30th Jun 2025 06:46
(Alliance News) - London's FTSE 100 is set to open in the green on Monday, following warnings for potential UK tax rises in the autumn.
IG says futures indicate the FTSE 100 to open up 5.5 points, 0.1%, at 8,804.41 on Monday. The index of London large-caps closed up 63.31 points, 0.7%, at 8,798.91 on Friday.
There are predictions of tax rises in the autumn budget after Keir Starmer U-turned on welfare reforms in the face of a backbench rebellion.
The UK prime minister said that the concessions strike "the right balance", but think tanks have warned that the changes announced on Friday morning have made Rachel Reeves' "already difficult budget balancing act that much harder".
Downing Street declined to rule out the possibility of increases in the autumn, telling reporters on Friday that "tax decisions are set out at fiscal events". The concessions on offer include protecting personal independence payments for all existing claimants, while all existing recipients of the health element of Universal Credit will have their incomes protected in real terms.
The Institute for Fiscal Studies said on Friday that the changes make tax rises in the budget expected in the autumn more likely.
Meanwhile, tariff cuts for the UK automotive and aerospace sectors have come into force after Starmer finalised parts of a deal for relief from US import taxes.
Car manufacturers exporting to the US will face a 10% tariff quota, down from 27.5%, while the aerospace sector will see a 10% levy removed entirely.
Starmer hailed the "historic trade deal" with the US, clinched after Donald Trump imposed the import taxes as part of his "liberation day" tariffs on countries across the world.
Sterling was quoted at USD1.3735 early Monday, higher than USD1.3713 at the London equities close on Friday.
The euro traded at USD1.1733 early Monday, up from USD1.1717 late Friday. Against the yen, the dollar was quoted down at JPY143.85 versus JPY144.75.
Around 22% of homes listed for sale in the UK have been sitting on the market for more than six months without a buyer snapping them up, according to analysis by property website Zoopla.
House price growth is cooling as more homes are put on the market, the website said. The average estate agent has 37 homes for sale, compared to 32 last year.
Zoopla said that house prices across the UK generally increased by 1.4% annually in May.
In the US on Friday, Wall Street ended higher, with the Dow Jones Industrial Average up 1.0%, the S&P 500 rising 0.5% and the Nasdaq Composite also 0.5% higher.
In Asia on Monday, the Nikkei 225 index in Tokyo improved 0.8%. In China, the Shanghai Composite edged up 0.5%, while the Hang Seng index in Hong Kong faded 0.3%. The S&P/ASX 200 in Sydney closed up 0.6%.
Nvidia insiders have sold over USD1 billion worth of the chipmaker's stock in the past year, with trading activity receiving a recent boost as insiders look to take advantage of interest in AI, the Financial Times reported on Sunday.
Chief Executive Jensen Huang began selling shares this week, said the report, representing the first time since September.
The California-based company has seen interest in its shares pick up, noted the FT, with this driven by expectations of strong demand for AI-related chips.
Over USD500 million of the share sales happened in June, said the FT, as Nvidia's share price reached new heights.
Gold was quoted higher at USD3,287.81 an ounce early Monday, from USD3,273.76 on Friday.
Brent oil was trading lower at USD66.68 a barrel early Monday, against USD66.83 late Friday.
In Monday's corporate calendar, full-year results from net zero energy services provider eEnergy Group, Ghana-focused gold explorer Goldstone Resources and bitcoin mining firm Vinanz.
In the economic calendar on Monday, UK money supply and mortgage approvals data, and the US Dallas Fed manufacturing index.
By Emily Parsons, Alliance News reporter
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