The FTSE 100 and European stocks were marginally higher on Thursday as traders reacted to the latest decision on interest rates from the European Central Bank (ECB). (IMAGO/Eibner-Pressefoto/Florian Wiegan, Imago)
Wall Street was mixed and the FTSE 100 (^FTSE) and European stocks were higher on Thursday as traders digested the latest decision on interest rates from the European Central Bank (ECB). As widely expected, the central bank lowered borrowing costs across the eurozone for the first time in five years.
This takes the ECB’s deposit rate down to 3.75%, from the record high of 4% where it has been since last September. The deposit rate was last cut in 2019, before the ECB began raising interest rates in 2022 and 2023 to fight inflation.
The ECB has also lowered the interest rate on the main refinancing operations, which is the rate banks pay when they borrow money from the ECB for one week, from 4.5% to 4.25%. Its third key interest rate, the marginal lending facility, has been lowered from 4.75% to 4.5%.
ADVERTISEMENT
It came as inflation across the eurozone cooled this year to 2.6% in the year to May.
London’s benchmark index was 0.4% higher in afternoon trade, with buying interest in the mining sector offsetting some recent weakness across oil and commodity prices in general.
Germany's DAX (^GDAXI) advanced 0.4% and the CAC (^FCHI) in Paris headed 0.4% into the green
Andrew Kenningham, chief Europe economist at Capital Economics, said: "Any celebrations about today’s 25bp rate cut by the ECB are likely to be muted at best, given that the decision was fully discounted by financial markets and the most recent inflation and wage data have dampened expectations for a rapid easing cycle.
"Moreover, the Bank’s forecasts and statements are slightly hawkish. The ECB has revised up its forecasts for both headline and core inflation slightly for this year and next."
Follow along for live updates throughout the day:
LIVE COVERAGE IS OVER29 updates
LaToya Harding
Blog close
Well that's all from us today — thanks for following along. Be sur to join us again tomorrow for our last markets live blog of the week.
Have a good evening all!
LaToya Harding
Lululemon rises after earnings beat
Lululemon (LULU) rose after the bell in New York after beating Wall Street’s earnings and revenue estimates. But it issued weak second-quarter guidance as it contends with a slowdown in the Americas, its largest market.
The yoga pants maker also raised its share buyback authorisation by $1bn, the second time in six months that the company has increased its returns to shareholders. Shares of Lululemon jumped 10% in pre-market trading.
The company’s revenue grew by 10% year over year to $2.2bn in the quarter ended April 28, in line with projections. Top-line growth was driven by a 35% revenue increase from international markets — including a nearly 50% increase in China — while in the Americas sales rose by a mere 3%.
CEO Calvin McDonald touted the “strong momentum” the company is seeing in its international markets and hinted that it needs to do more work in the Americas.
“We are pleased by the progress we are making to optimise our US product assortment,” said McDonald. “Looking ahead, we continue to have a significant runway for growth and are confident in our team’s ability to powerfully deliver.”
LaToya Harding
The number of Americans filing new claims for jobless support rose last week, to a four-week high of 229,000.
This was higher than the 219,000 which economists expected.
Continued claims were also higher at 1792k compared to 1791k.
LaToya Harding
Best UK mortgage deals of the week
Mortgage rates were virtually unchanged this week, but future homeowners are still struggling to find a decent price and more are taking loans well into retirement.
The average rate on a two-year fixed deal this week stood at 5.89%, the same as before, while rates for a five-year deal came in at 5.36%, slightly lower than last week's 5.39%, according to figures from Uswitch.
"While the average rates have, again, remained fairly static for the past week, when looking across the whole market there are signs that some high-street lenders are starting to edge rates upwards.
The average 2 and 5-year fixes have seen a rise this week across the big six lenders, with HSBC having already increased some of its fixed-rate deals. We're also beginning to see multiple smaller lenders begin pulling their higher loan-to-value (LTV) deals, suggesting that they will be repriced shortly."
LaToya Harding
ECB rate cut was not unanimous
It has been revealed that the ECB decision was not unanimous, with one member opposing the 25 basis point cut.
Lagarde did not disclose who the dissenter was but said that everyone on the governing council was united that the path was data dependent, and decisions would be taken meeting by meeting.
There was “absolutely no dissent on that”, she said.
