FTSE 100 Live: China property fears hit stocks, Russian ruble lowest since March 2022

The ruble at its lowest since March 2022

The Russian ruble fell to its lowest level since the immediate aftermath of the country’s invasion of Ukraine.

A dollar now buys 101 rubles, while a pound buys 129 rubles, as Russia runs repeated deficits to finance its war. The Russian economy has proven more resilient to sanctions than expected, mainly thanks to increased trade with China. But as the war drags on, uncertainty has increased again.

Wilko administrators set Wednesday deadline for potential bidders

Bidders at crisis retailer Wilko were given a deadline on Wednesday to submit offers to buy the company.

The historic department store chain fell into administration last week, jeopardizing the future of its 400 stores and 12,500 workers.

It is understood that the directors of PwC have set the deadline as they seek to quickly conclude a deal that could save jobs.

Learn more here

Alarm over sharp drop in business growth in London

London’s central economy is starting to feel the impact of successive interest rate hikes but remains the fastest growing in the UK, a new survey reveals today.

Output in the region’s services and manufacturing sectors increased in July, but at a much slower pace than in previous months, according to the latest NatWest London PMI business activity index.

The index came in at 52.3 during the month, down from 56 in June, the third straight month of slowing activity. A reading above 50 indicates growth, below 50 indicates contraction.

Catherine van Weenen, NatWest London and the South East Regional Board, said: “Data for July appears to have confirmed the trend that emerged in the second quarter that London’s economy lost steam as rising interest rate weighs on spending and activity. .

Learn more here

Bad summer weather has dampened London’s economy

It’s raining again in London. No big shock there, I guess.

But we are nearing the end of what has been a miserably wet and dreary summer by recent standards. And that matters to the capital’s economy, especially its growing outdoor hotel scene.

For much of the pandemic, Londoners have been forced to eat and drink outside – and have taken a liking to it.

Learn more here

Boss of Plus500: “We will be more valued” in New York than in London

The boss of stock trading app Plus500 said today that London investors’ view of his business as a financial company rather than a technology company had prompted the company to consider listing in the States -United.

CEO David Zruia has confirmed to Standard that Plus500 is considering listing its shares in the US alongside London, after reports in May that the firm was looking to join companies like Arm, CRH and Flutter which have recently expressed concern. intention to sell shares in New York.

“We believe the valuation would be higher within US exchanges,” he said. “It’s something we will consider when market conditions improve.”

“The main point here is that we are a technology company, but we are not valued as a technology company. We are valued as a financial services company, which is not really accurate. In the United States , we can see tech companies getting much better valuations.

“I think once, or if, we get listed in the United States, we’ll be more appreciated.”

Learn more here

B&M shares top FTSE 100, China-focused stocks under pressure

B&M European Value Retail shares topped the FTSE 100 index, up 2% or 11.2p to 549p.

The rally comes after Deutsche Bank highlighted a new price target of 680p as B&M secures market share thanks to Wilko’s administration and opens more stores in the UK and France.

Shares were close to 300p last fall but have jumped more than a quarter this year as buyers continue to slide on cost of living pressures. A dividend yield of over 6% has also boosted interest in the City.

B&M’s strong performance came in a brighter session in the retail sector as JD Sports Fashion rose 1.7p to 145p and FTSE 250-listed Marks & Spencer added 1.8p to 204.1p.

Elsewhere in London, renewed concerns over China’s debt-laden property sector meant another weak session as the FTSE 100 index drifted 10.41 points to 7513.75.

Mining giants Anglo American and Rio Tinto lost 24.5p to 2126.5p and 36p to 4690p respectively, while the drop chart also included oil giants BP and Shell.

Jitters in China’s economy were fueled when indebted property company Country Garden suspended trading in 11 onshore bonds, a move that sent its shares tumbling 18% to a new Hong Kong record.

The developments helped Asian-focused insurer Prudential trade below £10 for the first time since last autumn, down 13.5p to 995p. Other top droppers included Ocado with a 2% or 16.8p drop to 815.4p and gaming group Entain after a 14.5p retreat to 1298p.

The domestically focused FTSE 250 index was broadly unchanged, up 3.79 points to 18,803.49, as attention turns to this week’s release of inflation and GDP figures. wage growth in the UK. Fallers included ITV with a penny drop to 72.8p.

Prices rise at Lok’nStore as demand remains strong, companies say

Self-storage company Lok’nStore said it raised prices by 6.8% last year, adding that demand for its services remained “strong”.

The company said occupancy rates remained stable, as it reported for the 12 months to the end of July.

The company’s self-storage revenue increased 5.3% during the period, and excluding the impact of new sites and those sold by Lok’nStore during the period, it increased 12 .1%, the company revealed.

Learn more here

Shaftesbury secures £200m loan to manage other debts

West End property investment firm Shaftesbury Capital today took another step to reduce its heavy debt load after securing a £200million loan.

Shaftesbury, which has properties in Covent Garden, Carnaby, Soho and Chinatown, said the 10-year debt deal with Aviva will be used to help repay the £576m unsecured loan taken out in April 2023, which was itself contracted to fund the repayment of secured bonds.

The company added that its debt interest charges would be reduced from 4.2% to 3.3% as a result of the decision. Aviva said it is considering including specific measures related to sustainability in the terms of the agreement.

Shaftesbury shares remained unchanged.

FTSE 100 plunges after markets open: key data

Just over an hour after markets opened in London, the FTSE 100 is down slightly. Here is an overview of your main market data:

Stelrad feels the heat of inflation

Europe’s biggest radiator company said today it was feeling the heat of soaring inflation after recording a slump in sales.

Newcastle-based Stern said rising consumer prices and interest rates were “suppressing both new build and renovation activity” as like-for-like revenue fell 12.7 % to £157m in the first six months of the year, while hyperinflation in Turkey contributed to a 65% drop in profits in the region.

CEO Trevor Harvey said: “I think consumer behavior has been affected by the cost of living crisis. There was a change in sentiment.

“[But] We have a strong track record of trading in previous downturns. »