The FTSE 100 has dropped sharply as the rising threat of war between Russia and Ukraine rattles global markets.
The blue-chip index extended losses to slump 0.9pc as optimism about a diplomatic solution to the crisis began to fade.
US President Joe Biden warned a Russian invasion of its neighbour was possible within days, warning of a so-called false flag operation designed to spark war.
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BP and Shell dragged the FTSE down, tracking lower oil prices amid volatile trading. Banking stocks including HSBC also declined.
06:02 PM
Wrapping up
That's all from the blog today, we'll see you back here tomorrow morning! While you wait, have a look at the latest stories from our business reporters:
Amazon strikes 'global truce' with Visa on credit card fees
Amazon has come to an agreement with Visa after threatening to ban the payment giant's credit cards in a row over fees. Ben Woods has more:
The US retail giant had been due to block Visa credit cards on Amazon.co.uk and charge extra fees for customers in Singapore and Australia, but will no longer do so.
Fees paid on transactions between the UK and EU jumped to 1.5pc and 1.15pc on Visa credit and debit cards after a Brussels cap on fees of 0.3pc and 0.2pc respectively ceased to apply after Brexit. Amazon said Visa was to blame for imposing "high fees", rather than Brexit.
However, tensions cooled last month when Amazon stopped short of an outright ban and emailed customers saying it would allow them to keep using Visa credit cards while it negotiated a settlement.
05:43 PM
Apple shareholders pushed to revolt against chief $99m pay package
Advisory firm Institutional Shareholder Services (ISS) is pushing Apple shareholders to vote against the $99m (£73m) pay package awarded to chief Tim Cook in 2021.
It included $3m of salary, $82.3m in stock awards, $12m for hitting targets, plus $1.4m for travel and contributions such as pension and insurance.
The ISS said there were “significant concerns regarding the design and magnitude of the equity award” and that half of it “lacks performance criteria", The Guardian reported.
Cook is worth $2.3bn, according to Forbes, and has pledged to donate his fortune before his death. His 2021 remuneration was 1,447 times that of the average Apple employee.
05:23 PM
FTSE 100 closes in the red
The FTSE 100 has recorded another fall amid heightened Russia-Ukraine tensions, closing 0.9pc lower at 7,537.
US President Joe Biden said there was now every indication Russia was planning to invade Ukraine, including signs Moscow was carrying out a false flag operation to justify it, after Ukrainian forces and pro-Moscow rebels traded fire.
The Kremlin accused Biden of stoking tension and released a strongly worded letter which accused Washington of ignoring its security demands and threatened unspecified "military-technical measures". Moscow also ejected the number two official from the US embassy.
Danni Hewson at AJ Bell commented: "Markets never like uncertainty and that’s evidenced today by the falling oil price which has pulled down both BP and Shell on the FTSE 100, partly because of ongoing US/Iran talks, partly because conflicting reports about a Russian pullback have been keeping investors on their toes and glued to their screens.
"As long as the power stays on for market watchers, volatility is unlikely to vanish anytime soon."
05:05 PM
Former Tesla executive launches EV battery recycling scheme in California
Redwood Materials, the startup founded by former Tesla chief technical officer J.B. Straubel, is launching a battery-recycling scheme in California.
Fordand Volvo Group are the first automakers to join the programme.
California has led the transition to electric vehicles in the US with plans to end the sales of new cars and trucks powered by gasoline or diesel by 2035. Last year, battery-electric and plug-in hybrids accounted for more than 12pc of all light-duty vehicles sold in the state. As those cars age and are retired, Redwood will extract key metals such as lithium, cobalt, nickel and copper so they can be used in new battery packs and drive down the costs for the industry.
Redwood said its goal is to create a “sustainable closed-loop system” that will allow end-of-life battery packs to return to the US supply chain.
