, has agreed to sell Fabergé to SMG Capital, a US investment company controlled by the Russian tech backer Sergei Mosunov, who is based in the UK.
The struggling miner, which bought Fabergé in 2013 for $142m from the private equity company Pallinghurst, put the company up for sale in December, when political unrest in Mozambique prompted it to temporarily freeze operations at its ruby mine.
Thank you for reading. We’ll be back tomorrow. Bye! – JK
China says hopes US will strive for ’positive’ trade outcomes
China said it hopes the United States will strive for “positive” trade outcomes, a day before a trade truce reached between the two countries last month is due to expire.
We hope that the US will work with China to follow the important consensus reached during the phone call between the two heads of state... and strive for positive outcomes on the basis of equality, respect and mutual benefit,
foreign ministry spokesman Lin Jian said in a statement.
US-China 90-day truce expires on Tuesday
A 90-day pause on imposing higher US tariffs on China is due to expire on Tuesday and it is unclear if it will be extended.
After the most recent round of China-US trade talks, held last month in Stockholm, Chinese and US officials said they expected the deadline to be extended for another 90 days. So far there has been no formal announcement about whether Donald Trump will endorse an extension, or push ahead with the higher tariffs on Chinese imports.
The uncertainty has left businesses in limbo and is also weighing on financial markets. The US president has repeatedly shifted deadlines and tariff rates.
Treasury secretary Scott Bessent said Trump was deciding about another 90-day truce to allow time to work out details of an agreement setting tariffs on most products at 50%, including extra import duties related to illicit trade in the powerful opiate fentanyl.
Higher tariffs are aimed at offsetting America’s huge trade deficit with China, which hit a 21-year low in July as the threat of tariffs impacted Chinese exports.
It is rare for China to make announcements until major decisions are made.
In an interview with Fox News taped on Thursday and aired on Sunday, US vice president JD Vance said Trump was considering additional tariffs on Beijing because of China’s purchases of Russian oil. But he said Trump “hasn’t made any firm decisions”.
At the moment, imports from China are subject to a 10% baseline tariff and a 20% extra duty related to the fentanyl issue, while some products are taxed at higher rates. US exports to China are subject to tariffs of around 30%. Before the two sides called a truce, Trump had threatened to impose 245% import duties on Chinese goods. China retaliated by saying it would hike its tariff on US products to 125%.
After a phone call with Chinese leader Xi Jinping in June, Trump said he hoped to meet with Xi later this year. This is an incentive for striking a deal with Beijing.
If the two sides fail to extend their truce, trade tensions could escalate, inflicting more pain on both economies and rattling world markets. Businesses would hold off making investment commitments and hiring, while inflation would increase higher.
Companies are in an “extended wait-and-see mode,” Oxford Economics said in a recent report.
Wall Street flat as chip stocks dip on China sales deal
Wall Street stocks have opened flat, with chipmakers slipping the day before a key tariff deadline – after a policy shift that involves sharing a portion of revenue from China sales with the Trump administration.
Semiconductor giant Nvidia fell by 0.6%, while Advanced Micro Devices lost 0.4%.
A US official told Reuters the companies had agreed to give the US government 15% of revenue from sales of their advanced computer chips to China, days after the Commerce Department began issuing licenses for the sale of Nvidia’s H20 chips.
Bitcoin, ethereum target new all-time highs
Bitcoin has continued to rally, taking it close to a new all-time high, while other cryptocurrencies such ethereum have also made gains.
The world’s biggest cryptocurrency rose more than 3% as high as $122,319 today, close to the record of $123,218 set in mid-July. Ethereum rose to $4,323 over the weekend, its highest level since December 2021.
Bloomberg reports that large investors are buying – digital-asset treasury companies, firms such as Strategy that accumulate digital assets on their balance sheets — have gathered $113bn of bitcoin to date, the news agency reported, citing data from Coingecko. They have also stockpiled some $13bn of ethereum.
The gains come a few days after Donald Trump signed an executive order on Thursday that could open the door for retirement savers to invest in digital assets such as crypto. It would allow managers of 401(k) plans to offer crypto, private equity, real estate, and other alternative assets in their retirement funds.
Investment professionals have warned that this adds a new layer of risk to the retirement portfolios of ordinary investors that they may not fully grasp.
Christopher Bailey, director of retirement, at Cerulli Associates, an asset management research firm, has told Reuters:
This is brand new; none of it has been stress-tested yet [in a market shock or long-term selloff]
There are liquidity concerns, issues around fees, among others.