The euro was almost 0.2% higher against the dollar on the back of all the news.
LaToya Harding
The next few months will continue to be bumpy
President of European Central Bank Christine Lagarde attends a press conference after a meeting of the ECB's governing council in Frankfurt, Germany, Thursday, June 6, 2024. (AP Photo/Michael Probst) (Michael Probst, Associated Press)
There will be ‘bumps on the road’ in getting inflation back to the 2% target, Lagarde said.
"The next few months will continue to be bumpy, we know that."
LaToya Harding
Lagarde: Cannot confirm that dialling process is underway
Despite the cut today, the ECB president said she could not confirm that the eurozone has entered a period of “dialling back” interest rates.
"Are we today moving into a dialling back phase? I wouldn’t volunteer that because, as I said, we are making a decisions based on the confidence we have that we are on a path.
But we will need data and more data and analysis of those data to constantly confirm that we are on this disinflationary path.
We know the destination. We know the direction that we are taking. We know the methodology we will apply. But I cannot confirm that it is the dialling process that is underway.
"There is a strong likelihood but it will be data dependent."
LaToya Harding
Inflation to fluctuate around current levels this year
Christine Lagarde has warned that inflation could turn out higher than anticipated if wages or profits rise.
The European Central Bank president said inflation is likely to fluctuate around current levels this year, adding that market interest rates have risen since the last meeting of the governing council and “credit dynamics remain weak”.
She said: “Loans to households continued to grow at 0.2% on an annual basis."
LaToya Harding
Press conference begins in Frankfurt
ECB president Christine Lagarde is now holding a press conference in Frankfurt, discussing today’s interest rates decision.
Watch the video below or stay tuned for more o
Coming up in 5 minutes: watch live as President Christine @Lagarde explains the latest monetary policy decisions.
Andrew Bailey, Governor of the Bank of England, speaks during the Bank of England Monetary Policy Report press conference at the Bank of England, London, Thursday May 9, 2024. (Yui Mok/PA via AP) (Yui Mok, Associated Press)
The Bank of England (BoE) is now under pressure to align closely with the ECB’s rate action and has its next Monetary Policy Committee meeting in two weeks.
However prime minister Rishi Sunak’s decision to call a general election for 4 July means the City now expects a rate reduction later in the summer once voting is over. September is now seen as most likely timing.
But James Smith, developed markets economist at ING, said: “Don’t assume the Bank won’t move in June just because there’s an election coming.
“BOE independence is a well-established and respected principle among the major parties, and a rate cut has been telegraphed long before the election was called.”
Meanwhile, Lindsay James, investment strategist at Quilter Investors, said:
The starting gun has been fired and the European Central Bank is the first out of the major three banks to start cutting rates. This is a significant move given it is the first rate cut from the ECB in five years, and ends what has been one of the most aggressive and swift rate hiking cycles in modern times.
The ECB has stolen a march on the Bank of England and Federal Reserve – who are both potentially still a few months away from cutting – and will breathe life into an economy that desperately needs some form of stimulus.While this news was well expected, it will no doubt provide relief to consumers and businesses on the continent.
LaToya Harding
ECB ups inflation forecasts
Also on Thursday, the ECB forecast that headline inflation will average 2.5% in 2024, and then drop to 2.2% in 2025.
Three months ago, inflation was expected to average at 2.3% in 2024, before falling to the 2% target in 2025.
Policymakers still expect inflation to drop to 1.9% in 2026.
🇪🇺 Signs of rising core inflation in the Eurozone suggest the #ECB may not make consecutive cuts. 📈Core HICP 3M ann. growth 3.4% (prev. 3.4%) 6M ann. growth 3.5% (prev. 2.7%) 12M growth 2.9% (prev. 2.7%) 🔗Customize the chart: https://t.co/KfRFZcJ9q5#MMpic.twitter.com/vqsZIrVdoQ
"The Governing Council today decided to lower the three key ECB interest rates by 25 basis points.
"Based on an updated assessment of the inflation outlook, the dynamics of underlying inflation and the strength of monetary policy transmission, it is now appropriate to moderate the degree of monetary policy restriction after nine months of holding rates steady."
This takes the ECB’s deposit rate down to 3.75%, from the record high of 4% where it has been pegged since last September. The deposit rate was last cut in 2019, before the ECB began raising interest rates in 2022 and 2023 to fight inflation.