We’re launching the most robust battery recycling program on earth to establish efficient and safe pathways for end-of-life hybrid and electric vehicles. We'll start in California with @Ford and @volvocars, but we welcome other automakers to join us! https://t.co/n1a08vL5cx
Standard Chartered bankers share £1bn as bonuses rocket
Banks are expected to reveal rocketing bonuses over the coming days after Standard Chartered set the tone by making more of its bankers millionaires, despite the profit miss. Lucy Burton writes:
The London-based lender, which makes most of its money in Asia, said that bonuses for 2021 rose 38pc on the previous year to $1.4bn (£1bn).
The pay bump meant that more of its staff ended the year as millionaires than the year before, with one banker outside of management taking home almost $12m.
Bill Winters, chief executive, admitted to Bloomberg last month that the bank was looking to save money after having to pay-up for "pricey talent". Bankers' expectations for bonuses are sky-high this year after being inundated with work through the pandemic.
Heathrow airport operator bets on tourist boom in Turkish Riviera
Spanish infrastructure group Ferrovial, which operates Heathrow airport, is betting on a tourism boom in the Turkish Riviera.
The Madrid-based company has reached an agreement with YDA Group to buy a 60pc stake in the company that manages the Dalaman International Airport for €140m (£117m). The terminal is Turkey’s fourth-busiest in terms of international passengers.
The deal, expected to conclude in the first half of 2022, will help Ferrovial tap into an increasingly popular destination for international travelers, with Britons making up more than half of the passengers handled by Dalaman. Before the pandemic, about 5m people passed through annually.
04:23 PM
Handing over
That's all from me, thanks for following! Giulia Bottaro will take things from here.
04:09 PM
Priti Patel scraps golden visas for millionaire investors
Home Secretary Priti Patel has said she's scrapping a visa programme for millionaire investors as the Ukraine crisis reignites fears about Russian money.
The Tier 1 investor visa – often dubbed the golden visa – offered wealthy foreigners a path to residency if they invested more than £2m in the UK.
It will be scrapped with immediate effect, with Ms Patel warning it was "just the start of our renewed crackdown on fraud and illicit finance".
The visas have been under review since 2019, when the poisoning of Sergei Skripal in Salisbury led to a deterioration in relations between Britain and the Kremlin, but recent tensions over Ukraine reignited calls for action.
03:51 PM
JD Sports delays results after fine over secret meetings
JD Sports CMA fine - REUTERS/Neil Hall//File Photo
JD Sports has delayed its full-year results to give auditors more time to assess the impact of its forced sell-off of Footasylum.
The Competition and Markets Authority (CMA) ordered JD in November to sell Footasylum, which it bought for £90m in 2019, amid concerns it would harm competition.
It then fined the firm £5m this week for exchanging commercially sensitive information in a secret meeting in a Bury car park.
The retailer said the delay was to "ensure that KPMG have sufficient time to complete its global audit procedures and to allow the group to report on the outcome of the divestment of Footasylum Limited with greater certainty".
The company added that it expected full-year results to be ahead of expectations, with headline profit before tax of at least £900m.
03:20 PM
NatWest facing £2m claim after dismissing banker with cancer
NatWest is facing a compensation claim of more than £2m after a London tribunal ruled it had discriminated against an employee and unfairly dismissed her two days after cancer surgery.
Adeline Willis, a 44-year-old risk and compliance officer who had worked at the bank for more than six years, said she was physically and emotionally in turmoil after being made redundant in 2020, eight months after a bowel cancer diagnosis.
The tribunal ruled there was clear evidence of discriminatory intent after hearing a recorded telephone call a few weeks after her diagnosis, in which Ms Willis' managers sought advice from the human resources department about terminating a secondment early because she was due to take time off for cancer treatment.
Will Clayton, a layer for Ms Willis, said: "This has been a harrowing experience for my client who did not deserve the appalling treatment that she endured at the hands of one of this country's largest and best resourced employers.
"The next step is to ensure that Ms Willis is fully compensated for her losses and the discrimination that she has suffered." Mr Clayton added that the case had a potential value in excess of £2m.
