Today's Closing Update

U.S.Stocks were under pressure in morning trading. With the drop, the US Tech Index was pulling back off the record closing high set on Wednesday. Lingering concerns about the trade dispute between the US and China are contributing to the weakness on Wall Street along with uncertainty the outcome of this week’s OPEC meeting.

 

European Stocks were lower against a backdrop of tension in the oil market ahead of an OPEC meeting that could expand crude production.

 

The European Central Bank is confident inflation is on the right track although the spectre of protectionism and other risks including Brexit are adding to broader economic uncertainty, ECB policymaker Francois Villeroy de Galhau said today.

 

Marks & Spencer has signed a strategic partnership deal with Microsoft to test the integration of artificial intelligence technologies into the retailer’s stores and operations. The deal will see Microsoft’s AI engineers work with M&S’s engineers to examine how the technology can benefit customers and increase efficiency in its business.

 

The Bank of England has voted to leave interest rates unchanged at 0.5%. The BoE also changed its guidance on quantitative easing. It now expects to start unwinding its bond-buying programme once interest rates have hit 1.5%, down from a previous goal of 2%. However Britain’s public finances have improved, thanks to a rise in tax receipts. The UK borrowed £5bn to balance the books in May, the smallest amount in over a decade.

 

Intel Corp Chief Executive Brian Krzanich resigned today after a probe found his consensual relationship with an employee violated company policy. The head of the largest U.S. chipmaker is the latest in a line of powerful men in business and politics to lose their jobs or resign over relationships viewed as inappropriate.

Shares in UK defence group Chemring rose after it reported a return to profits in the six months to the end of April and said it expects higher US defence spending to bolster performance. For the six months to 30 April, statutory profit before tax rose to £4.3m compared with a loss of £6.8m the previous the year, revenue fell 2% to £229.3m, while underlying earnings per share rose to 410p to 3.20p.

 

Oil Prices headed sharply lower after media reports said Iran might accept a modest increase in production at this week’s OPEC summit.

 

Gold Prices fell yet again as the Dollar rose, touching the lowest level since mid-December as new US data said the number of people claiming jobless benefits fell last week to fresh 4-decade lows.

Market Close

UK 100 7,556.4 -71.0 -0.9%
UK 250 20,729.1 -197.3 -0.9%
GER 30 12,511.9 -183.3 -1.4%
FRA 40 5,316.0 -56.3 -1.1%
U.S. 30 24,522.65 -135.15 -0.6%
U.S. 500 2,756.63 -10.69 -0.4%
OIL (BRENT) 73.58 -1.16 -1.6%
GOLD 1,267.77 -0.09 -0.0%

UK Risers & Fallers

Shire 4088 +78 +2.0%
Sky 1405 +25 +1.8%
Nostrum 192.4 +14.4 +8.1%
United Utilities 739.2 -48.6 -6.2%
Barratt Developments 517.8 -20.2 -3.8%
Paypoint 940 -94 -9.1%

Reported Economic Data

Time/Date Previous Forecast Outcome
12:00pm: MPC Official Bank Rate Votes 2-0-7 2-0-7 3-0-6
12:00pm: Monetary Policy Summary
12:00pm: UK Official Bank Rate 0.50% 0.50% 0.50%

 

Sources:

https://uk.reuters.com/

http://www.stockmarketwire.com/

http://www.londonstockexchange.com/exchange/news/alliance-news/archive.html?&page=1

 

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