Shares in Donald Trump’s social media company hit their lowest level since it went public in March on the Nasdaq exchange.
The social media business, Trump Media & Technology, lost as much as 3.5pc during trading this afternoon.
The shares have been hit by considerable volatility since floating on Nasdaq and have lost 36pc over the past month.
Trump Media & Technology is the company behind Truth Social, a social media platform launched after Mr Trump was voted out of office.
It launched in 2022 and works similarly to Twitter, now known as X, with users able to post “truths” or share other people’s posts by “retruthing” them.
The share price fall follows weak quarterly results and the Republican presidential candidate’s return to social media platform X.
The selection of Kamala Harris as the Democratic candidate has also hit the stock, which has been seen by some retail traders as a bet on whether Trump would win a second term.
Commentators have said that the company’s value is detached from financial reality, with Trump Media being compared to a “meme stock” in which its price is bidded up by supporters of Mr Trump.
Read the latest updates below.
06:00 PM BST
Signing off…
Thanks for joining us today on the Markets blog.
We will be back in the morning from around 7am to cover the latest from the City and further afield.
05:48 PM BST
Wall Street extends winning streak ahead of central banker meeting
The S&P 500 and the Nasdaq rose for an eighth straight session on Monday as concerns around an impending recession abated and markets zeroed in on Federal Reserve chairman Jerome Powell’s speech at Jackson Hole in the US state of Wyoming later this week.
All three major US indexes notched up their best week of the year on Friday – a sharp turnaround from an equities selloff earlier in the month triggered by July unemployment data that fanned worries about the health of the world’s biggest economy.
The S&P 500 has recovered to levels last seen before the July jobs report, while the Dow and Nasdaq sit about 0.2pc and 0.5pc off, respectively.
The S&P 500, Dow Jones and Nasdaq Composite are all up around 0.5pc this afternoon.
Minutes from the Fed’s last policy meeting are due on Wednesday, and Powell will speak at the economic symposium in Jackson Hole on Friday, with investors keeping an eye out for any signs of acknowledgment of a rate cut in September.
Phil Blancato, of Ladenburg Thalmann Asset Management, said:
The Fed has recently mentioned how the risk of being too tight for too long, and not restrictive enough are roughly equal, so any “Fedspeak” one way or another could prompt markets to see one risk as more prominent than the other.
05:37 PM BST
European shares notch broad-based gains but defence stocks lag
European shares climbed today, led by retail and natural resources stocks. But investors are bracing for a data-heavy week with a focus on US Federal Reserve chairman Jerome Powell’s speech at Jackson Hole,Wyoming, for clues on potential rate cuts.
The pan-European Stoxx 600 index, which include some of Britain’s biggest companies, closed 0.6pc higher. It is touching an over three-week high in broad-based market gains, after having notched its biggest weekly gain in three months.
All the major European stock market indexes such as in Germany, France, Italy and Spain climbed between 0.5pc and 1.4pc.
Miners rose 2pc tracking the strength in metal prices, while online fashion marketplace Zalando and British sportswear retailer JD Sports led the charge among retail stocks.
Meanwhile, defence stocks fell after a report that the German finance ministry would not approve additional applications for Ukraine military aid due to budget constraints.
Hensoldt, Renk, BAE Systems, Saab, Thales and Leonardo were down between 0.8pc and 5.4pc.
Investors are now gearing up for another week brimming with crucial economic data including euro zone inflation and Purchasing Managers’ Index numbers.
05:05 PM BST
UK grants permission for London City Airport expansion after appeal
The Government has approved plans to expand capacity at London City Airport by 2.5m passengers, overturning parts of a previous local-level decision but maintaining a ban on Saturday afternoon flights.
The airport had sought to expand annual capacity to 9m passengers, up from 6.5m by 2031.
It wanted to take a number of measures, including seeking permission to push back a curfew on flights on Saturday afternoon from 12:30pm to 6:30pm.
On Monday, a document published on the Government website said:
The Secretaries of State agree with the Inspectors’ conclusions, and agree with their recommendation. They have decided to grant planning permission, subject to revised conditions that maintain the existing Saturday curfew period.