NatWest said it recognised the "extremely difficult personal circumstances in this case," adding it was reviewing the judgment and considering its position.
02:54 PM
Elon Musk attacks SEC over 'unrelenting' harassment
Elon Musk Tesla SEC - ODD ANDERSEN/AFP
It seems the pressure is starting to get to Elon Musk. Alongside a number of safety concerns over Tesla cars, his company is also under scrutiny from the Securities and Exchange Commission (SEC) for a slew of issues.
But Mr Musk has had enough. In a letter to a New York judge, Tesla and its chief executive accused the SEC of harassing them with an "endless" and "unrelenting" investigation to punish the billionaire for being an outspoken critic of the Government.
"Mr Musk and Tesla respectfully seek a course correction," wrote lawyer Alex Spiro. "Enough is enough."
It marks an escalation of Mr Musk's battle with regulators as they investigate his market-moving tweets and Tesla's treatment of workers, including accusations of discrimination.
02:38 PM
Wall Street slips as Ukraine tensions mount
Wall Street's three main indices have opened lower as mounting tensions between the West and Russia over Ukraine unnerved investors.
The benchmark S&P500 fell 0.4pc, while the Dow Jones was down 0.2pc. The Nasdaq dropped 0.8pc.
Meanwhile, the FTSE 100 extended its losses to a 1pc fall.
02:24 PM
British Gas owner urges Ofgem to guard customers' cash
The parent company of British Gas has urged the energy regulator to ensure suppliers are protecting their customers' cash amid concerns hundreds of millions of pounds may have gone missing.
Ofgem boss Jonathan Brearley has warned that companies that collapsed during the energy crisis may have lost £200m pf customer cash – a sum that needs to be recouped through higher bills.
Centrica argued this number could in fact be more than £500m.
It said: "The current UK energy market crisis has seen a large number of suppliers use customers' credit to fund unsustainable commercial models and subsequently collapse."
Centrica said it protected customer deposits and currently holds £294m in a separate bank account.
02:08 PM
US housing starts decline for first time in four months
US housing starts - Luke Sharrett/Bloomberg
Continuing with the US economic data, the latest numbers show home construction fell in January for the first time in four months.
Residential starts dropped 4.1pc last month to 1.64m – below expectations. Applications to build, which indicate future construction, rose to 1.9m.
The figures highlight the impact of labour shortages, which have slowed the recent recovery in building activity.
Ongoing difficulties attracting workers, alongside higher material costs, remain a challenge for the industry, while sky-high prices and rising interest rates risk hitting affordability.
01:52 PM
US jobless claims post surprise rise
The number of Americans filing claims for unemployment benefits rose unexpectedly last week, though the labour market still appears to be tightening.
Initial claims increased by 23,000 to a seasonally adjusted 248,000, according to Labor Department figures. That's above the 219,000 predicted in a Reuters poll.
Claims had been falling after hitting a three-month high in January as omicron raged across the country. The US is struggling with an acute shortage of workers, and a record number of vacancies has encouraged companies to hold onto their workers.
01:39 PM
Half of Britain's workers eye new jobs in 'Great Resignation'
Half of Britain's workers are considering changing jobs as the so-called "Great Resignation" triggered by Covid shows little sign of letting up.
Tom Rees has more:
Younger employees are the most likely to have itchy feet, according to polling company Ipsos. Over half of 16 to 34-year-olds have considered quitting their jobs or actively looked for a new role in the last three months.
Record numbers of job moves have been dubbed the Great Resignation. Employment experts say many people delayed job changes owing to uncertainty during the early stages of the pandemic, and the pent up numbers were released as the economy returned to normal.
Additionally, some workers are believed to have reevaluated their career choices while on furlough, and working from home has given people the opportunity to move to different areas and potentially take on new jobs.
The phenomenon could continue through the year as businesses scramble to fill 1.3m vacancies, an all-time high. Some 47pc of workers surveyed said they have either looked for a new job, considered a switch, applied for a job or spoken to their employer about resigning.
