Yahoo Finance Train drivers offered 8pc pay rise to break strike deadlock
Train drivers have been offered an 8pc pay rise to break the rail strike deadlock.
Operators this afternoon wrote to drivers’ union Aslef offering their members a 4pc backdated pay rise for 2022 and a 4pc increase for 2023.
It would take the average train driver salary from £60,000 to £65,000.
The offer, which has been signed off by the Department for Transport, comes with strings attached, however.
They will be required to be available to work on Sundays - an especially important requirement as passenger numbers on Sundays are already well ahead pre-pandemic levels.
More than 10,000 train drivers went on strike on Thursday, causing the most significant disruption to rail services since the start of the worst industrial dispute on the train network for a generation.
Aslef has not yet responded to the offer.
Read the latest updates below.
06:14 PM
Wrapping up
That's all from us today, we shall see you on Monday! Before you go, have a look at the latest stories from our reporters:
British Airways unveils new jumpsuit uniform for cabin crew
Royal Mail strikes lead to surge in returned Christmas presents
First rocket launch from UK soil expected within days
Bet365 tycoon handed one of Britain’s biggest ever paydays
Wind power hits record as turbines deliver over a quarter of UK electricity in 2022
06:04 PM
Citi chooses Dublin as new European headquarters
Citigroup’s new European headquarters will be Dublin docklands, according to Bloomberg.
The lender has agreed a deal with Johnny Ronan’s Ronan Group Real Estate for 300,000 square feet in Dublin’s north docklands area for around €100m.
Dublin is also the headquarters for Citibank Europe, which has branches in countries across Europe. The bank put its existing Dublin office of more than 20 years up for sale last year.
05:45 PM
Ambulance workers will strike at the end of the month
British ambulance workers will go on strike on 23 January in an ongoing dispute over pay, the Unite union said on Friday.
The union said over 2,600 ambulance workers in the West Midlands, North West, North East, East Midlands and Wales will take strike action in late January.
The strike will coincide with a walkout by ambulance workers that are part of the Unison union on 23 January.
Unite's general secretary Sharon Graham said ambulance workers had been left with no option and blamed the Government for its failure to intervene.
British Prime Minister Rishi Sunak said he was hoping for constructive talks with trade union leaders next week and wanted to have "to have a grown up, honest conversation".
05:18 PM
US lean toward smaller rate hike as wage growth cools
The Federal Reserve is expected not to raise interest rates as aggressively after wage growth cooled in December.
US average hourly earnings rose by 0.3pc in December from a month earlier and by 4.6pc from December 2021 - both less than expected.
Job growth remained solid and the unemployment rate declined to 3.5pc from 3.6pc.
Fed officials raised rates by 50 basis points in December, moderating their pace of increases after four straight 75 basis-point moves, while signalling they expect to keep hiking in 2023.
05:03 PM
China in talks with Pfizer to create generic Covid drug
China is in talks with Pfizer to secure a license that will allow domestic drugmakers to manufacture a generic version of the company’s Covid antiviral drug Paxlovid in China, according to Reuters.
China's medical products regulator, the National Medical Products Administration has been leading the talks with Pfizer since late last month.
Beijing hopes to finalise the terms before the Lunar New Year on 22 January.
Chinese hospitals are under intense pressure after the Government abandoned its zero-Covid policy last month.
In February last year China approved Paxlovid, which was supposed to be largely available via hospitals, to treat high-risk patients in several provinces.
04:38 PM
President Joe Biden praises lowest jobless rate in 50 years
Joe Biden has praised the latest US Government data which showed that the country’s unemployment rate fell to its lowest levels in 50 years.
The president said: “Today’s report is great news for our economy and more evidence that my economic plan is working.”
In a statement on Friday Mr Biden said: “The unemployment rate is the lowest in 50 years. We have just finished the two strongest years of job growth in history. And we are seeing a transition to steady and stable growth that I have been talking about for months.”
The report also showed a cooling in wage growth as earnings only rose by 0.3pc from the month before.
Mr Biden added: “We still have work to do to bring down inflation, and help American families feeling the cost of living squeeze. But we are moving in the right direction.”
04:00 PM
Handing over
Ok, that's your lot from me this week. My colleague Riya Makwana will guide you through to the weekend.
03:57 PM
FTSE 100 pushes to three-year high after US jobs data
The FTSE 100 has pushed to a three year high after US jobs data increased the chances that the US Federal Reserve will slow down the pace of its interest rate rises.
