Consumers face summer of maritime chaos as lockdowns in China wipe £40bn off FTSE 100
Markets are set to start the week firmly in the red as fears of soaring inflation, slowing economic growth and lockdowns in China all rattled sentiment.
Asian markets fell overnight, with Chinese stocks on course to hit their lowest level since May 2020.
The FTSE 100 was expected to follow suit, while European stocks also fell despite relief from French President Emmanuel Macron’s election victory.
The negative mood music comes as the Federal Reserve prepares to hike interest rates to tackle runaway inflation, while ongoing lockdowns in China have sparked demand fears and depressed oil prices. oil.
5 things to start your day
1) British Airways will install its cabin crew in Madrid British flag carrier to open cabin crew base in Madrid as bosses scramble to avoid recent summer-long travel chaos
2) Russian sanctions set to cost UK economy £6bn over nine years The official analysis of trade measures published earlier this month revealed that the restrictions will deal a multi-billion pound blow to the economy over the next nine years.
3) Ukraine urges Johnson to ensure ‘not a drop’ of Russian oil reaches UK Whitehall has given UK buyers until the end of the year to adjust to the Russian oil ban
4) Live music royalties plummet again as industry fails to recover from pandemic Revenue from live performances reached £54m in 2021, down 38% from the £85m recorded in 2019
5) Twitter ‘more receptive’ to Elon Musk takeover plan Twitter and Mr. Musk were meeting on Sunday to discuss the deal, according to the Wall Street Journal
What happened overnight
Asian markets sank on Monday on growing worries about a sharp hike in U.S. interest rates as officials scramble to rein in runaway inflation, while oil was hit by expectations that Chinese demand will weaken. will dry up due to Covid lockdowns. Hong Kong, Shanghai and Taipei all fell more than 2%, while Tokyo, Seoul, Singapore, Manila and Jakarta were also in the red.
Business : Polymetal International (intermediate results)
Economy: Rightmove House Price Index (UK)construction performance (EU)Chicago Fed National Activity Index (WE)