Walmart retail profits supply chain - NICHOLAS KAMM / AFP
Walmart has shrugged off supply chain troubles to post strong figures for the fourth quarter.
The US retail giant posted a net profit of $3.6bn (£2.6bn), up from a loss of $2.9bn in the same period last year, when Covid costs weighed.
Like-for-like sales rose 5.6pc at US Walmart stores, down from a 9.2pc jump in the previous quarter. Online growth has eased from its pandemic highs and rose just 1pc, down from 8pc in the previous three months and a surge of nearly 70pc a year earlier.
Walmart, which is the first of the major retailers to report quarterly results, is often considered a barometer of consumer spending given its vast scale.
12:31 PM
US futures fall with Russia in focus
Wall Street is set to lose ground this afternoon as investors track the latest developments in the stand-off between Russia and Ukraine.
NATO has cast doubts over Moscow's claims that it's pulling back troops, while skirmishes and shelling on the border has reignited fears of an imminent war.
Futures tracking the S&P 500 and Dow Jones fell 0.5pc and 0.4pc respectively, while the Nasdaq dropped 0.6pc.
12:18 PM
West End shops 'will take two years' to recover from pandemic
West End retail footfall pandemic Covid - Photo by Hollie Adams/Getty Images
It will take another two years for shops, bars and restaurants in London's West End to recover fully from the pandemic.
That's according to a report from property firm Colliers, which found that while last year's turnover was up nearly a third from 2020, it was still less than half pre-pandemic levels.
Annual turnover is expected to rise to £8.6bn over the next year, but it'll take up to two years to reach the £10bn level achieved before the virus hit.
Lobby group the New West End Company said that while footfall from local visitors was picking up, the district was still struggling from a dearth of tourists.
The lack of overseas shoppers is most apparent across Regent Street, Bond Street and Mayfair, where 2021 sales reached on average only a third of 2019 levels.
Jace Tyrrell, chief executive of New West End Company, said:
Nearly two years on from the start of the pandemic and the road ahead for the West End looks promising with the long-anticipated opening of the £19bn Elizabeth Line set to turbo charge our recovery.
Whilst it is heartening to see domestic customers filling our high streets with optimism once again and travel restrictions gradually disappearing, we can speed up the nation’s recovery greatly by incentivising high spending tourists to return to our shores.
11:59 AM
Palantir shares drop as outlook spooks investors
Software firm Palantir tumbled in pre-market trading after its lack of profits and outlook for the year ahead disappointed investors.
The US firm, co-founded by billionaire Peter Thiel, forecast first-quarter revenue of $443m (£326m), beating analyst expectations. Losses narrowed to $59m from $91m the previous quarter, but the outlook for operating margins fell short.
Shares fell as much as 11pc, extending a recent run of losses that's seen the company lose half its value over the last year.
Palantir, which was founded almost two decades ago to sell software to US government agencies and their allies, has been subject to a number of controversies, including over its lucrative deal with the NHS.
11:43 AM
Lebedev's Independent eyes up media deals
Independent Evgeny Lebedev - Simon Dawson/Bloomberg
The Independent is eyeing up a range of potential of media deals as it looks to expand its online offering and potentially move into ecommerce.
Independent Digital News & Media, whose top shareholder is billionaire Evgeny Lebedev, said it's held talks with other media companies about mergers and is also considering takeovers that would move the group into new areas.
John Paton, chairman of the group, told Bloomberg: "To give you a range of two that we're currently looking at, one is around the £10m mark, which is in the technology space, and there's one that would be considerably more than that by a multiple factor, that would be in a content space."
Any deals would cement the former newspaper's transformation into a digital business after it stopped printing in 2016 to cut costs.
Baron Lebedev, who was granted a peerage by Boris Johnson, also owns the Evening Standard.
11:18 AM
Moneysupermarket shares rise despite energy crisis hit
Shares in Moneysupermarket pushed higher this morning even as the price comparison website suffered a hit from the energy crisis.
