1630:Close Equities paid more attention on Tuesday to the ratcheting-up of tensions between Beijing and Washington as trading kicked-off with a sharp move lower on the Shanghai bourse.
Donald Trump directed the US Trade Representative to prepare new tariffs on $200 billion in Chinese imports Monday as the two nations moved closer to a potential trade war. The tariffs, which Trump wants set at a 10% rate, would be the latest round of punitive measures in an escalating dispute over the large trade imbalance between the two countries. - Guardian.
1700:Close A bounce in oil majors' shares after Friday's bout of selling helped pull the Footsie off its intra-day lows, with the top-flight index outperforming its peers across the Channel at the start of the week.
Debit card payments have overtaken cash as the most popular form of payment in the UK for the first time, according to banking industry figures. Consumers used their debit cards 13. 2bn times last year, up 14% compared to 2016, according to a report by UK Finance, the trade body for the UK banking and financial services sector. The number of cash transactions fell by 15% to 13. 1bn transactions in the same period. – Guardian.
Ministers are prepared to thrash out a compromise with Tory rebels on Brexit this week to avoid a defeat that could torpedo Theresa May’s remaining authority. Senior figures say Downing Street could seek a new deal with Dominic Grieve, the former attorney-general, who has been negotiating with No 10 after their talks collapsed last week. - Sunday Times.
1415: US industrial output dipped by 0. 1% month-on-month in May, according to the Federal Reserve, falling shy of economists' forecasts for an increase of 0. 3%.
Theresa May faces a confrontation with pro-EU Conservative rebels after abandoning a compromise over how parliament should be consulted at the end of Brexit negotiations. After two days of talks ministers said they would not accept demands from more than a dozen rebels that parliament should be able to influence the direction of Brexit in a case of no deal. Instead, the government published an amendment to its main legislation that critics said would give MPs less control.
1606: EU has reportedly reached an agreement on retaliatory trade tariffs against US made goods.
Banks have been warned that they are set to face tougher penalties for online failures as they continue to shut branches and push customers towards digital services. Regulators will be “less tolerant” if customers endure technical glitches, Nicky Morgan, chairwoman of the Treasury select committee, said yesterday. - The Times .
1452: Responding to a Wall Street Journal article from Monday, medical devices maker Stryker says it's not in discussions with Boston Scientific about a potential acquisition.
The senior PricewaterhouseCoopers accountant who audited BHS’s accounts ahead of its sale for £1 just a year before the department store chain collapsed is facing a 15-year ban and six-figure fine from the industry watchdog. Steve Denison, who spent more than 30 years at PwC according to his LinkedIn profile, becoming a partner, is understood to have been facing a £500,000 fine from the Financial Reporting Council (FRC), reduced to £325,000 after he agreed to cooperate.
1700:Close Stocks dipped and the pound edged higher after the first day of the Commons debate on the proposed amendments to the Withdrawal Bill.
Donald Trump and Kim Jong-un have signed a document that will see the denuclearisation of North Korea begin "very quickly", the US president announced. After a working lunch concluded a morning of negotiations in Singapore, the two leaders held a signing ceremony, with Mr Trump calling it a "comprehensive" agreement. Mr Kim said "we are leaving the past behind us" as he said "the world will see a major change". - Telegraph.
1635: Italian 10-year bond yield just off its session lows, down by 30 basis points at 2. 83%.
Germany accused President Trump last night of destroying Europe’s trust and threatened to retaliate against new trade tariffs as the row over the weekend’s disastrous G7 summit in Quebec escalated. In a combative appearance on German TV, Angela Merkel said that the EU was ready to take on the US in a trade war, and described Mr Trump’s behaviour in the aftermath of the G7 meeting as “sobering and a bit depressing”. - The Times.
The hidden scale of Kremlin links to the biggest donor to the Brexit campaign are revealed today. Arron Banks, the millionaire businessman who helped fund Brexit, was offered a business deal involving six Russian goldmines. He also had undisclosed meetings with the Russian ambassador to Britain — set up by a suspected Russian spy — and paid a previously unknown visit to Moscow at the height of the campaign. - Sunday Times.
1544: The pound is off its worst, but down 0. 25% against the dollar at 1. 3389, is helping erase the FTSE's losses. The blue chip index was just in positive territory an hour and a half ago but is back in the red by 0. 37% at 7,676. 24.
Britain’s leading employers’ organisation, the Confederation of British Industry, has warned the UK economy will shift down a gear this year and risks remaining in the slow lane because of Brexit. Cutting its growth forecasts for the year, owing to heavy snowfall in the opening months of 2018 and lingering fears over Brexit, the CBI said it expected the growth rate for the British economy to slow to 1. 4%, from 1. 8% last year. – Guardian.
1700: An interesting - even if more brief than usual - day in markets it has been, given that both the corporate and economic calendars were rather empty on Thursday.
Accountants and lawyers will earn £70m managing the fallout from the collapse of Carillion, according to the National Audit Office, with taxpayers expected to foot a bill of more than £150m. In a report into the government’s handling of the outsourcing company, the NAO said the liquidation of Carillion showed the government had “further to go” in understanding the financial health of suppliers whose failure could have major consequences. - Guardian.