The latest data showed non-farm payrolls increased 223,000 last month, surpassing estimates. The unemployment rate came in at 3.5pc.
However, average hourly earnings rose 0.3pc from a month earlier and 4.6pc from December 2021 after a downward revision to November.
That slowdown in wage growth gave traders hope that the US Federal Reserve will believe inflation will continue to ease.
The FTSE 100 is up 0.7pc today to 7,690, its highest level since July 2019.
The market was also lifted by a 1.7pc rise in Shell's share price as it said its gas trading results for the last three months of 2022 are expected to be "significantly higher" than in the previous quarter.
03:36 PM
Germany tells Musk it expects Twitter to fight disinformation
Germany's digital minister has told Elon Musk he expects Twitter to voluntarily comply with commitments to fight disinformation.
Digital and Transport Minister Volker Wissing, who was in California at the start of 2023, met Mr Musk to clarify what Berlin expects from the social network following the Tesla chief executive's takeover in November.
A spokesperson for the ministry said Mr Wissing told Mr Musk he expects Twitter to adhere in future to the Digital Services Act, agreed by the European Union's 27 member states and lawmakers in April 2022.
It requires online platforms to do more to police the internet for illegal content.
03:17 PM
Mick Lynch admits public support for strikes has 'taken a dent'
RMT general secretary Mick Lynch has said that public support for their strike action has "taken a dent" but is still "very good".
Mr Lynch was speaking on the third of four days of walkouts by his union this week.
The drivers union Aslef also took industrial action on Thursday, meaning passengers will have been hit by five consecutive days of strikes.
Speaking from the picket line at Euston station, Mr Lynch told the PA news agency: "We've had four weeks of continuous action in this latest phase.
"We've taken a little bit of a dent in public opinion, but it's very high. It's up in the mid-40s - 45pc I think is the latest poll - that's a very good score in the middle of industrial action.
"We expect that to come back as people get over this latest phase.
"Our numbers are at record highs for an industrial action campaign. As they are for the nurses, and the teachers, and the posties, and everyone else."
02:53 PM
Oil pulls back after week of losses
Oil prices has pared back its losses for the week as US employment figures allayed some concerns of a major hit to global consumption this year.
Brent crude, the international benchmark, had tipped back above $80 a barrel but has fallen back to gains of 1.3pc.
US-produced West Texas Intermediate is up 1.2pc to near $75 but remained down almost 7pc this week.
02:33 PM
US markets jump at the bell
Wall Street stocks enjoyed a bounce at the opening bell as figures showed hourly wage growth slowed in the US, boosting hopes interest rate rises may also slow.
The Dow Jones Industrial Average was up 0.8pc to 33,193, the broad-based S&P 500 jumped 0.7pc to 3,832.
The tech-heavy Nasdaq Composite is up 1pc to 10,401.
02:09 PM
Wall Street expected to surge at the open
US stock futures soared as traders cheered a slowdown in hourly wage growth, which could potentially pave the path for the Federal Reserve to slow its rate hikes.
Contracts on the S&P 500 and the Nasdaq 100 rose more than 1pc each, as data showing wages cooling outweighed an otherwise robust hiring report.
Nonfarm payrolls increased 223,000 last month, surpassing estimates. The unemployment rate came in at 3.5pc.
Average hourly earnings rose 0.3pc from a month earlier and 4.6pc from December 2021 after a downward revision to November.
The deceleration is likely welcome news for Fed officials, who see wage pressures, particularly in the service sector, as a key hurdle to achieving their 2pc inflation goal.
Stocks are surging, which really speaks to the centrality of wages in everyone's thinking. pic.twitter.com/NvBQTni2Qe
— Joe Weisenthal (@TheStalwart) January 6, 2023
02:03 PM
Pound spikes against the dollar
The pound has jumped by 0.4pc within 30 minutes since the US payrolls data was released showing growth in new jobs slowed in December.
Sterling is now up on the day by 0.1pc against the dollar to put it back above $1.19.
01:53 PM
FTSE 100 rises after US jobs data
The internationally-focused FTSE 100 appears to like the US jobs growth figures.
The UK's blue-chip index is up 0.6pc on the day after a spike shortly after the labour data was released.
The midcap FTSE 250 has bounced on the news to be up 0.1pc after spending most of the day in negative territory.
