{"id":204861,"date":"2025-10-06T11:07:16","date_gmt":"2025-10-06T11:07:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/204861\/"},"modified":"2025-10-06T11:07:16","modified_gmt":"2025-10-06T11:07:16","slug":"french-market-falls-borrowing-costs-rise-on-pms-resignation","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/204861\/","title":{"rendered":"French market falls, borrowing costs rise on PM\u2019s resignation"},"content":{"rendered":"

The packing and paper company\u2019s shares have extended losses, falling as much as 18 per cent after it warned of a hit to third-quarter profits in a challenging market.<\/p>\n

Mondi, a leader in sustainable packaging and paper, reported underlying profits of \u20ac223 million in the quarter, which analysts at Jefferies said was \u201c11 per cent is below our already cut third-quarter estimate to \u20ac250 million\u201d. Underlying profit in the second quarter was \u20ac274 million.<\/p>\n

Mondi said demand stayed subdued and selling prices for paper fell, forcing the company to extend planned maintenance shutdowns and sharpen its operational focus. Both corrugated and flexible packaging reported lower profits than in the previous quarter, while uncoated fine paper suffered from weak demand and strong competition.<\/p>\n

It also said new projects were expected to contribute less than expected to profits and delayed investment in a new sack kraft paper machine in Canada until markets improve.<\/p>\n

Others in the sector were hit, with Smurfit WestRock down 5 per cent and Bunzl losing 1.85 per cent.<\/p>\n

Housebuilding puts brake on contraction in construction<\/p>\n

A slowdown across the UK\u2019s construction sector eased last month as housebuilding activity picked up pace, the latest S&P Global UK construction purchasing managers\u2019 index (PMI) showed.<\/p>\n

The PMI reading for the sector rose to 46.2 in September, up from 45.5 in August, marking its highest level for three months. However, it remains below the 50 mark which separates contraction from growth. Civil Engineering was the hardest-hit sub-sector.<\/p>\n

Tim Moore, economics director at S&P Global Market Intelligence, said: \u201cConstruction firms recorded lower staffing levels for the ninth month in a row, marking the longest period of job shedding since the pandemic.\u201d<\/p>\n

New car sales rise in best September since 2020<\/p>\n

The new car sales rose 13.7 per cent year-on-year to 312,891 last month.<\/p>\n

It was the best September performance since 2020, helped by the new electric car grant, figures from the Society of Motor Manufacturers and Traders (SMMT) showed.<\/p>\n

A total of 72,779 new battery electric vehicles were sold, the highest ever monthly volume and, when combined with hybrids, means electrified vehicles comprise the majority of registrations.<\/p>\n

Overall, the market is up 4.2 per cent in the year to date after second-biggest month of the year, with the share of battery electric cars rising to 22.1 per cent.<\/p>\n

French market falls on prime minister\u2019s resignation<\/p>\n

France\u2019s stock market fell this morning after the prime minister S\u00e9bastien Lecornu resigned<\/a> less than a month into the job.<\/p>\n

The CAC 40 dropped 2 per cent to 7,921.14, government bond yields rose, and the euro fell against the dollar and the pound.<\/p>\n

His government also resigned hours after Lecornu announced his cabinet line-up, in a major deepening of France\u2019s political crisis. The swift, unexpected resignation came after allies and foes alike threatened to topple the new government.<\/p>\n

Philip Shaw, the chief economist at Investec, said: \u201cFrench bond spreads have widened out, which is not surprising, but the move looks contained. You could argue Lecornu\u2019s task was impossible given the measures he was proposing.<\/p>\n

\u201cThe impasse is likely to continue. There is already a certain degree of uncertainty priced in. One question is does this mean we are heading to fresh elections, but at this point it\u2019s hard to tell what Macron will do.\u201d<\/p>\n

President Macron has accepted his resignation, the \u00c9lys\u00e9e Palace said.<\/p>\n

Speedy Hire and HSS share jump on deal\"The<\/p>\n

The Speedy hire depot in Great Suffolk St, London<\/p>\n

PHILIP TOSCANO\/PA<\/p>\n

Speedy Hire shares have jumped after the company agreed a deal with smaller rival HSS Hire Group.<\/p>\n