The ECB has also lowered the interest rate on the main refinancing operations, which is the rate banks pay when they borrow money from the ECB for one week, from 4.5% to 4.25.
Its third key interest rate, the marginal lending facility, has been lowered from 4.75% to 4.5%.
LaToya Harding
BREAKING: ECB cuts interest rates to 3.75%
The European Central Bank (ECB) has cut interest rates, by a quarter-point, for the first time in five years at its governing council meeting in Frankfurt.
As widely expected, borrowing costs across the eurozone have been lowered from record highs of 4% to 3.75%, with the ECB joining the central banks of Canada, Sweden and Switzerland in cutting rates — moving well ahead of the influential US Federal Reserve.
Earlier today, money markets pointed to a 92% probability of a rate cut, with just an 8% chance of no change. It is the first rate cut since September 2019.
This comes as the bank has made progress in its battle against high inflation across the eurozone, which has cooled from more than 10% in late 2022 to 2.6% in the year to May. This is now sitting just above the 2% target at its lowest point since July 2021.
LaToya Harding
Wall Street to open mixed
US futures were mixed ahead of an expected interest rate cut by the European Central Bank.
The S&P 500 was flat in premarket trading, while the Dow Jones Industrial Average was slightly lower. Nasdaq futures were up however, as AI-chip giant Nvidia boosted optimism around the tech sector.
It comes as a tech rally on Wednesday drove the S&P 500 and the Nasdaq to all-time highs.
LaToya Harding
UK firms plan lower pay rises
UK firms are set to hike wages at a slower pace this year, according to the Bank of England's latest ‘Decision Maker Panel’ (DMP) survey.
Companies expect wage growth to be 4.5% in the year ahead, below the annual wage growth of 6.0% in the three months to May.
The DMP survey also found that:
Businesses expect their output price inflation to decline over the next year. Year-ahead own-price inflation was expected to be 3.9% in the three months to May, down from 4.0% in the three months to April.
Firms reported annual employment growth of 1.5% in the three months to May, lower than the 1.7% reported in the three months to April.
Firms reported that the average interest rate that they were paying on their borrowing (both bank and market based) was 6.6% in May, 0.4 percentage points lower than reported in April.
LaToya Harding
Bitcoin price soars on $100k speculation as ETFs sustain crypto rally
Bitcoin (BTC-USD) rose over 5% in the past week to a high of $71,240 (£55,739) in early trading on Thursday, after an increase in exchange-traded fund (ETF) inflows.
Other crypto tokens ether (ETH-USD) and solana (SOL-USD) increased by 3% and 4% respectively in the same period, according to Coingecko data.
Galaxy Digital CEO and cryptocurrency billionaire, Michael Novogratz, told Bloomberg TV, that bitcoin could sail past $100,000 by the end of this year, if the digital asset's price breaks out above its March all-time high of $73,000 and politicians start looking more favourably towards crypto.
"If we take out $73,000 in the next week or so, we're gonna end the year at $100,000. Somewhere around there or even higher," Novogratz said on Tuesday. The forecast suggests around a 40% gain from Wednesday's current price.
US election: Threat to investors amid civil war fears
The looming US presidential election in November, between incumbent Joe Biden and former president Donald Trump, presents the greatest headwind for investors in 2024, warns the CEO of an independent financial advisory and asset management firm.
The warning comes as the race for the White House heats up. Biden and Trump are now tied if third-party candidates like Robert F. Kennedy Jr. are on the ballot, according to two recent surveys that show Kennedy is gathering considerable support with independent voters.
Nigel Green of deVere Group said:
“The US is currently more divided ideologically and politically than at any time since the 1850s, when tensions boiled over into civil war.
“This deep division, combined with the potential for significant civil unrest, creates a highly volatile environment for investors in the world’s largest economy. Currently, we put the chances of a second American Civil War at around 25%.
“While this may sound alarmist, the mere consideration of such a possibility highlights the severity of the current political climate and the need for investors to be aware of the risks.
"Investors are now facing increased risks due to the potential for regulatory changes, shifts in trade policies, and broader economic instability. To mitigate these risks, it’s crucial for investors to consider diversifying their portfolios."