01:49 PM
US hiring stays brisk as employers add 223,000 jobs
To recap then, America's employers added a solid 223,000 jobs in December, evidence that the economy remains healthy.
However, it is also a sign that the Federal Reserve may still have to raise interest rates aggressively to slow growth and cool inflation.
The December job growth, though a decent gain, amounted to the lowest monthly increase in two years. The unemployment rate remained fell to 3.5pc, matching a 53-year low, the Labor Department said today.
Last month's job growth capped a second straight year of robust hiring during which the nation regained all 22 million jobs it lost to the Covid-19 pandemic.
Yet the rapid hiring and the hefty pay raises that accompanied it likely contributed to a spike in prices that catapulted inflation to its highest level in 40 years.
The picture for 2023 is much cloudier. Many economists foresee a recession in the second half of the year, a consequence of the Fed's succession of sharp rate hikes. The central bank's officials have projected that those increases will cause the unemployment rate to reach 4.6pc by year's end.
Big-picture: Job growth is slowing (which is what we'd expect) but remains solid. If you set aside that big July figure, we've seen a steady, gradual step down since early 2021. pic.twitter.com/h0FAwLkWQ9
— Ben Casselman (@bencasselman) January 6, 2023
01:43 PM
Investors digest 'Goldilocks' US labour market data
The watchword appears to be "Goldilocks" after the latest US jobs figures, which appear to be "not too hot, not too cold" for investors.
There have not been big moves in the markets so far, as investors work out what the falling number of people on US payrolls mean.
The US economy maintained a strong pace of job growth in December, with the unemployment rate falling to 3.5pc, but higher borrowing costs as the Federal Reserve fights inflation could see the labor market momentum slowing significantly by mid-year.
Nonfarm payrolls increased 223,000 last month, the Labor Department said in its closely watched employment report.
Data for November was revised lower to show 256,000 jobs added instead of 263,000 as previously reported.
'Goldilocks' jobs report - job creation remains strong, unemployment falls 0.2pp on the month to 3.5%, while earnings pressures ease with AHE +0.3% MoM; enough to allay slowdown fears, not enough to kick the Fed into a more hawkish gear
— Michael Brown (@MrMBrown) January 6, 2023
Seems initially like a goldilocksy number for the market. No obvious sign of job market weakness. But enough deceleration in wages to maybe make the Fed happy.
— Joe Weisenthal (@TheStalwart) January 6, 2023
🇺🇸December #Jobsreport: "Goldilocks"
🟢Payrolls +223k
🟢Private +220k
▶️Goods +40k
▶️Services +180k
🟢Gov +3k
🟡Revisions: -28 k
✅#Unemployment 3.5% (-0.2pt)
❌Participation rate 62.3% (+0.1pt)
⚠️Wages +0.3% m/m (& Nov +0.4%)
⚠️Wage growth easing 0.2pt to 4.6% pic.twitter.com/kU88LZZiFO— Gregory Daco (@GregDaco) January 6, 2023
01:35 PM
US jobs figures higher than expected
The US labour market cooled slightly with the growth of people on payrolls falling by 40,000 in December.
However, the news that the growth in the number of people on nonfarm payrolls slipped back to 223,000 is unlikely to give a boost to stock markets, after economists forecast the figure would be closed to 203,000.
The unemployment rate also fell to 3.5pc from 3.7pc, showing that the labour market remains tight.
It is likely to increase pressure on the US Federal Reserve to continue its aggressive pace of interest rate rises in a bid to curb inflation.
01:08 PM
Bet365 tycoon handed one of Britain’s biggest ever paydays
The billionaire gambling tycoon Denise Coates was handed one of Britain’s biggest ever paydays again last year despite a fall in profits at her betting empire.
Chief business correspondent Oliver Gill has the details:
Denise Coates was paid £213m of salary and a £45m dividend in the year to March 2022 by her company Bet365, which she set up in a Portakabin in Stoke-on-Trent two decades ago.
Ms Coates’ salary was down from £250m the year before, after the business piled money into international expansion instead of taking it as profit.
It is the second year that the amount paid to Ms Coates, bet365 chief executive and one of Britain’s richest women, has fallen. She was given a salary of £421m in the year to March 2020.
Bet365, believed to be the biggest employer in the Coates family's native Stoke, lays claim to be "the largest mobile sports wagering brand in the world". The company now employs more than 6,000 people.