Under a five-year commercial supply agreement, Speedy will become the principal equipment supplier to ProService, HSS\u2019s digital marketplace. Speedy will also take a 9.99 per cent stake in HSS.<\/p>\n

Shares in Speedy jumped 13 per cent, or 3p, to 27\u00bcp, and HSS shares gained 50 per cent to 11p as it said its strategic transformation was complete.<\/p>\n

HSS also announced the disposal of HSS Service Finance Limited to a newly formed company indirectly owned by investment funds managed by Endless, the private equity investor. It is conditional on regulatory approval.<\/p>\n

Results for the 15 months to the end of March showed revenue rose from \u00a3312.4 million last year to \u00a3379 million. Profits fell from \u00a36.9 million to a \u00a3130.3 million loss before tax after an impairment charge.<\/p>\n

FTSE 100 flat but Mondi drops on warning\"A<\/p>\n

A Mondi warehouse in Poland<\/p>\n

London\u2019s leading share index edged higher this morning, helped by a rise in commodity prices.<\/p>\n

The FTSE 100 rose 4 points to 9,495.29 after closing at its third record high of the week on Friday as global equity markets rallied on expectations that the Federal Reserve will cut interest rates later this month.<\/p>\n

Precious metals miners Fresnillo and Endeavour advanced after the gold price rose closer to $4,000 an ounce and BP and Shell gained after Brent crude increased 1.6 per cent to $65.60 a barrel after Opec+ announced a more modest monthly increase in production than expected.<\/p>\n

The biggest faller was the packaging and paper company Mondi, which warned on profits in the third quarter as trading conditions remained challenging. Performance was weaker than in the second quarter due to lower volumes, falling paper prices, and planned maintenance shutdowns. Analysts at Jefferies said Editba was \u20ac223 million, \u201c11 per cent below our already cut third quarter estimate of \u20ac250 million\u201d.<\/p>\n

Financial and housing stocks were weaker.<\/p>\n

Treatt recommends sweetened takeover offer<\/p>\n

The board of the flavour and fragrance ingredients maker has recommended investors back an increased and final \u00a3173.8 million takeover offer.<\/p>\n

Natara Global, a rival company controlled by the private equity group Exponent, is offering 290p-a-share in cash. The initial offer last month was for 260p a share.<\/p>\n

The offer is 11.5 per cent more than the previous proposal and is nearly 30 per cent above the company\u2019s closing share price before the first bid was announced.<\/p>\n

Treatt\u2019s directors, advised by Peel Hunt and Investec, said they now \u201cconsider the terms of the increased cash offer to be fair and reasonable\u201d and will unanimously recommend that shareholders vote in favour of the deal.<\/p>\n

Shawbrook announces London float plan\"Marcelino<\/p>\n

Marcelino Castrillo, the Shawbrook chief executive<\/p>\n

SHAWBROOK<\/p>\n

The specialist small business lender Shawbrook has announced plans to float on the London Stock Exchange in a further boost to the London market.<\/p>\n

The company has filed documents with the Financial Conduct Authority ahead of a listing that could put a \u00a32 billion value on the business.<\/p>\n

As well as issuing new shares to support growth plans, the float would see private equity owners Pollen Street Capital and BC Partners sell some of their stakes. Retail investors will be able to take part in the offer.<\/p>\n

Marcelino Castrillo, the Shawbrook chief executive, said: \u201cThe strength of our platform has enabled us to deliver a long track record of sustainable, profitable growth through a wide variety of macro conditions.\u201d<\/p>\n

Recent half-year results showed that Shawbrook generated a pre-tax profit of \u00a3163.1 million in the six months to the end of June on net operating income of \u00a3335.5 million.<\/p>\n

Aston Martin warns on profits and production\"An<\/p>\n

An Aston Martin DBX on the final assembly line at the company\u2019s factory in St Athan<\/p>\n

CHRIS RATCLIFFE\/GETTY IMAGES<\/p>\n

The struggling luxury carmaker warned that full-year profits and production will be lower than expected amid \u201cheightened challenges in the global macroeconomic environment\u201d and the \u201cimpact of tariffs\u201d.<\/p>\n

In an unscheduled announcement, Aston Martin Lagonda said it expected adjusted earnings before interest and taxes \u201cto be below the lower end of the range of market consensus\u201d driven by the weaker volumes and pressure on the gross margin per vehicle.<\/p>\n

