- UK CPI inflation up 3.2 per cent in August
- China's regulatory crackdown continues
- Crude oil given vaccination boost
European markets flat at the open this morning as UK inflation surged to a record high in August and Chinese economic data was soft. China’s retail sales fell to +2.5 per cent in August, down from +8.5 per cent in July, whilst industrial output grew by 5.3 per cent, the weakest in more than a year. Asian stocks were weaker again following another soft session on Wall Street. Macau casino stocks the latest to plummet on a Beijing crackdown; Wynn Macau –27 per cent, Sands China –31 per cent, leaving the Hang Seng down 2 per cent. Evergrande (3333) shares fell another 5 per cent. Apple (AAPL) unveiled new products, more spending on content. Shares fell 1 per cent, taking losses over the last 5 days to more than 5 per cent. Stock these days has a look of a safe utility and it always does badly on the September product day.
The FTSE 100 this morning is flat around 7,030, with energy and financials leading the way higher, tech and healthcare at the bottom. Restaurant Group (RTN) shares weaker despite some good momentum since indoor dining reopened allowing it to raise earnings guidance. Darktrace (DARK) shares +8 per cent as it raised revenue guidance, now seeing growth of 35-37 per cent, vs the prior guidance of 29-32 per cent. Fevertree (FEVR) shares up 2 per cent as direct-to-consumer sales doing well and US growth good.