The plan was initially rejected in July 2023 by Newham Council, which runs the borough in which the airport operates, over a range of objections such as the potential impact of the expansion on climate, air quality and noise.
The airport then sought to appeal, resulting in today’s decision.
04:54 PM BST
Footsie closes up as world shares extend gains
The FTSE 100 closed up 0.6pc as world share indexes mostly rise.
The largest riser on the blue-chip index was househiolder Barratt, up 3.4pc, followed by commodities company Glencore, up 2.8pc.
At the other end of the index, Hikma pharmaceuticals lost 1.5pc, while engineering business Spirax fell 1pc.
Meanwhile, the mid-cap FTSE 250 rose 0.5pc. The top riser was magazine publisher Future, up 6.9pc, followed by housebuilder Redrow, up 4.5pc.
The biggest faller was Domino’s Pizza, down 2.3pc, followed by GCP Infrastrucutre Investments, down 2pc.
04:38 PM BST
Tile firm shuts 56 stores and axes jobs despite Topps rescue deal
Tile supplier CTD Tiles has struck a rescue deal with Topps Tiles after falling into administration but has shut 56 stores and cut 268 jobs.
The company, which ran 86 stores across the UK and employed 425 staff, fell into insolvency after coming under pressure from a downturn in the home improvement sector.
Administrators from Interpath Advisory said competitor Topps had struck a deal to buy CTD’s brands, intellectual property, stock, 30 stores and operation of distribution sites in Leeds and Kings Norton, Birmingham, for around £9m.
It is understood that 92 workers will transfer to Topps Tiles.
James Lumb, managing director at Interpath Advisory and joint administrator of CTD Tiles, said tough market conditions proved “insurmountable” for the supplier in recent months “as consumer and trade demand failed to recover in line with expectations”.
He added: “The transaction with Topps Group provides continuity for a considerable number of staff and stores as part of a major tiles group.”
Rob Parker, Topps chief executive, said: “The CTD brand and assets are an excellent fit with our existing business and the acquisition creates a new and complementary specialist tile business within the Topps Group.”
04:36 PM BST
Barratt and Redrow shares jump as they move closer to merger
Shares in two housebuilders planning to merge rose today after they told investors that they now intend to complete the transaction later this week.
Redrow rose 4.4pc, while Barratt’s shares rose 3.2pc.
Barratt said it is temporarily putting aside concerns from the Competition and Markets Authority (CMA) so it can go ahead with the buyout.
The CMA had said earlier this month that the acquisition could lead to higher prices and lower quality homes in one area – in and around Whitchurch, Shropshire, which we reported on earlier.
It did not flag any concerns about the merger on a national level.
Barratt said on Monday that Whitchurch represents just one of more than 400 areas where the two companies overlap, and that both firms are working to come up with solutions to address those limited concerns.
Barratt said completing the acquisition, following a court hearing scheduled for Wednesday, would remove any uncertainty for staff, the supply chain and wider stakeholders of both businesses.
The two firms are expecting to have fully merged within 18 months of the acquisition, with efficiencies and cost savings due to take shape after three years.
04:24 PM BST
Trump’s social media company hits lowest level since IPO
Shares in Trump Media & Technology hit their lowest level since it went public in March on the Nasdaq exchange.
The social media business lost as much as 3.5pc during trading this afternoon and the shares are currently down 2.5pc.
The shares have been hit by considerable volatility since floating on Nasdaq and have lost 36pc over the past month.
04:06 PM BST
Nikkei 225 fell 1.8pc as global stock markets rise
Japan’s Nikkei 225 dropped 1.8pc while other major global stock markets have risen.
The SSE Composite Index, representing companies trading on the Shanghai Stock Exchange, rose 0.5pc, while the MSCI gauge of global stocks is up 0.6pc.
The Nikkei was hurt by a rise in the Japanese yen’s value against the US dollar.
