Investment market update
This bulletin provides you with an overview of the latest market news from around the world – world markets, key headlines, stocks and market data.
UK equities are expected to open higher this morning, as Greek lawmakers agree to the latest bailout programme.
Asian stocks rose after Greek lawmakers voted in favour of new bailout demands, damping concern over a break up in the currency union.
US stocks were little changed, as Janet Yellen signalled the Federal Reserve is on track to raise interest rates this year.
UK stocks closed unchanged after swinging from gains to losses intraday as miners pared a rally.
Greek lawmakers passed a bailout agreement that keeps the country in the euro, shifting attention to the European Central Bank as it weighs whether to inject more money into the country’s financial system. After more than four hours of debate stretching into the early hours of this morning, 229 members of the 300-seat parliament in Athens approved new austerity measures that are a precondition of as much as €86 billion in aid.
Federal Reserve Chair Janet Yellen delivered an upbeat message on the economic outlook to lawmakers and parried attacks from Republicans who say the central bank is too secretive and needs stronger oversight. Yellen repeated that the Fed is likely to raise its main interest rate this year, assuming its forecasts for stronger growth and lower unemployment are realized.
European car-sales growth accelerated to the fastest pace in 5 1/2 years in June as Volkswagen AG, PSA Peugeot Citroen and Ford Motor Co. attracted customers with new models and the region’s economy expanded. Registrations rose 15% to 1.41 million autos from 1.23 million a year earlier. The jump was the biggest since a 16% surge in December 2009, when governments in the region offered incentives on trade-ins of older cars to help the industry recover from the global recession.
Bank of America Corp. gained 3.2% after its quarterly profit more than doubled.
Burberry Group Plc retreated 2.6% after saying it will review stores in Hong Kong after reporting a worsening decline in sales there.
Tullow Oil Plc fell to a three-month low after Investec Bank Plc cut its price estimate for the Africa-focused explorer.
Builders’ merchant Travis Perkins gained 2.8% after a broker upgrade.