Petr Kozyakov, co-founder and chief executive at Mercuryo, a payment infrastructure platform in the digital token space, said:
Bitcoin is within touching distance of a new all-time high amid unrelenting institutional demand. While Ethereum is having its moment in the sun – with its price rising above $4,300 to its highest since December, 2021 – the Orange Pill narrative remains firmly in place.
Whether as a form of digital gold or as a borderless, tariff-free asset, the undisputed King of Crypto continues to be a driving force in the current rally.
Orange pill refers to bitcoin’s official colour and the process of introducing someone to the cryptocurrency.
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Owning big US technology stocks – the magnificent seven – has become the most popular trade again in financial markets, according to Bank of America’s monthly fund manager survey.
Upbeat company earnings and improved confidence about the world economy have brought investors back to stocks. Nearly half – 45% – of the 169 participants in August’s survey, who have $413bn in assets under management, said they thought the most crowded trade was “long Magnificent 7”.
This is a group of large US tech stocks, including Nvidia, Microsoft, Google owner Alphabet and Meta. Strong financial results have helped their shares bounce back since April, when they sold off amid worries about the impact of US trade tariffs.
Overall investor sentiment has improved, with just 5% of fund managers expecting a hard landing in the global economy, characterised by a sharp slowdown in growth.
The Entertainer founder to hand over UK’s biggest toy shop chain to staff
The family behind Britain’s biggest toy shop chain, The Entertainer, is handing over ownership of the business to its 1,900 employees.
The retailer, which also includes the Early Learning Centre and Addo brands, will be transferred into a trust by the end of September, with payments to the family coming out of future profits. The valuation of the company has not been revealed.
A newly created employee advisory board will have influence over the future direction of the group and staff will be rewarded through tax-free bonuses based on the amount of profit the business generates.
Founded in 1981 by Gary and Catherine Grant, The Entertainer has grown from one shop in Amersham, Buckinghamshire, to 160 stores and more than 1,000 concessions in the UK in other retailers including Tesco and Marks & Spencer. It also trades online and overseas.
Gary Grant, who ran the business for many years until he was replaced by the former John Lewis executive Andrew Murphy in 2023, is to step down as chair in September when the deal completes. Grant’s sons, who both work at The Entertainer, will also step away at that time. Murphy’s experience at the UK’s biggest employee-owned business is expected to help shape the future of The Entertainer.
Luxury jeweller Fabergé sold to tech investor in $50m deal
Here’s our full story on Fabergé, the jeweller famed for its imperial Russian Easter eggs, which has been sold to a technology investor in a $50m (£37m) deal.
Gemfields, which mines coloured gemstones in Africa, has agreed to sell Fabergé to SMG Capital, a US investment company controlled by the Russian tech backer Sergei Mosunov, who is based in the UK.
The struggling miner, which bought Fabergé in 2013 for $142m from the private equity company Pallinghurst, put the company up for sale in December, when political unrest in Mozambique prompted it to temporarily freeze operations at its ruby mine.
Fabergé, which was founded in 1842 and taken over and transformed by Peter Carl Fabergé in 1882, is one of the most renowned jewellers in the world but has come under pressure amid a downturn in the luxury goods market. It made revenues of $13.4m in 2024, down from $15.7m the previous year.
Sean Gilbertson, the chief executive of Gemfields, described the deal as “the end of an era”.
He said:
Fabergé has played a key role in raising the profile of the coloured gemstones mined by Gemfields and we will certainly miss its marketing leverage and star power.
Mosunov, a venture capitalist and startup investor, said it was a “great honour … to become the custodian of such an outstanding and globally recognised brand”. Mosunov is a Russian national based in the UK.
“Fabergé’s unique heritage, with ties to Russia, England, France and the USA, opens significant opportunities for further strengthening its position in the global luxury market and expanding its international presence,” he said.
Ørsted blames Trump for derailing business model
Europe’s largest wind power company has blamed Donald Trump for derailing its business model, after its market value plunged by almost a third.
The share price for Denmark’s Ørsted tumbled to an all-time low after it told investors on Monday that the “extraordinary situation” facing the industry meant it would need to raise around $9bn to cover the costs of its business plans.
It said that “recent material developments in the US” meant it was unable to raise the money required by selling a stake in its new project off the eastern seaboard of the US, as planned.
The company behind some of the world’s biggest offshore wind farms typically covers its costs by selling a stake in each project once work is underway – however, the president’s hardline stance against offshore wind has dashed the values of its US projects.