Such moves can erode profits for Japanese exporters, and big swings in the yen’s value following a recent hike to interest rates by the Bank of Japan was a big factor in markets’ turmoil earlier this month.
It forced hedge funds around the world to abandon a popular trade en masse, where they had borrowed Japanese yen at cheap rates to invest elsewhere.
04:00 PM BST
US dollar drops to 7-month low
The dollar has dropped to a seven-month low against a basket of major currencies as traders bet on US rate cuts.
The dollar is down 0.3pc against the pound today and 0.4pc down against the euro.
Axel Rudolph, senior technical analyst at online trading platform IG, said:
Rate cut expectations of at least 25 basis points [a quarter percentage point] at the Fed’s September meeting and 94 basis points [nearly one percentage point] before year-end continue to put pressure on the US dollar with it depreciating to a seven-month low against a basket of major currencies.
The gold price remains close to last week’s record high around the $2,500 mark while the oil price stays under pressure on demand concerns.
03:53 PM BST
How Facebook and Instagram are profiting from Britain’s drug gangs
Dealers are turning to social media to promote illicit goods for sale in paid-for advertisements. Matthew Field reports:
Blocks of cocaine, bags of cannabis and piles upon piles of pills.
These are just some of the illegal substances lurking in the shadiest corners of the dark web.
However, no longer do drug dealers have to go to great lengths to flog their wares online – they use Facebook and Instagram as an easier alternative.
New analysis shows that social media sites are increasingly home to paid-for advertisements displaying a variety of illegal substances.
A study of the social media sites appears to show hard drugs on sale across dozens of advertisements, often pointing buyers to encrypted smartphone apps to complete the transaction.
The illicit trade is flourishing despite Meta, which owns both Facebook and Instagram, claiming to enforce a strict ban on the practice.
Research carried out by the Telegraph shows that a number of UK-based drug dealer accounts on Facebook and Instagram use sponsored advertisements to carry out their trade.
Read the full story…
03:51 PM BST
‘Everything points to this Friday’, says wealth manager
Minutes from the Fed’s last policy meeting are due on Wednesday, and Powell will speak at the economic symposium in Jackson Hole on Friday, with investors keeping an eye out for any signs of acknowledgment of a rate cut in September.
Investors are also anticipating Purchasing Managers’ Index (PMI) data for France, Germany, Britain and the euro zone later this week.
Paul O’Neill, chief investment officer of wealth management firm Bentley Reid, said:
Everything points to this Friday. We’ll be looking for any indication that rate cuts might be on the way. The next question is, how big will those rate cuts be?
Minneapolis Fed President Neel Kashkari said the debate about potentially cutting interest rates in September is an appropriate one to have because of a rising possibility of a weakening labour market, according to a report.
Peter Andersen, founder of Andersen Capital Management, said:
They’re expecting Powell to perhaps signal suddenly the Fed’s upcoming actions. I’m not sure that will actually happen but the entire market will be focused on the proceedings of the Jackson Hole meeting.
Traders currently see a 75.5pc chance of the Fed cutting interest rates by a quarter percentage point in September, compared with an even split between a half point and a quarter point cut seen a week ago, according to the CME FedWatch Tool.
The Fed is not alone in contemplating looser policy, with Sweden’s central bank expected to cut rates this week, and possibly by an outsized half a percentage point.
Even as markets have calmed again, it is worth remembering that the economic fundamentals behind the global markets selloff two weeks ago have not completely vanished, said Deutsche Bank macro strategist Henry Allen.
03:40 PM BST
Defence stocks recover after hit from German spending worries
European aerospace and defence stocks have mostly rebounded after a hamming this morning.
The pan-European Stoxx 600 aerospace and defence index was down as much as 1.9pc during trading after a a report in a German newspaper on Saturday. The Frankfurter Allgemeine Sonntagszeitung (FAS) said that the German finance ministry would not approve additional applications for Ukraine military aid due to budget constraints.
A German government spokesperson reiterated Berlin’s support for Ukraine for “as long as necessary” at a regular press conference on Monday, calling the FAS report “incorrect”.