Read how Bet365 and the Coates family rank among Britain's biggest taxpayers.
12:46 PM
Treasury to slash energy bills support package for businesses by 85pc
Businesses face a stark drop in support with energy bills from April with the Treasury planning to slash the budget to a seventh of what it was, The Telegraph can reveal.
Political editor Ben Riley-Smith has the exclusive:
Number 10 and Number 11 have agreed to abandon the cap on the cost of gas and electricity for companies from the spring, replacing it instead with a discount.
The Treasury had set aside £18 billion to protect firms from energy price rises over a six-month period this winter, lasting from the start of last October to the end of March.
But The Telegraph has learned that the budget for protecting energy bills for the next 12 months after that, including next winter, is due to fall to just around £5 billion.
That drop - from £18 billion per six months to £2.5 billion per six months - amounts to a fall of around 85 per cent in the overall size of the energy bills support package for businesses.
Read how the Treasury will defend the reduction.
12:29 PM
UK hit wind power record in 2022, data show
Britain's wind farms contributed a record 26.8pc of the country's electricity last year although gas-fired power plants remained the biggest source of power, National Grid data show.
The figures will be a boost for ministers as Britain aims to reach net zero emissions by 2050 which will require a huge scale-up of renewable power generation such as wind and solar.
The share of wind power in Britain's electricity mix last year was up from 21.8pc in 2021, the data showed, as more wind projects came online.
The world's largest offshore wind farm, Hornsea 2 off the Yorkshire coast in the North Sea, became fully operational in August.
The wind farm can generate enough electricity to power around 1.4 million homes.
Gas-fired power plants produced 38.5pc of Britain's electricity last year, up from 37.8pc in 2021, the data showed.
12:10 PM
Crypto exchange Huobi to cut 20pc of workforce
Crypto exchange Huobi is planning to lay off 20pc of its workforce, as a months-long rout in digital asset prices continues to disrupt many of the industry's largest companies.
Singapore-based Huobi expects to maintain "a very lean team" going forward due to the ongoing bear market, the company said in a statement on Friday.
Huobi's exchange token HT fell as much as 9pc today according to data from CoinGecko, while larger cryptocurrencies Bitcoin and Ether were little changed.
The exchange's planned layofs make Huobi the latest crypto company to reduce staff.
Genesis said on Thursday that it had laid off more than 60 employees in its latest round of job cuts, amounting to roughly 30% of the troubled crypto brokerage's workforce.
Meanwhile, crypto-focused bank Silvergate announced it was cutting 40pc of its staff after a run on deposits in the wake of the collapse of FTX.
11:49 AM
US markets expected to make lacklustre open
Wall Street is poised for a muted open with all eyes on the jobs data due later in the day for further clues on how aggressive the Federal Reserve will be with its monetary policy tightening.
The Labor Department's more comprehensive jobs report due at 1.30pm UK time is expected to show nonfarm payrolls rose by 200,000 in December, less than the increase in November, while the unemployment rate was likely to remain unchanged at 3.7pc in the last month.
Wall Street's main indexes lost more than 1pc in the previous session as evidence of a tight labour market eroded hopes that the Fed could pause its rate hiking cycle anytime soon as it remains focused on inflation.
Futures contracts on the Dow Jones Industrial Average were up 0.1pc, the S&P 500 looks flat and Nasdaq 100 contracts were down 0.1pc.
Tesla dropped 4.7pc in premarket trading after the company cut electric-car prices in China for the second time in less than three months.
11:28 AM
Pound continues falls ahead of US jobs data
The pound has fallen to its lowest level since mid-November as investors braced for US jobs data due later today that will help chart the path forward for Federal Reserve monetary tightening.
Sterling has slumped by 0.4pc today as it headed towards $1.18.
Data this week has suggested the US labour market has held up more strongly than hoped, raising the prospect of the US Federal Reserve continuing to increase interest rates in a bid to tame inflation.
11:09 AM
PM hopes to 'find a way through' pay talks with unions
Rishi Sunak has said he is "hopeful" that talks with union leaders can be "constructive" and "we can find a way through this".
The Prime Minister was asked whether the incoming talks with union leaders will include discussions about "this year's pay" during a visit to a school in London. Mr Sunak told broadcasters:
What we've said is we want to have a grown-up, honest conversation with all union leaders about what is responsible, what is reasonable and what is affordable for our country when it comes to pay.