LaToya Harding
UEFA Euro Spending: Consumer spend set to hit £2.75bn
From ITV Sport EUROS 2024 Starts Friday 14th June 2024 on ITV1 and ITVX Pictured :(l-r) Graeme Souness, Roy Keane, Eni Aluko, Mark Pougatch, Laura Woods, Ian Wright, Karen Carney and Gảy Neville ITV will bring viewers extensive live coverage of UEFA Euro 2024 from Germany - UK television coverage of the tournament kicks off with exclusive coverage of the opening match between hosts Germany and Scotland in Munich. Led by Mark Pougatch, ITVâs star-studded on-screen team will offer expert insight, opinion and analysis of all the action. ITV will show Englandâs final group game against Slovenia and will have picks one, two and three of the Round of 16 as well as first pick of the semi- finals - ITV will also cover the winner of Play-Off A, which could be Wales, against Austria in Group D. ITV will show what is likely to be one of the most anticipated early tournament games - the Group B match between Spain, who are among the favourites, and Italy, the holders. ITVâs group stage coverage includes games featuring many punditsâ favourites France (against Austria) as well as other heavy hitters in Portugal (v Turkey), Croatia (v Spain) and Belgium v Slovakia) Moving into the knockout rounds, ITV will have the first three picks plus the fifth and seventh picks from the Round of 16 ties, the second and fourth quarter-final picks, and first pick of the semi-finals. Both ITV and the BBC will show the Final and all ITV games will be shown on ITV1, ITVX, STV and STV Player. (C) ITV Photographer Harry Page For further information please contact Peter Gray Mob 07831460662 / peter.gray@itv.com This photograph is (C) *** and can only be reproduced for editorial purposes directly in connection with the programme or event mentioned herein. Once made available by ITV plc Picture Desk, this photograph can be reproduced once only up until the transmission [TX] date and no reproduction fee will be charged. Any subsequent usage may incur a fee. This photograph must not be manipulated [excluding basic cropping] in a manner which alters the visual appearance of the person photographed deemed detrimental or inappropriate by ITV plc Picture Desk. This photograph must not be syndicated to any other company, publication or website, or permanently archived, without the express written permission of ITV Picture Desk. Full Terms and conditions are available on the website www.itv.com/presscentre/itvpictures/terms
UK consumer spend set to provide a healthy £2.75bn boost to economy during the Men’s UEFA Euro 2024 tournament kicking off on Friday 14thJune - surpassing the £2bn generated by the 2022 World Cup.
The Men’s UEFA Euro 2024 Spending Report by VoucherCodes.co.uk, reveals that 35.4 million Brits are predicted to tune into the competition at home, bars, pubs, and restaurants as they get ready to cheer the Three Lions on this summer.
Other key stats include:
30.7 million people set to watch at least one game from home, spending £2.1bn on retail sales alone
Fans are set to spend £613.7m at hospitality venues throughout the tournament, including £396.5m on drinks alone
70.8m is expected to be spent on garden cooking products such as pizza ovens, BBQs, and BBQ accessories and utensils as Brits look to make the most of the summer weather
LaToya Harding
Housebuilding finally out of the deep freeze
Housebuilding is finally coming out of the deep freeze. While it’s still lagging behind the rest of the construction industry, residential building has inched back into growth territory.
Michael Wynne, director of the sustainable housebuilder Q New Homes, said:
“But this is still a thaw rather than a rebound. After months of contraction, housebuilding output is only expanding slowly.
“Nevertheless the mood among housebuilders is improving, as the headwinds that held back our industry for so long begin to ease.
“Building cost inflation – which wiped out many smaller players’ profit margins during the dark days of 2023 – continues to soften.
“And while interest rates remain high, it’s now a question of when, not if, they come down. In time this will make it easier for developers to purchase land and build new homes, and make those homes more affordable for buyers."
LaToya Harding
Eurozone retail sales slump in April
Retail sales slowed in the eurozone last month with volumes falling 0.5% compared to March. This followed growth of 0.7% over the previous month
According to the latest figures from Eurostat consumer spending remained subdued despite recent falls in inflation.
Retail sales volumes was 0.6% lower in the European Union.On an annual basis, sales volumes were flat compared with April 2023, and 0.1% lower in the EU.
