Across the pond, Federal Reserve Governor Michelle Bowman is playing it cool on future interest rate cuts, despite backing a December cut. The Fed's decision came amid a robust economy and inflation worries. Meanwhile, the US nonfarm payrolls report is on the horizon, with predictions of 160,000 new jobs in December, a dip from November's 227,000.
The FTSE 100 was just slightly down this morning, swayed by the bond market's antics and US interest rate uncertainties. This follows a 0.8% gain on Thursday. In the corporate arena, J Sainsbury enjoyed a merry Christmas, with a 2.7% bump in total retail sales year-on-year, excluding fuel. The retailer expects annual profits to hit the midpoint of its forecast, thanks to robust grocery sales and cost-cutting.
Vodafone Group is shaking up its Indian investments, selling its stake in Indus Towers and upping its share in Vodafone Idea.
On the diplomatic front, French President Emmanuel Macron and UK Prime Minister Keir Starmer had a tête-à-tête about global conflicts, including Ukraine and the Middle East, stressing unity and support for Ukraine.
All eyes are on the upcoming US nonfarm payrolls report, due later today, which will be a crucial barometer for future economic and monetary policy directions.
Things to read today:
- How Trump could wipe out 40% of Tesla's profits (Bloomberg)
- Why everyone else can panic about rising bond yields (Financial Times)
- Are love songs dead (The Pudding)
- The death and rebirth of Europe (Noéma).