The FTSE 250 firm said demand in its travel insurance business had begun to bounce back from the pandemic, but it still posted a decline in revenue and profit for the year.
It also warned it would make no money from customers switching energy tariffs because sky-high prices meant there weren't any attractive deals.
Still, analysts at Citi said the company was "still attractive", adding it was "clearly a pandemic recovery play for those prepared to take a 12-month or longer view".
Shares rose 1.7pc.
11:05 AM
IMF: Europe's supply woes may drag into 2023
UK and eurozone economies lost "about a year" of GDP growth due to supply chain chaos and the troubles could continue into next year.
That's according to the IMF, which estimates manufacturing output would have been 6pc higher without the supply problems while GDP took a 2pc hit, which it said was “equivalent to about one year’s worth of growth in normal pre-pandemic times”.
In its report, the IMF warned the prospect of prolonged supply chain bottlenecks could pose a problem for central banks.
It said: “Keeping medium-term inflation expectations stable despite transient boosts to inflation, including from supply disruptions and surging energy prices, is key.”
10:45 AM
John Menzies surges as takeover bid heats up
Shares in John Menzies jumped after a Kuwaiti suitor said it was ready to step up its takeover offer for the aviation services firm.
John Menzies had previously rejected a 510p-per-share bid from National Aviation Services (NAS), a subsidiary of Agility Public Warehousing. It branded the £469m offer "opportunistic".
But NAS has now agreed to purchase about 12.1m shares in Menzies – around 13.2pc of the company – at a price of 605p per share. It added that any takeover offer would be no lower than this price.
Hassan El-Houry, chief executive of NAS, said the stake purchase "demonstrates our seriousness and belief that a combination of Menzies and NAS offers a compelling opportunity to all stakeholders".
Shares surged as much as 28pc in early trading. NAS now has until 5pm on March 9 to either table a firm takeover offer or walk away from the deal.
10:30 AM
Pound rises on interest rate rise bets
Sterling has gained ground against the dollar and euro this morning as expectations of interest rate rises by the Bank of England continue to grow.
Inflation surged to a fresh 30-year high in January, reinforcing bets that the central bank will move again next month. Markets are expecting a rise in the base rate to either 0.75pc or 1pc.
The pound managed to edge up 0.2pc against the dollar to $1.3607, despite investors flocking to safe-haven assets amid Ukraine tensions. Against the euro it rose 0.3pc to 83.48p.
10:14 AM
Oil drops amid Iran nuclear talks
It's been a volatile week for oil, which has swung wildly as traders weigh up Russia-Ukraine tensions against progress in talks over an Iran nuclear deal.
Oil prices hit a fresh seven-week higher earlier in the week, before dropping back after Russia said it was withdrawing troops. Doubts over these claims, as well as reports of skirmishes on the border, has added fresh impetus for prices.
But traders also have an eye on Iran. A deal could lead to the resumption of sanctions-free exports, boosting global supplies.
Brent crude dropped below $93 a barrel, having hit $96 earlier in the week. West Texas Intermediate also fell 2.3pc.
Adam Driver and Lady Gaga in House of Gucci - Fabio Lovino/MGM
The owner of brands including Gucci, Yves Saint Laurent and Bottega Veneta has revealed its profit topped pre-Covid levels in 2021 as shoppers flocked back to luxury purchases.
Kering reported net profit of €3.2bn (£2.7bn) last year – up 37pc on 2019 – while revenues hit a record €17.6bn as the luxury sector bounced back from the lockdowns of 2020 and socialising resumed.
Gucci, known for its high-end handbags, was a stand-out performer, notching up sales of €9.7bn after a surge in demand in the fourth quarter.
The bullish figures for the French group follow similarly strong numbers for rivals including LVMH, Burberry and Cartier owner Richemont.
09:47 AM
UK economic activity picks up again
Amid all the inflation woe, the latest activity stats from the ONS offer some much-needed positivity about the state of the recovery.
