Proposal for a Worker Radiation Safety Directive Sought by Commission amid Concerns over Radiation Exposure Risks
10:59 AM - A potential annual loss is sending British clothing company Joules' shares plummeting, dipping by nearly 41% at its peak. The company blames the slide on a heatwave dampening demand for outdoor and rainwear, along with general consumer caution due to higher prices and living costs. Joules anticipates a "significant" loss in the first half, which could translate to a pre-tax loss for the full year.
10:31 AM - A robust dollar is squeezing gold prices. Investors who often turn to gold as a hedge against inflation see the precious metal falling by 0.4% at its peak to $1751 per troy ounce, its lowest level in three weeks. Anticipation of further interest rate hikes in the US is giving a boost to the dollar, making commodities more expensive for those outside the US.
10:05 AM - The sale of a substantial 33% stake in iFood to technology investor Prosus is igniting a rally in Just Eat Takeaway shares. The stock spikes by as much as 29.6% to €21.60, its highest level in nearly two months. Prosus will hand over €1.5 billion in cash and an additional contingent consideration of up to €300 million for the stake. Even though Just Eat wished to hang on to the stake, it couldn't ignore the financial benefits of the sale as per a comment from investment bank Jefferies.
09:35 AM - Cryptocurrency Bitcoin is plunging significantly as the week comes to a close. The digital currency takes a dive by as much as 8.6% to a three-week low of $21,397 within minutes. Ethereum follows suit, dropping by over 8% to $1,725. The root cause of the downturn remains unclear. Over the weekend, Bitcoin had climbed above the psychologically significant $25,000 mark for the first time since June, buoyed by hopes of a cautious US monetary policy.
07:32 AM - The prospect of further substantial interest rate hikes in the U.S. is escalating the US dollar. The dollar index surges to a one-month high of 107.72 points, up 0.2 percent at its peak. James Bullard, the head of the St. Louis Fed, expresses his preference for a 0.75 percentage point increase in interest rates at the next U.S. central bank meeting in September to combat inflation. The Fed raised interest rates by 0.75 percentage points in both July and June, placing the rate within a range of 2.25 to 2.50 percent. Meanwhile, the euro loses ground, despite reassurances from ECB board member Isabel Schnabel that rates will still increase. The common currency drops as much as 0.2 percent to a five-week low of $1.0068, inching towards parity. Commerzbank analyst Esther Reichelt comments that the current debate over whether the ECB will raise its key interest rate by 25 or 50 basis points in September highlights how far behind the ECB is compared to the Fed. "Given the increasingly gloomy growth outlook, this is becoming an increasingly pressing issue for the euro," she states.
As for Bitcoin, economic uncertainties, inflation rates, political instability, capital controls, and decoupling from traditional assets are among the factors causing its volatility and recent downward trend. Additionally, a deviation from historical patterns between Bitcoin and the Dollar Strength Index (DXY) may suggest a shift in their relationship or the emergence of other influencing factors.
In the realm of finance, the potential annual loss anticipated by British clothing company Joules might prompt investors to explore alternatives within the industry, considering the tech-heavy iFood's recent sale to Prosus which ignited a rally in Just Eat Takeaway shares. Meanwhile, the downturn in cryptocurrencies like Bitcoin could encourage financiers to sought refuge in traditional resources such as gold, particularly as the robust dollar escalates due to expectations of further interest rate hikes in the US.
