A do-nothing start for the global indices left the floor clear for investors to focus on the incoming UK jobs report.
Even before the latest jobs data, life continued to leech out of sterling as the prospect of Brexity Boris Johnson as PM grows ever closer. Cable tumbled back under $1.249 after shedding 0.3%, while against the euro sterling was flailing at a fresh 6-month nadir of €1.1095.
It is, then, going to take a pretty special jobs report to clear the dark clouds currently hanging over the currency. Sadly for sterling, wage growth is merely expected to hold at 3.1%, with the unemployment rate similarly unchanged at 3.8%; the claimant count change, meanwhile is set to fall from 23.2k to 18.9k.
Despite the pound’s problems, the FTSE wasn’t able to reclaim 7550 after the bell. A soft start from BP (LON:BP), Shell (LON:RDSa) and Rio Tinto (LON:RIO) – the latter announced further delays and rising costs at its underground copper project in Mongolia – helped keep the index on a leash; ditto the generally uninspired open across Europe, the DAX and CAC trickling 0.1% and 0.2% lower respectively.
Investors lost their sweet tooth on Tuesday, ditching Irn Bru-brewer A.G.Barr PLC (LON:BAG) after the fizzy drinks firm warned that full year profit would be down as much as 20% year-on-year. This came as it stated half year revenue would be down around 10% to £123 million. Taxed by the sugar tax, the stock plunged 30%, leaving it at lows last seen at the end of 2017.
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