Diner numbers rose 17 percentage points in the week to February 14 to 129pc of pre-Covid levels. Overall retail footfall rose and stood at 86pc of 2019 levels. Daily flight numbers and online job adverts also recorded growth.
That said, it wasn't all rosy. Three-quarters of adults reported an increase in their cost of living over the last month, while credit and debit card purchases slipped 1 percentage point from the previous week.
09:37 AM
StanChart falls as profits disappoint
Standard Chartered is one of the biggest fallers on the FTSE 100 this morning, tumbling as much as 4.9pc after analysts branded its full-year results "disappointing".
Shore Capital said the figures showed "weaker than expected profitability, albeit with a larger than expected share buyback announced".
StanChart reported 55pc growth in pre-tax profit for 2021 to $3.9bn, but this was below its own estimates of $4.3bn, largely due to a $300m writedown on its investment in China Bohai Bank.
09:20 AM
Sir Nick Clegg promoted to tackle Facebook's mounting problems
Nick Clegg Mark Zuckerberg Facebook
ICYMI – Sir Nick Clegg has been promoted to the top table at Meta, as founder Mark Zuckerberg hands over responsibility for the Facebook and Instagram owner’s mounting regulatory headaches.
Hannah Boland has more:
The former deputy prime minister, previously vice‑president for global affairs and communications, will become president of global affairs which Mr Zuckerberg said was a role at his own level.
Nevertheless, Sir Nick, 55, will report to Mr Zuckerberg and chief operating officer Sheryl Sandberg. He previously reported solely to Ms Sandberg.
Mr Zuckerberg said of the move: "We need a senior leader at the level of myself (for our products) and Sheryl (for our business) who can lead and represent us for all of our policy issues globally.
“As Nick takes on this new leadership role, it will enable me to focus more of my energy on leading the company as we build new products for the future, and it will support Sheryl as she continues to focus on the success of our business."
Nvidia posts record sales after Arm deal collapses
Nvidia has posted record sales in its first results since scrapping its $40bn (£30bn) takeover of British rival Arm, though investors were still left unimpressed.
The US group posted sales of $7.6bn (£6bn) in the fourth quarter, topping analyst forecasts. Earnings came in at $1.32 a share, excluding some items, compared to an estimate of $1.22.
But this failed to satisfy investors' lofty expectations, and shares dropped 2.7pc in after-hours trading.
Nvidia is now looking to recover from its failed acquisition of Arm – a deal that faced regulatory opposition around the world.
The company expects to write off $1.4bn this quarter for prepayments it pledged to Arm owner Softbank. Chief executive Jensen Huang said he gave the deal his "best shot".
09:04 AM
Gas prices rise as US rejects Russia's withdrawal claims
Russia Ukraine gas energy market crisis - SERGEY BOBOK/AFP via Getty Images
Natural gas prices are back on the rise after two days of decline as the US rejected Russia's claims that it was pulling back troops from the border with Ukraine.
Global markets have been in turmoil this week, swinging with every twist and turn in the stand-off. A conflict could disrupt gas supplies to Europe and plunge the energy sector even further into crisis.
Moscow said some troops were returning to bases, helping to ease tensions. However, US officials insisted the country had actually added as many as 7,000 soldiers to the area.
Benchmark European gas prices jumped as much as 5.2pc, while the UK equivalent surged 7.6pc.
08:45 AM
Hiscox appoints new UK boss
Hiscox has named the former boss of Allianz UK as its new chief executive in the country, effective from September this year.
The insurer said Mr Dye will be responsible for leading its flagship retail business in Britain.
The incoming boss most recently served as Allianz UK chief executive for eight years and was also chair of the Association of British Insurers.
Aki Hussain, group chief executive of Hiscox, said:
Jon is a recognised industry leader with solid chief executive experience and a fantastic track record of building sustainable, profitable businesses.
