European stocks rise as oil falls; UK may lose tariff edge over EU
10 reported
European stock markets rose on Friday, with the Stoxx Europe 600 up 0.5% and the UK’s FTSE 100 up 0.4%, driven by a 4.1% drop in Brent crude oil to $96.63 a barrel after hitting $100 the previous day. The oil price decline followed US President Donald Trump’s statement in an Axios interview that he was “considering a massive attack” against Iran, as the US completed its 13th consecutive night of air strikes against Iran. The British Chambers of Commerce warned that Trump’s new tariffs could remove the UK’s “competitive advantage” over the EU, though tariffs on Scotch whisky were lifted, which Scotland’s first minister called a “significant benefit.” Volkswagen reported a steep fall in profits and cut its revenue forecast due to a sales slump in China, while Reckitt Benckiser warned it would take a £175m hit from selling its Russian business. UK business activity rose in July, with the purchasing managers’ index hitting 52.1, boosted by a heatwave and the World Cup, according to S&P Global. China warned that “trade wars are not in the interests of any party” after Trump announced a fresh wave of tariffs against more than 80 countries.
What’s reported
European stocks rose: Stoxx Europe 600 up 0.5%, FTSE 100 up 0.4%.
Brent crude fell 4.1% to $96.63 a barrel after hitting $100 the previous day.
Oil price decline followed Trump’s statement that he was “considering a massive attack” against Iran.
US completed its 13th consecutive night of air strikes against Iran.
British Chambers of Commerce said Trump’s tariffs could remove UK’s “competitive advantage” over the EU.
Tariffs on Scotch whisky were lifted; Scotland’s first minister John Swinney called it a “significant benefit.”
Volkswagen reported a steep fall in profits and cut revenue forecast due to sales slump in China.
Reckitt Benckiser warned of a £175m post-tax loss from selling its Russian business to Arnest Management.
UK PMI hit 52.1 in July, up from 49.3 in June, marking a three-month high.
China warned “trade wars are not in the interests of any party” after Trump’s new tariffs.
Key figures
Donald Trump, US president
John Swinney, Scotland’s first minister
William Bain, head of trade policy at the British Chambers of Commerce
Chris Williamson, chief business economist at S&P Global Market Intelligence
John Wyn-Evans, head of market analysis at Rathbones
Calum Miller, Liberal Democrats’ foreign affairs spokesperson
Lin Jian, Chinese foreign ministry spokesman
Sources: The Guardian