We think those conversations should happen. That's why we've invited everyone in to have those talks on Monday and I'm hopeful that those talks can be constructive and we can find a way through this.
10:57 AM
UK's first space rocket launch date confirmed
The UK's first space rocket mission has been scheduled for Monday in what will be the first time an orbital satellite has ever set off for release into space from western Europe.
Virgin Orbit confirmed the plan today, which will use a modified Boeing 747 with a rocket attached under its wing.
Once in flight, the rocket will set off, taking small satellites from seven customers into orbit in space, in what is known as a horizontal launch.
The mission has been given a window for take-off from 10.16pm on Monday but that is dependent on the weather plus other scheduling and system issues, and Virgin Orbit said there are back-up dates in mid and late January.
A successful rehearsal for the launch was held on Thursday, the company said in its statement.
10:35 AM
Eurozone inflation falls more than expected
The eurozone annual inflation rate fell for a second month in a row to 9.2pc in December, the first drop into single digits since September, the EU statistics agency said today.
Boosted by a slowdown in the rate of energy prices rises, inflation fell last month from 10.1pc in November.
Consumer prices had reached a record 10.6pc in October, five times higher than the European Central Bank's target.
Analysts had expected the inflation rate in the single currency area to drop again but the fall was larger than predicted by Bloomberg and FactSet, which foresaw 9.5pc and 9.7pc respectively.
Energy costs rose 25.7pc in December compared to 34.9pc a month earlier. Food and drink costs also rose.
Core inflation continues to trend up on a year-on-year basis, but seasonally adjusted month-on-month developments suggest a downward trend since September. This is encouraging although the ECB braces for Jan and Feb price increases. pic.twitter.com/84rf19vmDp
— Bert Colijn (@BertColijn) January 6, 2023
10:27 AM
Construction sector 'pessimistic' about incoming work this year
Lewis Cooper, economist at S&P Global Market Intelligence, said the construction sector had suffered the largest cutbacks in work since the early stages of the pandemic. He said
The UK's construction sector registered a relatively poor finish to 2022, with business activity falling into decline following a three-month growth sequence amid the fastest contraction in new work since the initial pandemic period in May 2020.
Companies cited weak client demand, driven partly by higher prices amid ongoing inflationary pressures.
The challenging environment in December was subsequently reflected in pessimism amongst firms towards activity levels over the coming year, with business confidence downbeat for only the sixth time since the survey began in April 1997.
09:58 AM
Construction sector confidence falters
Britain's construction industry became more pessimistic in December as soaring inflation and slowing orders cut output for the first time in four months.
S&P Global Market Intelligence said its measure of output from a survey of purchasing managers dropped to 48.8 last month from 50.4 the month before. Readings under 50 indicate a contraction.
A measure of confidence was downbeat for only the sixth time since records began in 1997.
The figures indicate the headwinds facing British businesses with inflation lingering near a four-decade high and the economy slipping into a recession that the Bank of England says could last until 2024.
Construction companies allowed staffing levels to decline for the first time since early 2021, when coronavirus lockdowns were in place.
Lewis Cooper, an economist at S&P Global, said: "Companies are preparing to face significant challenges in the months ahead."
New orders declined last month after an increase in November. Survey respondents blamed weak client demand and higher prices.
🇬🇧 UK #construction activity fell for the first time since August, as the #PMI reaches 48.8 in Dec (Nov: 50.4) amid contractions in residential and civil engineering sectors. Firms gave a negative outlook for only the 6th time in the survey's history: https://t.co/ZynRTq3tBW pic.twitter.com/38V8uWQw9z
— S&P Global PMI™ (@SPGlobalPMI) January 6, 2023
09:40 AM
German factory orders plunge in November
German industrial orders fell sharply in November to hit their lowest level in more than two years, official data showed today, as the war in Ukraine took a toll.
New orders, which provide a foretaste of industrial output in Europe's largest economy, sank 5.3pc compared to the previous month to the weakest level since July 2020, federal statistics agency Destatis said.
"The data shows that industry is going through a tough winter, although companies' business expectations recently improved," the economy ministry said in a statement.
The plunge came after a slight rebound in October and continues a downward trend seen since the Russian invasion of Ukraine last February.