Fever-Tree pops higher on growth across its markets
Premium drink mixer brand Fever-Tree (FEVR.L) has reported growth across its markets in 2024 as it looks to capitalise on the key summer selling season when more customers spend on cocktails like mojitos and margaritas.
While no numbers or guidance was given in a relatively short trading update to accompany the company's annual general meeting, management said it remained "comfortable" with full-year expectations.
The tonic maker said it has “strengthened its category-leading position” in the UK, while it “continues to be the biggest contributor to growth within the carbonated mixer category” in the US.
It said the brand has continued to “deliver topline growth in the year to date.”
Last year, the company saw profits fall 23%, despite sales growing 6%, but said it was "on track to double EBITDA" in 2024.
LaToya Harding
UK construction sector growth hits two-year high
Wimbledon London, UK. 3 June 2024. Workers constructing a spectator stand at the (AELTC) All England Lawn Tennis Club for the Wimbledon lawn championships which start on 1 July. Credit: amer ghazzal/Alamy Live News (amer ghazzal)
The UK construction sector grew at its fastest pace in two years in May thanks to activity and new business increasing at sharper rates.
According to S&P Global, building firms reported rising workloads, which spurred them into buying more materials and taking on more staff.
This pushed the construction PMI up to 54.7 from 53.0 in April, the fastest increase in activity since May 2022.
The sharpest increase in activity was seen in the commercial construction category, while civil engineering grew at a slightly softer pace. Housebuilding rose marginally.
Andrew Harker, economics director at S&P Global Market Intelligence, said:
"Particularly pleasing was the broad-based nature of the rise in activity as work on housing projects increased for the first time in more than a year-and-a-half.
“Firms are gearing up for further growth in the months ahead, posting renewed expansions in both employment and purchasing activity as workloads increase.
"Moreover, the supply-chain environment continued to improve in May. Companies were able to secure inputs much more quickly than in April and at prices that were only slightly higher than in the previous month on average. These factors should help constructors in their efforts to ramp up operations in line with greater new order inflows.”
Construction PMI jumps up to 54.7 from 53.0, defying expectations of a decline to 52.5.
Housing activity back into expansion, with commercial powering ahead once again. pic.twitter.com/BVfaDFSWTB
What will the ECB interest rate roadmap look like after June?
With the ECB undoubtedly set to cut rates this afternoon, the next question on everyone's mind is what things will look like after June.
Sophie Lund-Yates, lead equity analyst at Hargreaves Lansdown, said:
There’s renewed optimism that the ECB will cut interest rates in its decision later today, which is adding additional enthusiasm into equities.
The lingering question, however, is what the interest rate roadmap looks like after June. Even if a cut arrives today, markets will be more interested in understanding expectations for the rest of the year.
Meanwhile, Analysts at Deutsche Bank said:
The cut will set the new direction for policy but with economic momentum outperforming expectations and domestic inflation proving sticky in 2024, the ECB can afford to take things slowly and let the data set the parameters of the easing cycle.
LaToya Harding
BCC upgrades growth forecast for 2024 and 2025
The British Chambers of Commerce (BCC) has upgraded its expectations of economic growth in the UK for both 2024 and 2025.
It said on Thursday that growth has been revised upwards to 0.8% for this year and 1.0% for next, as the economy has made a stronger start than expected.
However, 2026’s growth forecast is unchanged, at 1.0%, with the BCC warning that “a poor outlook for exports” is dragging on growth, while high interest rates continue to limit investment.
Vicky Pryce, chair of the BCC economic advisory council, said:
“The BCC’s latest forecast shows there is life in the UK economy but if it is to gain momentum then it must be nurtured.
“With interest rates expected to be cut at a modest pace and pay outstripping inflation, businesses will be holding onto much of their money – even as confidence rises after the mini-recession.
“As we enter the final weeks of the general election campaign, businesses will be watching for politicians to show they have sustainable long term economic plans. These must play to the UK’s strengths and give companies confidence.”
LaToya Harding
Darktrace and Vistry promoted to FTSE as Ocado and St James Place crash out
Software company Darktrace (DARK.L) is back in the FTSE 100 (^FTSE), with house builder Vistry Group (VTY.L) and warehouse landlord LondonMetric Property (LMP.L) also getting promoted to the UK's blue-chip index.
