Live policy of businesses, the economy and money markets continues, as stores expect task losses to accelerate.
Economists are concerned about the UK’s economic outlook as winter approaches, and hopes for an immediate recovery have been helped by the grim readings of retail employers.
Retailers cut jobs in August of the year at the fastest rate since 2009, and an even steeper decline is expected for September’s figures, according to an industry survey.
All primary economies are going through a similar “want, no” situation, as Germany shows today. On the one hand, knowledge recommends that the recession was not as deep as previously feared; on the other hand, the “V-shape” of the main signs recommended that the rebound would not slowly update all production lost in the last regular months.
Here are some of today’s other developments:
You can continue our policy on the coronavirus epidemic, politics and foreign affairs around the world:
In the UK, Boris Johnson would possibly review mask regulations in English schools if the medical recommendation changes.
In the United States, “The Trump show” continues as the Republican conference heads to an evening with Donald’s family.
In our global coverage, two Europeans are reinfected with coronavirus, while Hong Kong says a guy has stuck to Covid twice.
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The administrators of Wirecard, the German payment company whose shame has indeed been spectacular, plan to reduce its staff by more than half, according to Bloomberg.
The company filed an insolvency application in June after admitting that there were approximately 2 billion euros in money on its balance sheet.
Auditor EY, who only learned of the budget missing a week before its collapse, said there were transparent indications of “complex and complicated fraud involving various parts of the world.” Since then, the Financial Times has reported on a plan to buy Deutsche Bank, non-existent corporations and runaway executives.
This is from Bloomberg’s report:
Wirecard AG’s director, Michael Jaffe, is about to lay off more than a portion of the company’s disgraced German workers as it seeks to reduce money outflows to creditors.
The existing 1,500 people will fall between 500 and 600, adding up to a few hundred voluntary departures, a user close to the case said.
The FTSE one hundred has returned to red by today, falling by 0.1% at the time of writing this article.
Losses are widespread, with Standard Chartered’s largest feller, 1.7% less.
But Wall Street turns out to be more vigilant: futures costs recommend that the S-P 500 benchmark earn 0.4% at the opening. The Dow Jones trading average targets a profit of 0.6%, but the Nasdaq will fall by 0.1% if futures are to be trusted.
Oil costs have gained ground as Manufacturers of the Gulf of Mexico prepare for storms.
Brent crude oil futures rose 1.4% today, reaching about $46 a barrel.
This would be the most powerful since the pandemic of the historic fall in costs in March and April.
Reuters reported that 82% of production on the U.S. Gulf Coast. He temporarily stopped in anticipation of tropical storms Marco and Laura. Refineries have also closed due to lack of products to process.
Futures costs for West Texas Intermediate, North America’s benchmark oil index, increased 0.8% to $42.94.
The pound remained still in August, not surprising given that many investors are taking a break and giant corporate transactions are also calming down, but today there is a bit of life: it has risen 0.6% against the US dollar to $1,3137.
Investors seem to forget about the grim reading of the CBI distribution industry survey (or have already incorporated it), and the dollar has also fallen slightly after positive China-US industry negotiations, which have spurred an appetite for threats.
The pound plummeted against the dollar in March as investors and businesses around the world moved towards the relative security of the global reserve currency. Since then, however, it has recovered for the industry at pre-pandemic levels.
Morten Lund, an analyst at Nordea Markets, told Reuters that “general sentiment” and a weaker dollar had helped sterling.
ING’s forex strata Francesco Pesole warned that the pound’s quote may show that investors underestimate the threat of a Brexit without an agreement. He said:
The positioning of sterling is a smart indication of how investors lately a technique very accommodating to the history of Brexit. While the collapse of the Brexit negotiations at the end of last week will only be reflected in next week’s CFTC positioning report, and we may see the reconstruction of some GBP shorts, the positioning of sterling is still far from the degrees it is in. when markets were evaluating a non-Brexit-related agreement.
In our view, this continues to highlight the extent to which sterling underestimates the threat of unsealed final results from existing UK-EU industrial negotiations, implying a significant threat of additional tensions over sterling in the coming weeks.
A British music generation startup has reached a wonderful $70 million agreement to buy Napster, one of the pioneers of the music streaming revolution.
London-listed MelodyVR, which films and broadcasts concerts that enthusiasts watch with virtual real helmets, takes from Rhapsody International, which operates under the so-called Napster and is owned by Nasdaq-listed RealNetworks.
MelodyVR aims to create a music platform that combines Napster, which began life in the 1990s as an illegal download platform, with its immersive live performances. Napster, which has 3 million users, has a library of 90 million authorized tracks.