09:10 AM
Gas prices on track for fourth weekly decline
Natural gas prices in Europe are headed for a fourth weekly loss, as unseasonably warm weather reduces demand for heating and eases the energy crisis.
Benchmark futures are set for a 4pc drop this week, even as prices fluctuated today.
Mild temperatures are likely to continue next week, with much warmer-than-average weather forecast France and Germany, according to Maxar Technologies.
Energy costs have been a key driver of inflation, and unexpectedly low demand is easing the burden on consumers and sparking optimism among European authorities.
After record prices last year and fears that governments would have to resort to rationing, the mild winter is a gift that is helping the region keep inventories at healthy levels.
European stockpiles are 83pc full — above the five-year seasonal norm for this time of year —with some nations even sending gas into storage in recent days. In Germany, the region’s largest economy, that level is almost 91%, according to Gas Infrastructure Europe.
Dutch front-month futures, the international benchmark, rose 1.1pc to €73.20 per megawatt-hour this morning, after slumping in earlier trading. The UK equivalent contract edged higher.
09:00 AM
Tesla 40pc cheaper in China than US after price cuts
Tesla made another round of price cuts on its Model 3 and Y electric vehicles in China today.
However, it also introduced its higher-end Model S sedan and Model X to get a better hold on the premium end of the world's biggest EV market.
The starting price for its locally-built Model Y sports utility vehicle has been slashed to a record low of 259,900 yuan (£31,891) from 288,900 yuan, according to the company's Chinese website.
That standard range, rear-wheel drive version costs 43pc less than the most basic Model Y available in the US, which has a longer range and is all-wheel drive. Today's price cut lowers the Model 3 to 229,900 yuan from 265,900 yuan, about 30pc cheaper than in the US.
Tesla already cut prices in China last year to boost sales as competition heats up in both the mass and premium segments, with the likes of Warren Buffett-backed BYD, Xpeng and Nio, as well as international players such as Porsche and Mercedes Benz all vying for sales.
08:48 AM
FTSE 100 hits nine-month high
The FTSE 100 has hit a nine-month high, boosted by Shell and other commodity-linked stocks, ahead of a crucial US jobs report that could offer clues on the Federal Reserve's pace of interest rate hikes.
The blue-chip index rose as much as 0.3pc, extending gains to a fourth straight session, and on track for its biggest weekly jump in two months. It presently stands at 7,650 points. The domestically focused FTSE 250 midcap stock index fell 0.4pc.
Shell jumped 1.1pc after it said earnings from its liquefied natural gas trading operations are likely to have been significantly higher in the fourth quarter of last year.
Miners took an early lead, with precious and base metal miners rising more than 1pc each as the related commodity prices rose.
The market focus is now on the monthly jobs report from the US Labour Department due later in the day, which will be an important milestone in understanding where the Fed stands regarding its further monetary policy tightening.
08:39 AM
Frasers Group reduces stake in Hugo Boss
The owner of Sports Direct and House of Fraser has reduced its stake in Hugo Boss after previously upping its investment into the luxury fashion house.
Frasers Group said it now owns 3.9pc of Hugo Boss's total share capital, a decline from the 4.3pc that it previously owned.
The retail empire, headed up by billionaire entrepreneur Mike Ashley, has been pursuing ambitious growth and expansion plans in recent months.
In October, it upped its investment into Asos, becoming the fourth largest shareholder in the online fashion retailer that also owns brands including Topshop.
At the same time, it announced it was increasing its maximum exposure to German fashion brand Hugo Boss to about £840m from £770m previously. Today, Frasers revealed its maximum exposure in Hugo Boss had dropped to around £580m.
Hugo Boss, which is listed on Germany's Frankfurt Stock Exchange, has enjoyed a boost in its share price by nearly a tenth since Frasers last upped its stake.
08:27 AM
Nanoco shares surged after Samsung settlement
Shares in UK-listed tech minnow Nanoco jumped 50pc this morning after it announced it had reached a settlement with South Korean giant Samsung.
Senior technology reporter Matthew Field has the latest:
Manchester-based Nanoco had been suing Samsung for patent infringement. It alleged Samsung had used its "quantum dot" inventions in its TVs without permission.
Today, the companies announced they had agreed to settle the case rather than go to a jury trial in Texas.
No value has been placed on the claim but it is thought to be worth hundreds of million of pounds.
Nanoco shares soared to 65p, giving it a market value of £217m.