While the Biden administration was supportive of the burgeoning offshore wind sector, Trump sent shivers through the industry by ordering a review of offshore wind permitting and leasing on his first day back in the White House in January.
The review dealt a blow to an industry still reeling from a surge in costs driven by supply chain problems following the pandemic, and fast-rising interest rates which have made building new projects far more expensive.
Trump has a long-held dislike of offshore wind farms which dates back at least 14 years to a spat over North Sea wind turbines which were visible from one of his golf courses in Scotland. He has recently claimed that wind farms should not be allowed because they generate “the worst form of energy, the most expensive form of energy” and also “kill the birds”. These claims have been refuted by experts.
Fat Cat Files: AZ CEO Soriot in third place behind Melrose bosses
Over the weekend, it emerged that Pascal Soriot, boss of Britain’s biggest drugmaker AstraZeneca, has slipped to third place in Business Matters’ FTSE 100 highest-paid CEO list, known as the Fat Cat Files.
Previously the highest-paid chief executive of a top-listed UK company for most of the past five years, Soriot has fallen behind Melrose Industries’ chief executive Peter Dilnot and his predecessor Simon Peckham at the aerospace engineering firm, who shared £100m in private equity-style pay packets.
Dilnot, 55, a former helicopter pilot, received a £45m annual pay package last year. He and three other executives benefited from a combined £208m payout from a share scheme after they hit their performance targets – one of the the largest payouts ever in British boardrooms.
The total paid to FTSE 100 boss last year topped £500m for the first time, with top executives getting an average of £5.5m each, up 11% on the previous year. Their earnings grew at more than twice the rate of the national average, and Melrose overtook Tesco as the company with the biggest gap between its boss and a typical worker.
Soriot’s pay fell to £14.7m from £16.9m the year before. This year his package could go up to £25m, depending on targets being met and a rise in the share price.
Swarm of jellyfish shuts French nuclear power station
Four reactors at France’s Gravelines nuclear power station were shut down late on Sunday when the filter drums of the pumping stations that pull in cooling water became packed with a swam of jellyfish.
The operator, the electricity company EDF, which is owned by the French government, said reactors 2, 3, and 4 stopped automatically when a “massive and unpredictable” swarm of jellyfish showed up, and reactor 6 went offline shortly after.
The plant in northern France is one of the largest in the country and is cooled from a canal connected to the North Sea. Its six units produce 900 megawatts of power each, and 5.4 gigawatts in total.
The entire nuclear station has now temporarily halted production as the other two units are offline for planned maintenance. Safety of the facilities, staff or the environment has not been affected, EDF said.
The North Sea is home to several species of jellyfish, and they are often seen along the coast in the summer when the waters are warm.
Updated
Average private rent in Great Britain falls for first time in five years
Average private rents in Great Britain have fallen for the first time in five years as lower mortgage rates helped take some of the heat out of the rental sector, data shows.
Years of above-inflation increases in rents have put the squeeze on many households but the estate agent Hamptons said the average rent on a newly let property fell by 0.2% year on year in July. It was the first annual decline since August 2020, during the height of the Covid pandemic – although this national figure masks wide regional variations.
Rents have risen in recent years owing to a combination of factors. These include demand for rental properties outstripping supply, the pandemic and its fallout affecting how many people live and work, and buy-to-let landlords passing on increases in their costs caused by higher interest rates.
UK firms’ hiring intentions remain at record low amid rising employment costs
Hiring intentions among Britain’s businesses remain at a record low as they grapple with rising employment costs and worry about the economic outlook, with young people hit hardest by the drop in recruitment.
Three separate surveys issued on Monday painted a gloomy picture on hiring activity, pay and business confidence, with claims that bosses were “stuck in limbo” and waiting for greater clarity in the autumn budget.
Only 57% of private sector employers plan to recruit staff in the next three months – down from 65% in autumn 2024 as they deal with the combined £25bn rise in employer national insurance contributions (NICs) that took effect in April and other rising costs, according to the Chartered Institute of Personnel and Development (CIPD).
Another report, from KPMG and the Recruitment and Employment Confederation (REC), showed that recruitment across the UK fell sharply in July, for permanent and temporary jobs. This was often linked to employers’ gloomy outlook, and increased pressure on recruitment budgets.
UK toy sales rise as nostalgic adults turn to Pokémon and Lego
UK toy sales have bounced back as adults increasingly muscle in on the market, snapping up everything from Pokémon trading cards and Lego sets to collectibles and action figures based on movie and TV franchises.