Shares in arms manufacturer Rheinmetall slumped to the bottom of Germany’s blue-chip DAX index, falling by as much as 5pc.
BAE Systems was down as much as 2.9pc.
The FAS report said that no new requests for money for Ukraine will be approved at the request of Chancellor Olaf Scholz, citing a finance ministry letter from Aug. 5.
In the letter, obtained by Reuters on Monday, the finance ministry says new measures are only allowed this and next year if the financing has already been secured.
Around €8bn is already earmarked for Ukraine’s military in 2024, and the budgeted €4bn for 2025 is already overbooked, according to the newspaper. “The pot is empty,” FAS quoted a government source as saying.
03:22 PM BST
Plus500 gains £31m from customers who lost out
Plus500 reaped a $40m (£31m) windfall betting against its own customers as the trading platform boosted profits. Michael Bow reports:
The Israeli group, which has 175,000 customers, made the money from clients who had bought contracts for difference, a type of derivative which reflects the price of stocks and currencies.
Unlike some other trading platforms, Plus500 makes a portion of its revenue from customers who lose out on their market bets and loses money when customers win.
The FTSE 250 group said it earned $39.7m from customers who lost out on their trades between January and June, down slightly from the $41.9m last year.
Plus500 said the contribution from customer trading performance would be “broadly neutral” over time.
Chief executive David Zruia denied the company profiteered from customer losses, saying it was “not the business model”.
“This is the beauty of being very clean, honest and transparent with your client,” he said “There is the element of the customer income. Some customers win, sometimes they lose.”
Plus500’s revenues increased 8pc to $398.2m for the half year ending June, sending earnings up 6pc to $183.9m. The trading platforms like Plus500 are normally affected by large sporting events like the Olympics, when clients turn away from its platform to speculate on sports instead of financial markets.
However Mr Zruia said the stock market turmoil in the middle of the games forced more clients back to Plus500 to place trades.
“We did expect to have slower months due to the Olympics but it was upset by the market volatility,” he said.
03:22 PM BST
KFC rival to add six more stores
Wingstop is to open six more shops this year, adding 300 new jobs to its 2,500-strong workforce, it said on Monday.
The company will open the outlets in Crawley, Ealing, Manchester, Lakeside, Whitechapel and Walthamstow.
The fast-serve fried chicken chain is positioned as a premium alternative to KFC, and has attracted celebrity fans including the rapper Stormzy.
Lemon Pepper Holdings, the master franchisee of Wingstop in the UK, opened its first Wingstop outlet in Britain in 2018.
Since then it has grown to 50 restaurants, with the 50th location opening on Monday in Bolton.
The opening will create 60 new jobs in the local area, and Wingstop will be handing out free chicken wings to the first 100 customers.
It comes as Lemon Pepper Holdings separately explores the sale of the business, having appointed Goldman Sachs bankers to find new owners.
The potential sale process, first reported by Sky News earlier in August, was kicked off in response to unsolicited expressions of interest from potential buyers.
Mr Sherriff added that the chain still has “untapped” potential across Britain, and that it has ambitions to reach 200 sites within the next five years.
The Telegraph has approached Wingstop UK for comment.
03:16 PM BST
Markets await Powell speech at annual central bank summit
Along with stock prices modestly rising today, gold prices rose today ahead of a meeting of central bankers that could give fresh signals about the US interest-rate outlook.
Positive data last week eased concerns about the health of the US economy after markets were hammered earlier this month due to recession fears and a Japanese interest-rate hike.
Traders are now turning their attention to an annual symposium of central bank chiefs later this week in Jackson Hole, in the US state of Wyoming.
The highlight will be Friday’s speech by Federal Reserve chairman Jerome Powell, with investors hoping that he will flag an interest rate cut for the Fed’s next policy meeting in September.
Luca Santos, currency analyst at ACY Securities, said:
Investors and analysts alike will be paying close attention to any signals from Fed officials about the future direction of US interest rates
There’s growing speculation that… Powell might hint at the possibility of starting rate cuts as early as September. But the size of the cut is still up in the air.