08:16 AM
House prices to go back to mid-2021 levels
Some housing market experts have said that an annual fall in house prices could soon take place, following the latest figures from Halifax showing house prices tumbled for a fourth straight month.
Tom Bill, head of UK residential research at estate agent Knight Frank, said:
The latest data shows two things are happening at the same time. First, the effect of the mini-Budget is working its way through the system, which means that monthly declines are narrowing.
At the same time, an annual fall in house prices appears imminent, underlining how the lending landscape has changed irrespective of the mini-Budget.
As rates normalise, buyers will increasingly recalculate their financial position and house prices will come under pressure. We expect a 10pc decline over the next two years, taking them back to where they were in mid-2021.
08:03 AM
UK markets rise at open
It has been a strong open for the markets in London even as investors braced for crucial US jobs data later in the day that should provide clues on how aggressive the Federal Reserve will be in tightening policy.
The FTSE 100 opened 0.8pc higher at 7,646 while the FTSE 250 was up 0.7pc to 19,517.
07:58 AM
Samsung hit by biggest fall in profits in a decade
Samsung's profit dropped by the most in more than a decade, in a sign that the global economic slowdown may be hurting electronics demand even more than anticipated.
South Korea's largest company has been grappling with weak demand for memory chips, smartphones and displays as consumers tamp down holiday spending amid soaring interest rates and inflation.
Adding to demand woes, Apple, one of Samsung’s biggest customers for displays and memory chips, suffered production delays at its iPhone assembly complex in the Chinese city of Zhengzhou.
Samsung's operating profit fell by 69pc to 4.3trn won (£2.8bn) for the three months ended December, missing the average estimate of 6.7 trillion won by analysts. Sales fell to 70 trillion won (£46bn), according to a company statement.
The grim preliminary numbers are adding pressure on Samsung, the world’s largest memory chipmaker, to shift gears and lower output and capex, fueling hopes for a turnaround.
Samsung shares gained about 1pc after swinging between gains and looses at the market open. Rival SK Hynix Inc. also climbed about 1pc while Korean chip suppliers jumped.
07:51 AM
British Airways unveils new jumpsuit uniform for cabin crew
British Airways cabin crew will be allowed to wear jumpsuits as the airline changes its uniforms for the first time in more than two decades.
Chief business correspondent Oliver Gill has the details:
Tunic and hijabs are among the other options on offer to staff in a collection that has been designed for the UK flag carrier by celebrated British tailor Ozwald Boateng.
BA said it was the first airline in the world to roll out a “modern jumpsuit” for on-board employees - though this will only be available for female staff to wear.
The carrier has also decided against allowing male pilots and crew to wear skirts, in contrast to the gender neutral policy at rival Virgin Atlantic.
View pictures of the new uniforms.
07:45 AM
Trains not even reliable when there are no strikes, says shadow minister
Trains are unreliable even when there is not a strike, a shadow Treasury minister has said.
Asked on BBC Breakfast how Labour would ensure minimum service levels during strikes, Pat McFadden said:
Well, when there's a strike, the trains, of course, don't run, but even when there's not a strike the trains are unreliable right now and legislation like this will do nothing to improve that.
The way to guarantee good services is to negotiate to resolve the disputes. Yes, implement reforms and changes that are needed in various sectors. Do that by striking a deal, not by striking a pose.
On whether Labour would support a pay rise for nurses of around 10pc rather than the 19pc original demanded, he said his party felt the Royal College of Nursing were "unlikely to get a pay rise of the size that they were asking".
He added: "Usually these things are resolved at the negotiating table with not everybody getting what they wanted at the start. The problem at the moment is that kind of discussion is not taking place."
07:31 AM
Shell to pay out £1.7bn in windfall taxes to UK and EU
Oil giant Shell said windfall taxes imposed by the European Union and UK following a surge in profits would cost the group about $2bn (£1.7bn).
Shell said the exceptional tax bill, imposed after oil and gas prices surged last year, would be included in its 2022 fourth quarter earnings to be confirmed next month.
Oil giants have been hit with the special windfall taxes on their excess earnings brought about by tightening of supply caused by Russia's war in Ukraine.
Energy prices have soared following the invasion, contributing heavily to decades-high inflation worldwide.
In May, the Government announced the windfall tax on the profit of oil and gas companies, with Jeremy Hunt announcing in November this will be hiked from an original 25pc to 35pc.