I very much look forward to working with him as part of our group executive team, as we look to realise the vast opportunities ahead.
08:31 AM
FTSE risers and fallers
The FTSE 100 has fallen 0.3pc in early trading as reports of attacks in Ukraine reignited jitters among investors.
Russia-backed rebels accused Ukrainian forces of shelling their territory in violation of agreements aimed at ending conflict in the contested Donbass area – something Ukraine denied later.
BP and Shell fell 1pc and 2pc respectively, tracking oil prices lower amid signs Iran's nuclear deal could be salvaged.
Banking stocks slipped, with Standard Chartered down 3.8pc after its full-year profits missed expectations.
Reckitt Benckiser led the FTSE 100 with gains of 4.3pc following its upbeat results, while Ocado rose 2.5pc after it extended its deal with French partner Casino.
The FTSE 250 fell 0.2pc, with Wizz Air the biggest faller.
08:22 AM
Dettol sales fall but Durex protects Reckitt
Digging into the Reckitt results a bit more, it's a story of lockdown lifting.
The company saw a boost in sales for its Durex condoms, KY lubricants and Veet hair removal products as consumers headed out again after lockdown.
Sales in its intimate wellness brands grew last year by double digits, including popular product launches in China and growth in the US. Strong marketing in India means its condoms are now the number two brand in the country.
There was also strong growth in its over-the-counter cold and flu division, which includes Strepsils and Lemsip. Sales had slumped in 2020 when lockdowns sparked a collapse in the number of people meeting each other and spreading the flu virus.
Dettol also took a heavy hit after 2020's highs, when deep cleaning was all the rage. However, Lysol cleaning products in the US held up well.
08:15 AM
Nestle warns of profit hit as inflation bites
Nestle KitKat inflation profit - Chris Ratcliffe/Bloomberg
While Reckitt appears to be resilient to the inflation hit, the same can't be said of Nestle.
The world's biggest food and drink group has become the latest company to warn higher costs will take a chunk out of its profits.
Chief executive Mark Schneider warned input costs would probably increase more in the year ahead. Operating profit margin is expected to come in between 17pc and 17.5pc this year, compared to 17.4pc in 2021.
Shares in the KitKat maker fell as much as 1.5pc.
It comes after brewing giant Heineken warned it was facing the worst inflation in a decade and that customers could cut down on beer as a result.
08:07 AM
Ocado extends deal with French grocery group Casino
Ocado Casino France - REUTERS/Simon Newman/File Photo
Ocado has struck a deal to extend its partnership with French retailer Casino as part of a wider push to boost its offering across France.
The groups have signed an agreement to launch a logistics joint venture that would be available for use by all grocery retailers in France.
Casino will also use Ocado’s software to run its Monoprix in-store fulfilment operation, and Ocado will integrate Cdiscount unit Octopia’s online platform onto its systems.
Tim Steiner, chief executive of Ocado, said:
The online grocery channel in France has reached an inflection point, with a huge rise in demand for compelling, affordable and efficient grocery ecommerce propositions.
This announcement marks a deepening of the relationship between Groupe Casino and Ocado Group, and it will further support the capital light expansion of our partnership into other French regions.
08:01 AM
FTSE 100 dips at the open
The FTSE 100 has slipped marginally at the open as worries about a conflict between Russia and Ukraine continue to rattle markets.
The blue-chip index fell 0.1pc to 7,595 points.
07:56 AM
StanChart launches $750m share buyback after profit miss
Standard Chartered buyback shares - REUTERS/Eddie Keogh/File Photo
The other major corporate news of the morning comes from Standard Chartered, which is launching a $750m (£552m) share buyback despite missing targets for the year.
The bank reported 55pc growth in pre-tax profit for 2021 to $3.9bn, but this was below its own estimates of $4.3bn, largely due to a $300m writedown on its investment in China Bohai Bank.
StanChart said operating costs had risen 5pc last year, in part due to surging salaries as banks compete to attract and retain staff.