Mr Santos said a “modest” cut of 0.25 percentage points seems likely while a larger 0.50-point reduction “would need stronger evidence of a weakening US job market”.
All three main indexes on Wall Street rose Friday, leaving them back near the record highs touched before their August 5 rout as investors grow confident the US economy will avoid recession as the Fed cuts rates.
03:07 PM BST
Markets up around the globe
Thanks for joining the Markets blog this afternoon. I’m Alex Singleton and will be with you until the early evening.
Traders are looking at lots of green figures on their terminals this afternoon as stock markets mostly climb after a strong performance last week.
The FTSE 100 is up 0.5pc, while France’s Cac 40 is up 0.4pc and Germany’s Dax is up by a similar amount.
The S&P 500 and Nasdaq have risen 0.1pc, while the Dow Jones is up 0.3pc.
02:18 PM BST
British tech tycoon missing in superyacht sinking
British tech entrepreneur Mike Lynch is missing following the sinking of a superyacht off the coast of Sicily, the Telegraph understands.
One person has died and six others are missing after the boat sank at 5am.
Read more here
01:27 PM BST
Bitcoin struggling to recover after market turmoil
Investors are still shunning Bitcoin and other crypto-assets even as stocks have recovered from the global sell-off.
Bitcoin remains down by 12pc from a month ago, lagging well behind major stock indices.
The S&P 500 is 0.9pc higher than a month ago, while the tech-heavy Nasdaq is trading 0.5pc lower.
The FTSE 100 is up 2pc over the same period.
12:53 PM BST
Aspiring homebuyers adding to rental market pressure amid high rates, warns Chestertons
Renters in the capital looking for a new place to live are in for another miserable summer even as supply has improved.
The head of lettings at Chestertons, Adam Jennings, said fewer people were managing to get on the property ladder, contributing to greater demand for rental homes.
Mr Jennings said: “This year, we are seeing additional demand from aspiring homebuyers who, despite mortgage rates starting to fall, continue to rent. As a result, our branches have seen 29pc more renters moving into a property compared to July 2023.”
10:33 AM BST
Job openings pick up again amid strong economic growth
Vacancies grew by 1.1pc last month, marking the first significant rise in 2024.
The increase in job openings comes after it emerged last week that the economy grew by a healthy 0.6pc in the three months to June.
However job seekers still face the toughest market in three years, Adzuna warned.
10:09 AM BST
European stocks flatline after best week in three months
European stocks are flatlining this morning after their best weekly jump in three months.
Defence giants suffered heavy hits to their shares after it emerged over the weekend that Germany plans to limit military aid to Ukraine amid tight public finances.
Saab suffered a 6.6pc blow, Rheinmetall 3.5pc and Thales was down by 1.3pc. In the UK, BAE Systems was down by as much as 2.9pc.
09:12 AM BST
First rate cut triggered a “buzz” in the housing market says Rightmove
The Bank of England’s first interest rate cut in four years has helped to trigger a “buzz” in the housing market that is luring back buyers.
Tim Bannister, a director at Rightmove, said that while a jump in potential homebuyers was flattered by tough comparisons last year when mortgage rates were high, optimism was growing.
He told the BBC: “There’s a bit of buyer buzz, people were waiting for that first rate cut and what that might signal from a sentiment perspective, what that might mean for mortgage rates, and we’ve seen that reflected in terms of what people have been doing trying to find their next home.”
The Bank cut rates to 5pc from 5.25pc in August. It is widely expected to cut rates again in November.
Mr Bannister said “challenges definitely remain” in the housing market but noted that buyers with large deposits could now command rates “with a three in front of them” as mortgage costs continue to come down.
09:03 AM BST
FTSE 100 falls as markets open
The FTSE 100 Index fell by 0.3pc upon opening after its best streak in three months came to an end on Friday.
Meanwhile, the FTSE 250 slipped just as markets opened but quickly recovered.
Shares in housebuilder Redrow rose by 3pc after news this morning that the merger with rival Barratt has been approved.
