The North Korean goading continues with the Pyongyang regime supplying plans to rain missiles into the waters close to US territory Guam. Overnight the Nikkei 225 was down -0.09% to 19,721 while the South Korean Kospi was 0.12% lower at 2,361.96.
The spot dollar price climbed overnight to $93.69, up 0.17%. The euro was down -0.21% against the US currency to $1.1734 while the pound dipped -0.22% against the dollar to $1.2975. Gold is now close to a two-month high at $1,278.
The pressure on China to enforce sanctions builds given the dependencies: North Korea imports more or less everything from its near neighbour. China receives coal exports from North Korea though this was recently lowered. Either way, China has a tight rein on the North Korean economy. Later, watch for key US job figures data plus producer price index, 1.30pm.
- UK FTSE 100 7,498.06 -0.59%
- Dow 22,026.10 +0.04%
- S&P 500 2,472.16 -0.22%
- Nasdaq 6,340.34 -0.35%
- Nikkei 225 19,726.05 -0.06%
- DAX 12,154.72 -1.12%
- CAC 40 5,145.70 -1.40%
- Gold 1,282.70 +0.27%
- Oil WTI 49.59 +0.06%
Glencore earnings boosted by commodity prices
We start with FTSE 100 mining heavyweight Glencore. Half year adjusted earnings come in at $6.74bn while earnings per share soar to $0.17 per share compared to $0.03 a year ago. Net debt is down 11% to $13.9bn. The recovery is pinned on higher prices for a range of key Glencore commodities, including coal and copper.
"As we look forward,” says Glencore, “the potential large-scale roll out of electric vehicles and energy storage systems looks set to unlock material new sources of demand for enabling underlying commodities, including copper, cobalt, zinc and nickel.”
Co-op continues to lose customers
Next, the Co-op Bank has stemmed losses to £135m though current account users, down 25,000, continue to make for the exits. Total operating expenditure is cut 9.9% to £200.8m; this time last year it was £222.8m.
Despite the haemorrhaging of current accounts Co-op chairman Dennis Holt says customer service “has remained strong and we are in the top three banks for current account customer service in the UK. We intend to build on these strengths as we look to the future”.
Facebook (FB) says its moving into the online video market. The company, with two billion users, says FB users will have the option of a new Watch tab. The move is being funded by the social network player. That means FB is moving into the increasingly competitive space of Netflix, Amazon and Youtube.
Elsewhere travel player TUI says turnover increased 12.6% to €4.8bn though full-year guidance remains unchanged.
Breaking news: Coca-Cola HBC, a major bottler for the Coca-Cola company, says revenues climbed 5.7% for the first half of the year while operating profits surged 20.8% to €266.4m. Toshiba hits its long-awaited earnings deadline today.