Consumers face summer of shipping chaos as China lockdowns wipe £40bn off FTSE 100

Good morning.

Markets are set to start the week firmly within the purple as fears over surging inflation, slowing financial development and lockdowns in China all hit sentiment.

Asian markets tumbled in a single day, with Chinese shares on observe to hit their lowest degree since May 2020.

The FTSE 100 was set to comply with swimsuit, whereas European shares additionally pointed decrease regardless of reduction about French President Emmanuel Macron’s election victory.

The damaging temper music comes because the Federal Reserve prepares to elevate rates of interest to sort out red-hot inflation, whereas ongoing lockdowns in China sparked demand fears and dragged down oil costs.

5 issues to start out your day 

1) British Airways to base cabin crew in Madrid The UK flag service is to open a cabin crew base in Madrid as bosses scramble to keep away from the latest journey chaos lasting all through the summer season

2) Russian sanctions are set to value the UK financial system £6bn over 9 years Official evaluation of the commerce measures issued earlier this month has discovered the restrictions will deal a multi-billion pound blow to the financial system over the following 9 years

3) Ukraine urges Johnson to make sure ‘not a drop’ of Russian oil reaches the UK Whitehall has given UK consumers till the top of the 12 months to regulate to the Russian oil ban

4) Live music royalties fall once more as trade fails to get better from pandemic Revenues from reside performances hit £54m in 2021, 38pc decrease than the £85m recorded in 2019

5) Twitter ‘extra receptive’ to Elon Musk takeover plan Twitter and Mr Musk have been assembly on Sunday to debate the deal, in accordance with the Wall Street Journal

What occurred in a single day 

Asian markets sank Monday on rising considerations of a pointy hike in US rates of interest as officers battle to include runaway inflation, whereas oil was hit by expectations Chinese demand will dry up owing to Covid lockdowns. Hong Kong, Shanghai and Taipei all fell greater than two %, whereas Tokyo, Seoul, Singapore, Manila and Jakarta have been additionally deep within the purple.

Coming up as we speak

Corporate: Polymetal International (interim outcomes)

Economics: Rightmove home value index (UK), development output (EU), Chicago Fed National Activity Index (US)

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