Closing post
Time to recap…
Jitters are starting to show in the UK government debt market, amid economic uncertainty ahead of the budget in November.
An auction of nine-year UK bonds this morning saw weaker demand, following lacklustre sales of five and 30-year bonds this week.
Long-term borrowing costs have also risen, with the yields on 10 and 30-year debt higher this afternoon.
The selloff follows continued speculation about how Rachel Reeves will stick to her fiscal rules, and amid pressure on prime minister Sir Keir Starmer.
Investors have warned that proposals laid out by Manchester mayor Andy Burnham could alarm the bond markets, with one analyst saying his agenda could widen the deficit and push up borrowing costs even more.
In other news…
The Reform UK leader, Nigel Farage, has stepped up calls for the Bank of England to halt bond sales and cut the interest it pays to UK banks, after a meeting with its governor, Andrew Bailey.
The Co-op has fallen into the red after it suffered an £80m hit to profits as a result of a “malicious” cyber-attack this year, and estimated the full-year cost could hit £120m.
Jaguar Land Rover has announced that parts of its “digital estate” are operating again, as the carmaker recovers from its cyber attack.
The government has been urged to provide cash support to help JLR’s suppliers keep running.
Economic growth in the US in April-June was stronger than expected.
JLR: sections of our digital estate are now up and running
Newsflash: Jaguar Land Rover has announced that parts of its “digital estate” are operating again, as the carmaker recovers from its cyber attack.
In a new statement, JLR says:
As part of the controlled, phased restart of our operations, today we have informed colleagues, suppliers and retail partners that sections of our digital estate are now up and running. The foundational work of our recovery programme is firmly underway.
In an insight into the recovery process, JLR explains:
We have significantly increased IT processing capacity for invoicing. We are now working to clear the backlog of payments to our suppliers as quickly as we can.
Our Global Parts Logistics Centre, which supplies the parts distribution centres for our retailer partners in the UK and around the world, is now returning to full operations.
This will enable our retail partners to continue to service our clients’ vehicles and keep our customers mobile.
The financial system we use to process the wholesales of vehicles has been brought back online and we are able to sell and register vehicles for our clients faster, delivering important cash flow.
