Tuesday newspaper round-up: Pound, Valuations, Workers' rights
Citigroup Inc.
$59.14
11:10 19/04/24
The pound has slumped to a 28-month low as investors reacted with alarm to the escalation of no-deal rhetoric by Boris Johnson’s government. Sterling dropped below $1.23 against the US dollar and fell sharply against the euro to below €1.10 on the international currency markets on Monday, as cabinet ministers began meetings to prepare for a no-deal Brexit. But while the pound suffered, there was confusion from Johnson’s government about whether a no-deal Brexit is the main working assumption. The prime minister himself insisted there was an “assumption that we can get a new deal” and that he wanted to reach out to European leaders. - The Guardian
Housing and commercial property are showing signs of being overvalued across Europe, the European Union’s financial watchdog has warned. Yield-starved investors are piling money into property, potentially making them vulnerable to excessive risk-taking, the European Systemic Risk Board said in its annual report. “High investor demand and the search for higher yields, which have been a major source of the commercial real estate price increase, particularly in prime markets, have potentially made investors vulnerable to a repricing of risk premia,” it warned. - The Times
Boris Johnson’s new Brexit chief wants to scrap Theresa May’s commitment to protect British workers’ rights, and has suggested Brexit is an opportunity to escape the EU’s "heavy labour market regulation". Just two months ago David Frost said he was opposed to the approach advocated “by the leaders of both major political parties”, and argued that EU rights should not automatically be written into law after Brexit. - The Independent
The British aerospace industry has stepped up plans for a Brexit exodus from the UK aviation regulator, as a second deadline for the UK leaving the EU without a deal looms. More than 600 British aerospace firms have now applied to be regulated in Europe as third-country parties under a scheme for companies seeking access to the single market in case of a no-deal Brexit. The scheme opened in October. - The Guardian
Workers at Harland and Wolff shipyard locked the gates yesterday and called on Boris Johnson to nationalise the site amid fears over its future. Protesters at the site in Belfast said that they would refuse to reopen the gates until their jobs were guaranteed. Harland and Wolff, which has about 130 staff and specialises in marine and energy engineering, was put up for sale by Dolphin Drilling, its Norwegian parent company, which filed for bankruptcy last month. - The Times
Citigroup is poised to slash “hundreds” of jobs in its global markets division, according to Bloomberg. The bank plans to cut jobs across its fixed-income and stock-trading business throughout the year, including at least 100 roles in the equities unit which makes up a 10th of the - The Daily Telegraph