You can read the full one here:
The worst seems to come for UK retail employees, according to CBI’s senior economist.
There has already been a litany of giant employers that have already eliminated thousands of retail jobs, and many economists expect a sharp rise in unemployment across the economy as winter approaches.
These are the loss of tasks only in the retail and hotel sectors:
Marks and Spencer – 7,000 jobs August 18: The food, clothing and family goods store eliminates jobs in central downtown, regional control and shops.
M – Co – 400 jobs 5 August: M-Co, Renfrewshire-based clothing store formerly Mackays, will have 47 of the 215 stores.
WH Smith: 1,500 jobs 5 August: The chain, which sells products ranging from sandwiches to stationery, will basically eliminate jobs at UK duty stations and airports.
Pizza Express – 1,100 jobs August 4: The restaurant chain plans to close 70 places to eat from a rescue restructuring agreement.
Dixons Carphone – 800 jobs August 4: Electronics store Dixons Carphone is cutting 800 executives at its retail outlets as it continues to cut costs.
DW Sports – 1,700 jobs at risk August 3: DW Sports enters management, ends its online retail page and risks closing its 150 gyms and stores.
Marks and Spencer – 950 jobs July 20: Main Street Pillar executive positions in retail stores, as well as similar to the ownership and operation of a store.
Ted Baker – 500 jobs July 19: Nearly two hundred jobs at the fashion store headquarters in London, the ugly Brown building and the rest in stores.
Azzurri – 1,200 jobs
Burberry: 500 jobs worldwide July 15: The total includes 150 jobs at UK headquarters, as the luxury logo tries to reduce prices by 55 million pounds after a drop in sales due to the pandemic.
Boots: 4,000 jobs nine in July: Boots eliminates 4,000 jobs, or 7% of its workforce, through the last 48 optics and clipping outlets at its Nottingham headquarters, as well as at some visitor checkpoints and service in stores.
John Lewis – 1,300 jobs July 9: John Lewis announced plans to permanently close 8 of his 50 retail outlets, adding entire branches in Birmingham and Watford, with the most likely loss of 1,300 jobs.
Celtic Manor – 450 jobs July 9: The heads of the Celtic Collection in Newport, which hosted the 2010 Ryder Cup golf and the 2014 NATO conference, said 450 of their 995 would lose their jobs.
Pret a Manger: 1,000 jobs July 6: Pret a Manger will have to permanently close 30 branches and could eliminate at least 1,000 jobs after suffering ‘significant operational losses’ after the closure of Covid-19
Casual Dining Group – 1,900 jobs July 2: Restaurant chain owner Bella Italia, Café Rouge and Las Iguanas collapsed in management, with the rapid loss of 1,900 jobs. The company stated that there were several offers on the table for parts of the business, but that buyers wanted to get all the existing sites and that 91 of its 250 outlets would remain permanently closed.
Arcadia – 500 jobs July 1: Arcadia, sir Philip Green’s troubled organization – Topshop owner Miss Selfridge, Dorothy Perkins, Burton, Evans and Wallis – said in July that 500 jobs at the 2500 headquarters would be eliminated in the coming weeks.
SSP Group – 5000 jobs July 1: The owner of Upper Crust and Caffe Ritazza will eliminate 5,000 jobs, or almost part of its workforce, with cuts to his head and operations in the UK after the pandemic blocked domestic and foreign travel.
Harrods – 700 jobs July 1: Branch organization is cutting one in seven out of its 4,800 workers due to the “continued impacts” of the pandemic.
Harveys – 240 jobs June 30: Administrators made 240 layoffs at the Harveys furniture chain, with more than 1,300 jobs at risk if a customer could be found.
TM Lewin – 600 jobs June 30: ShirtmakerTM Lewin has permanently closed its 66 outlets, with the loss of some 600 jobs.
Monsoon Accessorize – 545 jobs June 11: Fashion brands were bought from management through its founder, Peter Simon, in June in an agreement in which 35 retail establishments closed permanently and lost 545 jobs.
Mulberry – 470 jobs June 8: The fashion and luxury accessories logo will reduce 25% of its global and has started consulting with the 470 employees at risk.
The Restaurant Group – 3,000 tasks June 3: The owner of restaurant chains such as Wagamama and Frankie-Benny’s has closed chiquito’s maximum outlets and 11 of its Food and Fuel pubs, and 120 places to eat must close permanently. The total number of tasks lost can reach up to 3000.
Clarks – 900 jobs May 21 : Clarks plans to eliminate 900 jobs internationally as he struggles with the expansion of online footwear purchases as well as the pandemic.
Oasis and Warehouse: 1,800 jobs April 30: Fashion brands were purchased through Hilco’s corporate restructuring in April, with all outlets permanently closed and 1,800 jobs lost.
