Gas prices rise again as Belarus threatens to shut down pipeline
The big story of the morning is GDP, which fell short of expectations for the third quarter.
The UK economy grew 1.3 percent in the three months to the end of September, behind forecasts of 1.5 percent. This is also a slowdown from the second quarter, when GDP grew 5.5%.
Shortages of goods and labor were the main drag on growth, as economies struggled to keep up with the strong rebound in demand.
Rising inflation is also an imminent threat to the recovery as the UK enters the final months of the year.
5 things to start your day
1) M&S on track for FTSE 100 return as stocks skyrocket The retailer’s shares jumped 16.5pc to 226.5p, their highest level since spring 2019, as President Archie Norman said “it’s kind of nice to make money again.” The gains gave M&S a market valuation of over Â£ 4.4 billion, or more than 100 FTSE members, including IT security provider Darktrace.
2) Nine Elms Homes Can’t Find Buyers The centerpiece of Europe’s largest regeneration project has sold less than one in 15 homes in its first year on the market, fueling fears of a multibillion-pound white elephant near the heart of the capital.
3) Biden wants to fight the price hike The besieged US president has insisted that fighting inflation is a “top priority” after the consumer price index hit 6.2% in October, its biggest increase since 1990. It s This is a much larger recovery than the 5.4% recorded in September. and was higher than economists had expected.
4) Facebook under fire for breaches of the “supreme court” Roger McNamee, an early Facebook investor and voice critic, said social media giant now known as Meta set up the Supervisory Board to “deflect criticism”, but gave it “Of gravity without having real power”.
5) BMW boss aims for Tesla quality and reliability Oliver Zipse, CEO of the German auto giant, lashed out at Elon Musk’s company, saying the two companies had “different customer satisfaction aspirations – where we differ is our standard of quality and reliability â.
What happened during the night
Inflation fears put pressure on Asian stocks and supported the dollar on Thursday after overnight data showed U.S. consumer prices rose at the fastest pace since 1990 last month, bolstering prices arguments for more rapid Federal Reserve policy tightening.
Nominal US Treasury yields have soared, with the 10-year benchmark bond yielding the most since February, while real yields, which account for inflation, have plunged to record highs.
Gold hit a five-month high and bitcoin hit a record high as investors sought hedges against inflation.
Oil fell sharply from highs nearly seven years after US President Joe Biden said his administration was looking for ways to cut energy costs.
The MSCI’s largest Asia-Pacific stock index outside of Japan fell 0.85%, led by a 1.19% drop in the Australian benchmark.
The Chinese blues slipped 0.09 pc.
Japan’s Nikkei reversed the trend, rising 0.24%, supported by yen weakness against a rising dollar and as US equity futures edged higher.
Overnight however, the S&P 500 fell 0.82 pc, its worst day in more than a month. This marked the first consecutive declines in a month, after the index closed at a record high to start the week.
Business : 3i Group, Assura, Auto Trader, B&M, Burberry, Mediclinic International, Qinetiq, Syncona, Ted Baker, Youngs (intermediate results); Aviva, Endeavor Mining, Taylor Wimpey, Vesuvius, WH Smith, OSB Group, Spirent Communications (commercial updates)
Economy: GDP, manufacturing production, industrial production, balance of house prices in Rics (UK)