Sterling Falls as Traders React to Jobs Data

Sterling Falls as Traders React to UK Jobs Data

0719 GMT - Sterling falls as investors digest the latest U.K. labor market data. The U.K. unemployment rate unexpectedly fell to 4.7% in the three months to June from 4.8% previously but the more up-to-date claimant count figure, a measure of people claiming unemployment benefits, fell by just 7,800 in July after a 114,800 drop in June. "September will be a key month for employment data as the government's furlough scheme comes to an end," Premier Miton's Neil Birrell says. "That may give an indication of how the economy will fare through the rest of the year." GBP/USD falls to a three-week low of 1.3788, from 1.3827 before the data, according to FactSet. EUR/GBP rises to a near two-week high of 0.8535, from 0.8515 beforehand. ([e-mail])

 
Companies News: 

BHP to Combine Oil Unit With Woodside, End Dual Listing in London

BHP Group Ltd. said it will combine its oil-and-gas business with Australia's Woodside Petroleum Ltd. in an all-stock deal, and separately said it would end its dual listing in London.

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BT Group Names Adam Crozier as Next Chairman, with Effect from December

BT Group PLC said Tuesday that it has appointed Adam Crozier, former chief executive of ITV PLC and Royal Mail PLC, as its next chairman, replacing Jan du Plessis.

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TP Group Says GBP45.2M Takeover Proposal From Science Group Undervalued Company

TP Group PLC said Tuesday that it rejected a proposed 45.2 million pound ($62.6 million) takeover proposal from Science Group PLC as it significantly undervalued the company.

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Remote Monitored Systems Continues Trials for Products, in Discussions With Potential Partners

Remote Monitored Systems PLC said Tuesday that its wholly owned subsidiary Pharm 2 Farm Ltd. is continuing trials for two products, and that it is in discussions with potential partners for each product.

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Electra Private Equity to Rename Itself Unbound After Hospitality Spinoff

Electra Private Equity PLC said Tuesday that it will rename itself as Unbound Group PLC after a demerger of its hospitality brands through a new company called Hostmore PLC.

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Plus500 1H Pretax Profit, Revenue Fell; Approves $12.6 Mln Buyback

Plus500 Ltd. said Tuesday that pretax profit and revenue fell for the first half and that it has approved a buyback program of up to $12.6 million.

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Shield Therapeutics Swung to 1H Pretax Loss

Shield Therapeutics PLC said Tuesday that it swung to a first-half pretax loss after booking higher costs and lower revenue, and that its outlook for the second half was focused on the U.S. launch of its iron-deficiency product Accrufer.

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ULS Technology Says 1Q Performance Benefited From Buoyant Housing Market

ULS Technology PLC said Tuesday that its first-quarter performance benefited from a buoyant housing market and that, although transactions are expected to moderate during the summer, conditions are expected to improve in the fall.

 
Market Talk: 

UK Jan 2046 Gilt Looks Attractive Ahead of Auction

0725 GMT - The U.K. Debt Management Office's planned sale of GBP2 billion in the 0.875% January 2046 gilt is likely to attract demand as the bond was offering some premium in all metrics Monday, says RBC Capital Markets. "Despite the rich metrics on outright, the curve and on asset swap spreads, we have seen some concessions on all these metrics heading into yesterday's close which should be supportive," the bank says. Moreover, the market appears to be short inventory on the bond, given the Bank of England Asset Purchase Facility's buying activity since the last tap, which also bodes well for today's event. The APF purchase of longer-dated gilts this afternoon will also provide a positive contribution, it says. ([e-mail])

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