Making room for these promotions were online supermarket Ocado (OCDO.L), which ended its six-year stay on London's benchmark index on Wednesday night as the UK's blue-chip index undertook a reshuffle that also saw financial adviser St James Place (STJ.L) and electrical components maker RS Group (RS1.L) drop out.
The FTSE 100 is reshuffled by FTSE Russell, the index provider, every quarter according to market cap data from the end of the previous month.
Richard Hunter, head of markets at Interactive Investor said:
"Ocado finally came a cropper as investors lost patience with what has unfortunately become a perennial “jam tomorrow” stock. The stock’s relegation from the premier index follows a turbulent time which has seen the share price crater by 81% over the last three years, despite some vague bid speculation surrounding the stock which subsequently came to nothing last year.
"The reshuffle also involved demotion from the FTSE 100 for both St James’s Place and RS Group. The replacement promoted shares provided further proof of something of a revival in the property sector, with Vistry Group and LondonMetric Property being added to the index as well as a final sprint which brought Darktrace over the line to regain its status after previous relegation in December 2021."
The European Central Bank is widely expected to lower borrowing costs across the eurozone for the first time in five years today, down from 4% to 3.75%.
Money markets are betting that a rate cut comes as a 92% probability, with just an 8% chance of no change. The decision comes at 1.15pm UK time.
It comes as inflation across the eurozone cooled this year to 2.6% in the year to May. The bank may also start to unwind a tightening cycle that began in summer 2022, which has pushed the ECB’s deposit rate to a record high.
The ECB will join the central banks of Canada, Sweden and Switzerland in cutting rates and moving well ahead of the influential US Federal Reserve.
Henk Potts, market strategist at Barclays Private Bank, said:
“After nine months of keeping rates on hold, we expect the European Central Bank to embark on a rate-cutting cycle at its meeting on Thursday, 6 June. A quarter-point reduction across its policy rates, the first cut since 2019, is anticipated.
"Our view is that the governing council’s rationale will likely be driven by a stronger-than-expected recovery in activity and increased confidence that inflation will return to the targeted level. Beyond the June meeting, we forecast that we could see quarter-point cuts in September and December. In addition, we expect to see 75 basis points of cuts next year, with the deposit rate finishing 2025 at 2.5%.”
LaToya Harding
Nvidia surges past $3tn value, overtaking Apple
HANGZHOU, CHINA - JUNE 3, 2024 - The NVIDIA logo and the Apple logo are pictured in Hangzhou city, Zhejiang province, China, June 6, 2024. On June 5, Eastern time, Nvidia's stock market value exceeded $3 trillion, officially surpassing Apple's market value and becoming the world's second largest technology giant by market value. It is worth noting that in just over 3 months, Nvidia's market value soared from $2 trillion to $3 trillion. (Photo by CFOTO/Sipa USA) (Sipa US, Sipa US)
Nvidia shares closed above $3tn for first time ever last night, overtaking Apple as second-largest publicly listed company in the world.
The firm's share price rose more than 5% on Wednesday, to more than $1,224.
It comes as Nvidia has been the poster child for investor enthusiasm in AI, which accelerated with OpenAI's release of ChatGPT in late 2022.
The stock is up over 140% this year and 200% over the last year; Nvidia shares have gained more than 3,300% in the last five years.
Its market value now sits just behind Microsoft, another key player in the industry thanks to its investments in Chat GPT-maker OpenAI.
LaToya Harding
Asia and US stocks
Stocks in Asia mostly rose overnight after Wall Street hit fresh records thanks to the ongoing frenzy around artificial-intelligence technology.
Domestic concerns such as the Chinese property market, the weakness of the Japanese yen and the volatility following the Indian elections were brushed to one side, as the appetite for tech stocks drove most indices higher.
The Nikkei (^N225) rose 0.55% on the day in Japan, while the Hang Seng (^HSI) gained almost 0.2% in Hong Kong. The Shanghai Composite (000001.SS) was 0.5% down by the end of the session.
South Korea’s markets were closed for a holiday.
Meanwhile, data from the Australian Bureau of Statistics showed the country’s trading surplus rebounded in April, with exports falling 2.5% and imports dropping 7.2%.
It comes after the S&P 500 (^GSPC) climbed 1.2% on Wednesday to 5,354.03, hitting the top of its all-time high set two weeks ago.