The Asia-focused lender said it aims to cut $1.3bn of “structural” costs up to 2024 to create more room for investments and will target earnings growth of 8pc to 10pc – up from 5pc to 7pc this year – thanks in part to higher interest rates.
07:49 AM
Reckitt 'confident' in future
Reckitt revenue dipped 5.4pc to £13.2bn last year, while costs related to the sale of its infant nutrition business in China dragged it down to a £260m loss.
However, fourth-quarter sales growth beat analyst estimates, with its health division gaining ground. Reckitt was also upbeat about its prospects for 2022, targeting revenue growth of between 1pc and 4pc as well as stronger profit margins.
Laxman Narasimhan, chief executive of Reckitt Benckiser, said:
The business is showing positive momentum with 62pc of our core CMUs [category market unit] holding or gaining share, underpinned by the investments we have already made.
We are therefore targeting both growth in like-for-like net revenue and an increase in adjusted operating margin in 2022, despite an unprecedented inflationary environment and ongoing uncertainties created by Covid.
We have a unique portfolio of trusted, market-leading brands in structurally attractive categories with significant headroom for growth. This, combined with our progress to date, gives me the confidence in both our near term and medium-term prospects.
07:42 AM
Reckitt shrugs off inflation woes
Good morning.
We start the day with a bullish update from Reckitt Benckiser, which appears to be shrugging off the inflation fears hitting its rivals.
The consumer goods group said it's targeting higher profit margins in 2022 even though costs are rising at an "unprecedented" level. It's set to lift prices for customers to achieve this.
The Dettol maker reported higher revenue in the final quarter of last year thanks to stronger demand for its cold and flu products.
Asian stock markets followed Wall Street higher on Thursday after Federal Reserve policymakers indicated they are leaning towards more decisive action on inflation but set no firm targets.
Shanghai, Hong Kong and Sydney advanced while Tokyo declined. Oil prices, which have been volatile due to anxiety over a potential Russian invasion of Ukraine, fell by nearly $2 per barrel.
The Shanghai Composite Index rose 0.3pc to 3,474.98 and the Hang Seng in Hong Kong gained 0.3pc to 24,793.12. The Nikkei 225 in Tokyo shed 0.2pc to 27,395.85 after January exports rose by a weaker-than-expected 9.6pc over a year earlier.
The Kospi in Seoul advanced 1.4pc after the government reported the economy added 1.1 million jobs in January and the unemployment rate edged lower.
Sydney's S&P-ASX 200 was 0.5pc higher at 7,323.80. New Zealand and Singapore rose while Jakarta retreated.
On Wall Street, the S&P 500 rose to 4,475.01. The Dow Jones Industrial Average gained slipped 0.2pc to 34,934.27 the Nasdaq composite fell 0.1pc to 14,124.09.
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Gemma Atkinson has spoken about her relationship with her fiance Gorka Marquez, including having discussed them being away from each other due to work commitments.
Prince Harry and his brother Prince William were said to be inseparable - but one moment six years ago at Harry's wedding their 'happiness together' reportedly changed
Israel’s presumed counterstrike against Iran has proved Joe Biden and David Cameron wrong in their insistence that Israel should just “take the win”. Instead, it fought back – and yesterday Iran was trying to pretend that nothing had happened.
BBC Question Time host Fiona Bruce was forced to intervene and reprimand a Tory Cabinet Secretary after he launched a personal attack on another panellist ...
Israel’s strike on Iran on Friday morning will not come as a surprise to Western observers – but it will cause great concern in Washington and London as the region tips closer towards an all-out war.
If this Israeli attack on Iran is no more than it presently appears to be, then it is rather well modulated. If the airbase at Isfahan has been attacked - home to the 8th Tactical Air Wing of the Iranian Air Force, and not a Revolutionary Guard installation - then the Israelis are making their point against a conventional military target. It is not an enrichment plant or a reactor, but the wide-ranging nuclear research conducted there involves some 3,000 Iranian nuclear scientists.
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