The FTSE 100 index was steady at 10,832.9 points by 1007 GMT and was set for a flat week, while the FTSE 250 rose 0.2%, trimming some of its weekly losses
International News via Reuters:
London’s mid-cap stocks were set for their biggest weekly fall in three months on Friday, pressured by concerns over soaring government debt and inflation, while Experian slid after the U.S. housing regulator criticised the sector’s practices.
The FTSE 100 index was steady at 10,832.9 points by 1007 GMT and was set for a flat week, while the FTSE 250 rose 0.2%, trimming some of its weekly losses.
• Experian shed 3.5% after U.S. Director of Federal Housing, Bill Pulte, accused credit reporting agencies of overcharging Americans for “far too long” and directed the mortgage finance giants Fannie Mae and Freddie Mac to approve all lenders to use VantageScore.
• Mid-cap stocks have been under pressure this week as escalating tensions in the Middle East sparked a global bond selloff, as investors fretted about inflation amid elevated government debt.
• Benchmark 10-year gilt yield hit its highest since August 2007 earlier this week, while investors anticipated interest rates to rise by at least 25 basis points before year-end, LSEG data showed.
• Bank of England Governor Andrew Bailey said that weak productivity and shocks such as COVID-19 had contributed to rising public debt across advanced economies. The new Andy Burnham-led government is expected to unveil its budget in October.
• “It just highlights a very tight situation that the UK government is going to find itself in as far as public finances are concerned as we get closer to the budget,” Fiona Cincotta, senior markets analyst at City Index said.
• Investors were also closely watching developments in the Middle East, with Brent crude hovering near $95 a barrel. [O/R]
• Telecoms firm Vodafone climbed 2.1% after Goldman Sachs upgraded the stock to ‘buy’ from ‘sell’.
• Oxford Nanopore Technologies slid 5.9% after healthcare investor Novo Holdings sold 49 million shares of the biotech firm for £74 million ($100.07 million).
• Focus is also on U.S. jobs data for cues on the Federal Reserve’s policy path.
($1 = 0.7395 pounds)
Reporting by Anand Gopal; Editing by Eileen Soreng
