European gas prices continued to fall on Monday, dropping below 200 euros, as the European Union and the UK come up with plans to combat soaring energy prices.

New data released today shows the UK unemployment rate fell to its lowest since 1974 at 3.6% in the second quarter, while wages progressed. Investors now believe that the Bank of England may have to act more aggressively to prevent the economy from overheating as inflation remains at a 40-year high.

They are now all awaiting key inflation data from the United States, which are being released a week before the Fed’s policy meeting.

Among stocks, Aveva Group jumped 3.2% after a report from Sky News that French industrial group Schneider Electric is close to an agreement to buy the 41% of Aveva that it does not yet own, for about 3.5 billion pounds.

Meanwhile, Online supermarket Ocado tumbled 11.8% after it downgraded its full-year outlook due to the impact of surging prices.

 

Things to read today:

Iron Lady? UK Should Just Hope Liz Truss Isn’t a Laughingstock (Bloomberg)

Debt monsters in the downturn (Financial Times)

For Wall Street, a Strong Dollar is Front and Centre (Wall Street Journal)

Liz Truss sails into unchartered waters – without Bank of England support (Daily Telegraph)