Yahoo Finance Lucy Harley-McKeown
FTSE 100 and European markets lower, US mixed as traders look to Powell speech
The FTSE 100 was down and European equities were broadly in the red as markets closed on Tuesday in London. US equities were mixed as they digest Federal Reserve chair Jerome Powell's testimony to the Senate.
The FTSE 100 (^FTSE) was down 0.6%. The DAX (^GDAXI) fell 0.3% and the CAC (^FCHI) was down 1.7%. French stocks are volatile due to political uncertainty in France following elections.
The pan-European STOXX 600 (^STOXX) fell 0.9%.
US stock indices were making muted moves, meanwhile, with the Dow (^DJI) down 0.3%, the S&P 500 (^GSPC) up 0.2% and the Nasdaq (^IXIC) 0.3% higher.
Markets have been looking to cues from Powell in his twice-yearly report on the US economy. The central bank chief set out on a cautious note, stressing that the Fed needs more data before it can make a clear cut decision on the frequency and timings of rate cuts later in the year. He said a 'strong' labour market has tempered appetites for cutting.
Housebuilding has been on the slate in London, following the first speech by newly appointed chancellor Rachel Reeves. Reeves has vowed the Labour Party will "get Britain building again" with targets for new homes.
Vistry (VTY.L) results on Tuesday morning kept with the housebuilding theme. Vistry said it expects to build more than 18,000 homes this year, up nearly 12% from last year.
Meanwhile, Reeves set out the government's stall for the new national wealth fund, which has been created to increase investment in the UK.
Read more: Is the Bank of England expected to cut interest rates in August?
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Fed needs 'more good data' to feel comfortable about rate cuts: Powell
FILE - Federal Reserve Board Chair Jerome Powell speaks at a news conference at the Federal Reserve in Washington, June 12, 2024. Powell testifies to the Senate Banking Committee on Tuesday, July 9, 2024. (AP Photo/Susan Walsh, File) (ASSOCIATED PRESS) How US stocks are faring at market open
Dyson to cut more than a quarter of UK workforce
Dyson vacuum cleaners are displayed at Dyson's new global headquarters at St James Power Station in Singapore March 25, 2022. REUTERS/Edgar Su/File photo (Reuters / Reuters) Dyson is set to cut around 1,000 jobs from its UK operations, more than a quarter of its British workforce, staff were told by email on Tuesday morning. The cuts come as part of a major restructuring.
According to a PA report, chief executive Hanno Kirner told employees: “We have grown quickly and, like all companies, we review our global structures from time to time to ensure we are prepared for the future.
“As such, we are proposing changes to our organisation, which may result in redundancies.
“Dyson operates in increasingly fierce and competitive global markets, in which the pace of innovation and change is only accelerating.”
Reeves set to launch £7.3bn national wealth fund
Britain's Chancellor of the Exchequer Rachel Reeves (C) chairs a meeting of the National Wealth Fund Taskforce at 11 Downing Street in London on July 9, 2024. (JUSTIN TALLIS / AFP) New chancellor Rachel Reeves is set to launch a £7.3bn wealth fund in Whitehall today at midday, which is aimed at attracting £3 of private funds for every £1 in public money. It will aim to invest in key infrastructure projects across the UK.
The government has also appointed an all-star task force to steer the initiative, including Bank of England governor Mark Carney, Barclays boss CS Venkatakrishnan and Aviva chief executive Amanda Blanc.
Investment is expected to be directed towards ports, gigafactories for electric car batteries, carbon capture and hydrogen projects and steel operations
