The latest from London: Investors fear austerity measures in Sunak's budget

Yesterday, the FTSE 100 reached highs not seen since February, led by good corporate results, including Reckitt Benckiser. Consumer cyclical are outperforming their peers. Entain was one of the few drags, as DraftKings withdrew its £18.4 billion offer.

But today, things are looking a little less rosy, as lower metal prices hit miners. Investors are awaiting finance minister Rishi Sunak's budget statement later today, which should include some policies that were already unveiled, such as higher corporate tax and national insurance contributions, as well as higher minimum wages. They fear austerity measures, in a context already marred by supply chain fractures, Brexit, decaying infrastructure, lower wages and a difficult housing market.

Among stocks, Harry Potter publisher Bloomsbury Publishing jumped 5.1% after announcing an increase in dividend, following strong half-year results.

 

Things to read:

What the hell is the NHS doing with all its billions? (Daily Telegraph)

Sunak Set to Save the Spoils of Record Rebound in UK Economy (Bloomberg)

UK Budget: crippling shortages and rising prices hit the economy (Financial Times)