It comes after bosses at the Shell said in October it had not paid any UK windfall taxes due to heavy investment in the North Sea.
London-listed oil giant revealed the windfall tax figure in an update on its fourth quarter performance, in which it said gas trading results are expected to be "significantly higher" than in the previous quarter.
Its share price has risen by as much as 1.1pc today, helping lift the FTSE 100 to a nine-month high.
Shell is under new leadership after Ben van Beurden stepped down as chief executive at the end of last year after nearly a decade at the helm.
The energy major will now look to reinvent itself under the group's former renewables boss Wael Sawan.
07:20 AM
House prices fall for fourth straight month
House prices have declined for a fourth month in a row, dropping by more than £4,100 in one month as soaring mortgage rates hurt the sector.
However, the speed of falling property values slowed down in December, falling by 1.5pc compared to 2.4pc in November, according to lender Halifax.
The average home now costs £281,272, down from £285,425 in November. Annual house price growth had been in double figures for most of 2022, peaking at 12.5pc in June, but slowed from 8.2pc in October to 4.7pc in November and just 2pc in December.
Higher borrowing costs and soaring inflation have pumped the brakes on the property boom.
The latest survey sees the Halifax House Price Index hit its 40-year anniversary, with house prices up 974pc since it began in early 1983.
House prices will fall about 8pc this year, according to Halifax, as the market is high by the economic downturn.
Kim Kinnaird, director at Halifax, said:
As we've seen over the past few months, uncertainties about the extent to which cost of living increases will
impact household bills, alongside rising interest rates, is leading to an overall slowing of the market.The housing market was a mixed picture in 2022. We saw rapid house price growth during the first six months,
followed by a plateau in the summer before prices began to fall from September, as the impact of cost of living
pressures, coupled with a rising rates environment, began to take effect on household finances and demand.These trends need to be viewed in the context of historic prices. The cost of the average home remains high –
greater than it was at the start of 2022 and over 11pc more than house prices at the beginning of 2021.As we enter 2023, the housing market will continue to be impacted by the wider economic environment and, as
buyers and sellers remain cautious, we expect there will be a reduction in both supply and demand overall, with
house prices forecast to fall around 8pc over the course of the year.It's important to recognise that a drop of 8pc would mean the cost of the average property returning to April 2021 prices, which still remains significantly above pre-pandemic levels.
07:16 AM
Good morning
The average UK house price fell by 1.5pc in December, following a 2.4pc drop in November, according to Halifax.
The annual rate of house price growth more than halved, to 2pc in December, from 4.6pc in November.
Across the UK, the average house price in December was £281,272.
5 things to start your day
1) Inflation crisis is nearing its end as pressure on retail suppliers eases, says Next boss | Simon Wolfson suggested that disruption caused by Covid and Russia’s invasion of Ukraine is starting to fade, in a boon for millions of consumers suffering from price rises.
2) Why only the return of Jeff Bezos can reverse Amazon’s decline | Amazon is to shed 18,000 jobs in the biggest round of cuts in its history.
3) Wind power hits record as turbines deliver over a quarter of UK electricity in 2022 | New figures from National Grid show wind was the second largest source of electricity over 2022, supplying 26.8pc.
4) Tony Blackburn to front new TV channel for boomers celebrating the 1960s | That’s 60s will broadcast performances from artists of the era and special shows hosted by famous faces who lived through the decade.
5) WhatsApp changes rules to help Iranian protesters | The social media service has introduced new proxy support for users around the globe, enabling people to maintain access if their connection is blocked or disrupted.
What happened overnight
China stocks are set to log a five-day winning streak today as investors hope the economy will soon emerge from Covid woes and see a robust recovery.
China's blue-chip CSI 300 Index was up 0.7pc by the end of the morning session, while the Shanghai Composite Index added 0.4pc.
Hong Kong's Hang Seng Index and the Hang Seng China Enterprises Index rose 0.5pc and 0.7pc, respectively.
For the week, the CSI 300 Index has gained 3.2pc so far, while the Hang Seng benchmark has added 7pc to reach a six-month high.
Tokyo stocks rebounded Friday, as a weaker yen encouraged investors despite overnight falls on Wall Street.
The benchmark Nikkei 225 index added 0.6pc to 25,973, while the broader Topix index gained 0.4pc to 1,875.