08:46 AM BST
Barratt forges on with £2.5bn merger with rival Redrow
Rival housebuilders Barratt and Redrow are pressing ahead with their merger despite competition concerns.
The Competition and Markets Authority is probing the merger over fears that it would limit competition, potentially leaving homebuyers facing higher prices.
The firms will operate separately until the watchdog clears the deal. The Competition and Markets Authority (CMA) previously flagged concerns over one area in Shropshire, which contains four Barratt developments and a Redrow scheme with under 10 plots to sell. The housebuilders have said they are working with the CMA to address the issue.
08:19 AM BST
7-Eleven retailer faces largest ever foreign takeover of a Japanese company
Japanese retailer Seven & i has received a buyout proposal from Canadian convenience store operator Alimentation Couche-Tard in what could be the largest-ever foreign take-over in Japan.
The company’s shares surged by 22.7pc in Tokyo on Monday, its biggest daily gain on record.
The retailer said an independent committee and the board of directors would scrutinise the offer and were yet to make a decision.
08:00 AM BST
Asian currencies hit seven-month high amid US rate cut hopes
Asian currencies had their strongest rally in seven months as fears of a US recession subsided, paving the way for the world’s largest central bank to start cutting interest rates.
The Bloomberg Asia Dollar Index rose by as much as 0.6pc on Monday, with the South Korean won and the Malaysian ringgit leading the advance on stronger growth expectations.
It comes as Fed Chair Jerome Powell on Friday will deliver a speech at Jackson Hole later this week, which traders await for clues on rate cuts.
07:49 AM BST
Food costs set to rise amid growing inflationary pressures
Food and drink manufacturers hiked their prices in July amid pressures from staff and shipping costs according to Lloyds Bank.
The rise was the fastest among manufacturers, with the sector as a whole reporting price inflation rising to the highest level since May 2023.
The bank noted all seven manufacturing sub-sectors raised their prices last month, which has only happened during one other month since 2022.
Jeavon Lolay, Head of Market Insights at Lloyds Bank, said: “This highlights that while attention has shifted to more domestically generated services inflation, developments in the goods-producing sector cannot be ignored when considering the future path of UK inflation.”
07:35 AM BST
FTSE poised for first back-to-back loss since market meltdown
FTSE 100 futures are down 0.2pc as the week starts after its strongest streak of gains in three months ended on Friday.
07:23 AM BST
5 things to start your day
1) Rayner’s crackdown on workplace harassment spells the end of the office party | Companies scramble to prepare for changes that load greater accountability on bosses
2) Ted Baker to shut last remaining shops amid uncertainty over Mike Ashley deal | Retailer will close 31 stores this week putting 500 jobs at risk
3) Boohoo withholds payments from suppliers over ‘poor quality’ | Stand-off over faulty clothing comes as retailer’s losses balloon and debt repayment deadline looms
4) Rayner faces green belt fight over Mike Ashley’s megacampus | Battle lines are being drawn in rural England as Labour seeks to ‘get Britain building’
5) How to save Britain from a doom loop of decay, decline – and default | The social democracy experiment of the last 30 years – bigger state, smaller private sector and high tax – has been disastrous
07:23 AM BST
What happened overnight
Asian stocks broadly strengthened on Monday ahead of key central bank decisions in the region this week.
Investors will be looking to central bank meetings in Indonesia and South Korea for signs of policy easing, while the Thailand decision will be crucial following reports the nation’s new prime minister may abandon a key stimulus package.
Bank of Japan Governor Kazuo Ueda is scheduled to attend a special session at Japan’s parliament this week to likely discuss the July 31 rate hike, which roiled global markets. Meanwhile, hedge funds have turned bullish on Japan’s currency for the first time since 2021, marking a sharp turnaround from the extremely negative sentiment seen among these traders as recently as early July.
In China, authorities are expected to keep the one- and five-year loan prime rates steady after the People’s Bank of China last week pledged further steps to support economic recovery, while cautioning that it won’t be adopting “drastic” measures.
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