The tech-heavy Nasdaq (^IXIC) jumped 2% to 17,187.90 and likewise set a new record. The Dow Jones (^DJI), which has less of an emphasis on tech, lagged the market with a gain of 0.2% to 38,807.33.
LaToya Harding
Coming up...
Good morning, and welcome back to our live markets blog. As usual we will be covering what's happening across the global economy, and take a look at what's moving markets, so be sure to stick around.
Here's a quick look at what's on the agenda for today:
7am: Trading updates: Fevertree, Mitie, Schroder Real
9.30am: UK construction PMI report for May
9.30am: UK economic activity and business insights data
1.15pm: European Central Bank interest rate decision
1.30pm: US weekly jobless claims
1.30pm: US trade balance for April
1.45pm: European Central Bank press conference
Watch: How does inflation affect interest rates?
Download the Yahoo Finance app, available for Apple and Android.
When a dividend share offers a big yield, we need to be cautious of the risks. But I reckon this one could come good in the long term. The post At 11%, this dividend share pays the biggest yield in the FTSE 100 appeared first on The Motley Fool UK.
With a share price near its lowest levels and several takeover bids rejected, what does the future hold for this once-loved FTSE 250 stock? The post Down 70%! Is this the most promising undervalued share on the FTSE 250 right now? appeared first on The Motley Fool UK.
Greenland’s massive rare earth deposit, acquired by a Nasdaq-listed company, could significantly reduce the West's dependence on China for critical minerals.
Our writer reckons these two dividend stocks could help her bag juicy dividends for years to come and explains why. The post 2 hot dividend stocks I’d buy and hold for 10 years appeared first on The Motley Fool UK.
This insurance giant has one of the highest yields in any FTSE index, looks set for strong growth, and appears undervalued to me. The post A 10.9% yield but down 14%! £11,000 in this FTSE dividend superstar could make me £26,716 in annual passive income appeared first on The Motley Fool UK.
Nvidia (NASDAQ:NVDA) has seen incredible growth in recent years. Since the beginning of 2024, the company’s stock has jumped 167%. Over the past five years, it has surged by an impressive 3,450%. Given these figures, it’s easy to see why many NVIDIA employees who joined the company five or more years ago are likely millionaires today. Additionally, many midlevel managers at NVIDIA reportedly make over $1 million a year, thanks to stock options and the overall appreciation of the company's stock.
Harvey Jones is getting a handsome dividend yield from the FTSE 100 high income stock, but he wonders if the payouts are sustainable. The post £6k bought me 3,289 oversold shares with a stunning dividend yield of 10% appeared first on The Motley Fool UK.
Our author thinks Kainos is one of the most overlooked FTSE 250 gems. Here's why he thinks the future could be very bright for its shareholders. The post Down 12% in a month, is this the FTSE 250’s most overlooked gem? appeared first on The Motley Fool UK.
American business owner and author of the bestselling "Rich Dad Poor Dad" series Robert Kiyosaki has criticized successful investor Warren Buffett's thoughts on not investing in gold. Like politics, the finance world is not without its drama, and Kiyosaki has come under the media spotlight for slamming Buffett's stance on gold investing. Buffett, the founder of Berkshire Hathaway, a multinational conglomerate, has often expressed his belief that investing in gold is not advisable. Don't Miss: Ar
I see lots of potential shares to buy on the UK stock market right now, but I don't see explosive growth potential from many of them. The post Down 88% since its peak! Is this one of the best UK shares to buy now? appeared first on The Motley Fool UK.
This e-commerce giant has been taking pages out of Amazon’s book and generating explosive growth that could propel it to similar heights in the long run. The post Could buying this growth stock be like investing in Amazon in 2011? appeared first on The Motley Fool UK.
By July 5, we are very likely to have a Labour government with a working majority, if not a landslide victory – and as Rishi Sunak pointed out repeatedly in last night’s debate, the threat of higher taxes is looming large. I am going to make a few suggestions about how we might prepare.
As the general election hurtles towards us, this Fool wonders which UK stocks could benefit, and focuses on three picks from key sectors. The post 3 UK stocks I reckon could benefit from the upcoming general election appeared first on The Motley Fool UK.
Yahoo Finance 