After falling almost 4% in 2024, UK toy sales have risen 8% so far this year, in line with the “strong rebound” enjoyed by the global market, data shows.
While the fortunes of the UK toy industry have for some time been linked to a growing army of “kidults” (buyers aged 12 and over), it is over-18s who appear to have driven the increase in sales in the first half of 2025, data from the market research company Circana suggests.
The firm said that in the UK the fastest growth was in games and puzzles, including Pokémon cards. These are enjoying a fresh wave of popularity among nostalgic adults, helped by social media influencers brandishing their rare finds. Building sets from companies such as of Lego were also flying off the shelves, as were action figures and collectibles.
UK and European shares have made modest gains this morning. The FTSE 100 index is 0.2% ahead at 9,112, up by 16 points.
“The FTSE 100 made a decent start to the trading week as some recent laggards attracted attention from bargain hunters,” says AJ Bell investment director Russ Mould.
The market seems very relaxed ahead of tomorrow’s deadline on US-China trade talks, reflecting the assumption an extension is in the offing and a deal will eventually be reached. While the mood music between Beijing and Washington has improved, there is some risk investors’ confidence proves misplaced.
Inflation, retail sales and industrial production data should offer insight into the health of the US economy after weak jobs figures at the start of August raised the spectre of recession.
Gold prices lost some of their lustre on suggestions the Trump administration might not put tariffs on gold bars after all.
In the UK, employment data will be closely monitored on Tuesday after last week’s Bank of England meeting where the decision to cut rates was unexpectedly on a knife edge and policymakers adopted a hawkish tone.
Martin Sorrell’s digital advertising vehicle S4 Capital confirmed merger talks with private equity – potentially providing a full stop on a buy-and-build venture which has struggled to gain traction after initially generating excitement. The shares are now worth a fraction of what they were at their 2021 peak.
Britain's biggest chemical plant at risk of closure – report
Britain’s biggest chemical plant is under threat, its owner Ineos has warned, as soaring energy costs have left it battling for survival.
The Olefins and Polymers plant at Grangemouth, in Scotland, which makes products used by hundreds of UK plastic companies, is at risk of closure unless there is a major turnaround in the next two years, Ineos said.
Stuart Collings, who runs the factory, told The Telegraph the site had been hit by higher energy prices and carbon taxes on UK manufacturers, leading to years of financial losses and casting doubt over its future.
He said:
Unless there is a significant turnaround in the next couple of years, then Ineos will have to make a very difficult decision about the future of Grangemouth.
Ineos has had to effectively subsidise the Grangemouth business from profits it makes on other businesses around the world, and has done that for a number of years. That’s the only way we’ve been able to survive.
The plant’s closure would deliver another major blow to Grangemouth after Ineos shut an oil refinery earlier this year with the loss of 400 jobs at the refinery, and up to 5,000 more among its supply chain and contractors.
Sorrell's S4 Capital in early talks to buy MSQ
Martin Sorrell’s advertising group S4 Capital is in early talks to acquire the rival ad agency MSQ Partners – news that sent its shares as much as 14% higher.
S4 Capital shares are now up 8.4%, valuing the business at £142.7m, but have slumped by 98% since their peak in September 2021 when the company was worth £5bn.
Sorrell, who set up S4 in 2018 following his departure from WPP, said any deal would see it acquire MSQ from its US private equity owners, One Equity Partners. The talks are at a “very preliminary stage” and there is no certainty a deal will be concluded, S4 added.
S4 has been hit by clients cutting marketing spending amid Donald Trump’s tariffs, and a shift towards AI-driven marketing. It lowered its revenue forecast in June as advertising firms face rising pressure to adapt or risk losing major accounts.
Sorrell, who built WPP into the world’s biggest advertising agency during 33 years of dealmaking, was the longest-serving FTSE 100 boss when he quit the ad group in April 2018 after alleged personal misconduct, which he denied.
Teaming up with MSQ would give S4 access to a broader client base spanning the finance, healthcare, and consumer goods sectors. MSQ has more than 250 clients including Unilever, Haleon, P&G and Lego. S4’s clients include Google-parent Alphabet, Amazon and Meta.
The deal discussions were first reported by Sky News on Saturday.
Oxford Nanopore boss to leave in 2026 after 20 years at helm
Gordon Sanghera, chief executive and co-founder of Oxford Nanopore, which develops and sells DNA/RNA sequencing devices, is stepping down.