It now expects total wholesale volumes in the current financial year to \u201cdecline by mid-high single digit percentage\u201d when compared with the prior year.<\/p>\n

\u201cAn immediate review of future cost and capital expenditures has been initiated by the management team. This will also include a review of the future product cycle plan in response to market and regulatory dynamics,\u201d Aston Martin said.<\/p>\n

JLR to restart some UK production\"Inside<\/p>\n

Inside Jaguar Land Rover\u2019s vehicle manufacturing plant in Solihull in 2023<\/p>\n

CHRIS RATCLIFFE\/GETTY IMAGES<\/p>\n

Jaguar Land Rover (JLR) is to restart some production this week after the cyberattack that forced the carmaker to shut down factories and send workers home, the BBC reports.<\/p>\n

Manufacturing is expected to resume first at JLR\u2019s engine factory in Wolverhampton, although it is likely to be weeks before all operations are at full capacity.<\/p>\n

JLR was plunged into a crisis after hackers breached the company\u2019s IT systems. Global production has been at a standstill since, although a phased restart has been expected.<\/p>\n

The Sunday Times reported that the carmaker was finalising plans to lend \u00a3500 million<\/a> to prop up its struggling suppliers. The initiative is separate to a \u00a31.5 billion \u201crescue\u201d unveiled by ministers last Saturday. The taxpayer-backed deal is still yet to be signed off despite appearances to the contrary.<\/p>\n

Sanae Takaichi win lifts Nikkei to record\"Sanae<\/p>\n

Sanae Takaichi is the newly-elected leader of Japan\u2019s ruling Liberal Democratic Party<\/p>\n

ASAHI SHIMBUN\/ETTY IMAGES<\/p>\n

Japanese stocks surged 5 per cent to an all-time high of 48,037.05 while the yen fell after the monetary dove Sanae Takaichi was elected as leader of the ruling party.<\/p>\n

The victory puts her on track to become the country\u2019s first female prime minister and stoked expectations of fiscal stimulus.<\/p>\n

The yen fell 1.6 per cent to around \u00a5150 per dollar, while short-dated Japanese government bond yields slid to a two-week low as traders pared back bets on when the Bank of Japan will resume raising interest rates. Market-implied odds of a rate rise by year-end have fallen sharply.<\/p>\n

A year ago, Takaichi criticised the Bank of Japan\u2019s decision to raise rates as \u201cstupid\u201d, although her recent rhetoric has been more restrained, saying only that central bank policy should be aligned with the government.<\/p>\n

Gold heads for $4,000 an ounce<\/p>\n

Gold rose above $3,900 an ounce for the first time and the cryptocurrency, bitcoin, remained around its all-time high as investors turned to alternative assets amid concerns over the US government shutdown and the ability of major western economics to manage rising debt levels.<\/p>\n

The price of gold rose to $3,937 an ounce this morning, up 1.26 per cent, while bitcoin was trading at \u00a3123,586 after its rise to a high of $125,653.32 on Sunday.<\/p>\n

The move into safe-haven assets have been called a \u201cdebasement trade\u201d. JPMorgan Chase said in a note last week that it reflected \u201cthe familiar pattern of dollar debasement against alternative reserve assets amid Washington dysfunction\u201d.<\/p>\n

Geoffrey Kendrick, the head of digital assets research at Standard Chartered Bank, said: \u201cThe shutdown matters this time around. This year, bitcoin has traded with US government risks.\u201d<\/p>\n

He expects bitcoin to rise throughout the shutdown and soon reach $135,000.<\/p>\n","protected":false},"excerpt":{"rendered":"The packing and paper company\u2019s shares have extended losses, falling as much as 18 per cent after it…\n","protected":false},"author":2,"featured_media":204862,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37],"tags":[114761,28,7529,91189,73225,19846,3747,112,2105,74041,28823,1478],"class_list":["post-204861","post","type-post","status-publish","format-standard","has-post-thumbnail","category-markets","tag-borrowing","tag-business","tag-costs","tag-falls","tag-french","tag-live","tag-market","tag-markets","tag-on","tag-pms","tag-resignation","tag-rise"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/204861","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=204861"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/204861\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/204862"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=204861"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=204861"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=204861"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}