Cath Kidston – 900 jobs 21 April: More than 900 jobs were eliminated without delay at the outdated cath Kidston retail brand after the company announced the permanent closure of the 60 UK stores.
Debenhams – 4,000 jobs April 9: At least 4,000 jobs will be lost in Debenhams at their head and outlets will close after their collapse in management in April, for the time being in a year.
Laura Ashley – 2,700 assignments March 17: Laura Ashley collapsed into the administration, with 2,700 lost tasks, and said rescue negotiations had been thwarted by the pandemic.
Howard Archer, a leading economic adviser to EY Item Club, a forecaster, said the survey showed a loss of momentum.
A little more knowledge of the CBI retail industry survey: retail sales fell during the year in August, and a sharper drop is expected next month, adding to considerations of the UK’s economic recovery.
Overall, 6% of stores reported a drop in sales for the year through August, with a positive balance of 4% in July, the CBI said. Expectations for next month are much worse, with a store balance of 17% predicting a decline.
The deterioration of the outlook comes as the UK prepares to finalize the employment maintenance programme, which is the wages of holiday staff. This has helped the finish, but employers are now forced to contribute to staff payments, and the plan will be completely closed by the end of October, raising questions about a wave of loss of tasks in the meantime.
Online sales paid off with continued growth, and a balance of 46% of stores reporting increases. This is roughly equivalent to the long-term average of 45%.
Among the distribution occupations studied, the CBI stated that:
Retail employment fell at the fastest rate from February 2009 to August, and an even steeper decline is expected from the year to September, with a pandemic of a wave of layoffs, according to a survey of primary retailers.
A negative 45% of the 63 primary stores said employment had fallen, a serious 20% decline in May, according to the Confederation of British Industry (CBI).
A decline in the next quarter (-52%).
Alpesh Paleja, senior economist at CBI, said:
The licensing programme has proven effective in isolating staff and businesses in some of the sectors most affected by the pandemic, but these effects reinforce considerations that many lost tasks have been delayed on the calendar rather than avoided.
In fact, the most recent survey shows that the retail advertising situation remains difficult, even in a context of slow business recovery. Companies will be wary of the deterioration of family income and the threat of additional local closures that can hit them in the pocket for a moment.
So how will Ant Group be worth it?
The company was founded through Alibaba’s founder, Jack Ma, and holds a leading position in China’s monetary sector.
Ant Group was known in the past as Ant Financial. It was created in 2014 and was born from Ma’s Alipay, a recipient payment service introduced through Alibaba in 2004 to serve buyers and merchants on Taobao, one of the world’s largest e-commerce sites (also owned by Alibaba).
It is still in the early stages of the company’s valuation, however, some reports recommend that it only aim to compete with Paypal, which lately is valued at $233 billion (178 billion pounds).
The Financial Times reported in July that Ant Group was last valued at $150 billion in mid-2018 after raising about $14 billion from investors such as Temasek, General Atlantic, Warburg Pincus and Baillie Gifford.
The IPO prospect suggests that the company may be vulnerable to industry tensions between the United States and China. Donald Trump has shown that he is very interested in the fortunes of Chinese generation companies, with TikTok under pressure.
Ant Group, Alibaba’s financial technology arm and China’s dominant cellular company, has been deployed for the board in the Hong Kong inventory market and the Nasdaq-style STAR market in Shanghai.
The initial public provision can raise up to $30 billion (23 billion pounds), making it the largest in history, Reuters reported.
Already the world’s most valuable unicorn, or an unlisted billion-dollar generation company, Ant has revealed the size, timing or other key points of the offering in its initial prospectus.
But they’re big numbers. Look at this 1058% profit increase:
The early uptick in stock markets from the start turns out to be fading a little bit: the FTSE 100 rose only 0.1% in mid-morning operations to 6,111 points.
Germany’s Dax is performing better, with a 0.6% increase after economic signals that a recovery is taking place, even if it is fragile.
Cac in France won 0.8% and the Stoxx 600, which follows Europe, rose 0.5%.
Consumers who spend more on their homes relative to the industries, and the call after the blockade helped boost the DFS Furniture homewares store business beyond corporate expectations.
The store said in a commercial update that its fiscal year had “started well,” with an expansion of orders year after year in more than six weeks to about 70 million pounds in revenue.
However, the chain, which owns about 30% of the UK’s upholstered furniture market according to Jefferies analysts, said it was difficult to expect long-term operations, given the persistent dangers to customer confidence due to the Covid-19 and its potential. have an effect on Brexit.
DFS shares have won 14% on Tuesday after the announcement.
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