He is due to leave by the end of 2026, after more than 20 years in the role.
The company’s FTSE 250-listed share price dropped by 2.4%.
A spinout from Oxford University, it produces devices used to identify viruses and spot variants in the genetic makeup of humans, animals and plants. Founded in 2005 by three scientists who met at Oxford University, the company grew out of research by Hagan Bayley, one of the trio, and launched the MinION 10 years later, the world’s first portable sequencing device.
Bayley researched how a tiny hole, or nanopore, in a protein can be used to identify the molecules in DNA that pass through it, in a process compared by Sanghera to “sucking spaghetti really fast”.
I met Sanghera in 2022 for a long chat and a tour of the factory.
Duncan Tatton-Brown, the firm’s chair, paid tribute to Sanghera.
Two decades ago, Gordon co-founded Oxford Nanopore with the bold ambition to transform molecular analysis. He has since led the company’s growth into a global business, built a highly differentiated technology platform and fostered a culture of innovation and collaboration that underpins its success.
These foundations have supported sustained, above-market growth and position Oxford Nanopore well for the future.
Sanghera said “this will be the right time for me to pass the reins to a new leader” and that this would give the board “ample time to identify a successor to ensure a smooth transition”.
Updated
European stocks rise ahead of US-Russia talks on Ukraine
European stocks have risen cautiously, while oil and gold prices have fallen further, amid optimism over a potential Ukraine peace deal – ahead of talks between Donald Trump and Vladimir Putin in Alaska at the end of the week.
The FTSE 100 index has turned positive and is trading by 0.3% higher 9,124.
Germany’s Dax and France’s CAC have both edged up nearly 0.2%, while Italy’s FTSE MiB rose by 0.45%.
Brent crude has lost nearly 0.9% to $65.99 a barrel, while spot gold has fallen by 1% after Friday’s rally.
Updated
Introduction: Oil and gold prices retreat on Ukraine optimism; Fabergé sold to US investment firm
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
Oil and gold prices have retreated amid optimism that there could be progress on Ukraine.
Brent crude is trading 0.7% lower at $66.13 a barrel, while spot gold has fallen by 0.9% to $3,369 an ounce.
Donald Trump said last Friday that he will meet Russian president Vladimir Putin this Friday in Alaska to negotiate an end to the war in Ukraine.
Gold prices slipped as the dollar strengthened and some investors took profits after Friday’s rally.
The White House plans to clarify what an official called misinformation about import tariffs for gold bars, which prompted some industry players to stop deliveries of bullion to the US.
Gold futures hit a record high on Friday on news of US import tariffs on one-kilo bars of gold, according to a ruling on the US customs and border protection service’s website. The ruling referred to cast gold bars form Switzerland, the world’s biggest bullion refining and transit hub, which is now subject to Trump’s import tariffs of 39%.
The White House intends to issue an executive order “clarifying misinformation” about tariffs on gold bars and other specialty productions, an official told Reuters.
It is unclear whether one-kilo and 100 ounce gold bars are classified under a customs code that is subject to higher tariffs.
The owner of Fabergé has sold the luxury brand to the US investment firm SMG Capital for $50m, months after the firm was rocked by protests in Mozambique.
Gemfields, a miner of coloured gemstones, said it has signed an agreement to sell its entire stake in Fabergé to SMG, which is controlled by the technology investor Sergei Mosunov. Fabergé sells jewellery and objets d’art.
Gemfields put the company up for sale in late December, when it faced violent unrest at its ruby mine in Mozambique following disputed election results, which forced it to temporarily pause mining operations.
Fabergé is known for its jewelled Easter eggs. It first created 50 Easter eggs for the Russian imperial family between 1885 and 1916 when the company was run by Peter Carl Fabergé.
The brand dates back to 1882 when Fabergé – who was from a French Huguenot family that had fled to Livonia, now Estonia, and also had links to Dresden – took over his father’s jewellery business in St Petersburg and with his brother Agathon turned it into an international success story.
Asian stocks edged higher amid upbeat financial results from companies. Japan’s stock market is closed for a holiday but Nikkei futures rose, raising hopes of a new all-time high this week. China’s Shenzhen exchange posted a 1.4% gain while the Hong Kong market crept 0.08% higher and Taiwanese shares rose by 0.5%.
US tariffs on China are due to come in tomorrow but the 90-day truce could get extended again. Investors are also eagerly awaiting the latest US inflation data, out tomorrow.
In London, the FTSE 100 index dipped by 0.2% at the open to 9,117.
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