- FTSE 100 up 29 points
- Job vacancies slide
- Boohoo slates Frasers again
8.25am: FTSE 100 gains early on
London’s blue-chip index started the week off in positive fashion, gaining 22 points to reach 8,331 in early trading.
WPP PLC (LSE:WPP) led risers early on following reports sector peers Omnicom and Weber Shandwick were negotiating a $30 billion mega merger.
Miners also sat among gainers as trading got underway, while Frasers Group PLC (LSE:FRAS) topped the fallers in the wake of Boohoo Group PLC (AIM:BOO)’s latest plea to shareholders to reject its leadership challenge.
8.15am: Job vacancies drop at sharpest rate since pandemic
Demand for jobs waned as business confidence dropped last month, sending vacancies down by the sharpest rate since the pandemic.
KPMG and the Recruitment and Employment Confederation on Monday highlighted a “sharp and accelerated” drop in demand for staff through November.
Their permanent placement index, measuring whether businesses expanded or trimmed headcount, fell from 44.1 to 40.7 last month.
Vacancies faced the steepest drop since August 2020 as a result, as November also brought the 13th successive monthly decline for staff demand.
Accountancy BDO separately reported business confidence had fallen to its lowest level since January 2023 in November, while its output index entered contraction territory.
“Businesses are having to weigh up the prospect of increasing employee costs following the Budget, which has led to an accelerated slowdown in hiring activity across the board,” KPMG chief executive Jon Holt said.
He added the prospect of further rate cuts and government investment pledges could boost business confidence and help to stabilise the job market in the months ahead.
7.51am:Â Boohoo urges shareholders to reject Mike Ashley’s leadership challenge again
Boohoo Group PLC (AIM:BOO) has urged shareholders to reject efforts by Mike Ashley’s Frasers Group PLC (LSE:FRAS) to secure seats on its board once again.
Having previously accused Ashley of an “ulterior motive”, Boohoo on Monday highlighted a recommendation from proxy advisor Institutional Shareholder Services that investors oppose Frasers’ move.
“ISS states that Frasers has offered a superficial view of performance and no specific plans for change,” Boohoo pointed out in a statement.
Boohoo added ISS had noted “the two Frasers candidates, Mike Ashley and Mike Lennon, have real conflicts of interest”.
Boohoo has been locked in a spat with its largest shareholder, Frasers, since launching a review earlier this year, which prompted speculation over a split of the business which includes Debenhams and PrettyLittleThings… Read more
7.20am: Stocks seen higher
Futures had the FTSE 100 just edging higher on Monday, by 2 points to 8,322.
London’s blue chips had racked up a 21-point gain over the course of last week, but ended Friday in losing fashion ahead of a busy week on the macroeconomic front.
Both UK gross domestic product and US inflation figures are due over the coming days as markets look to interest rate decisions by both the Federal Reserve and Bank of England later in the month.
Overnight, Asian markets were largely in the red, with South Korea’s Kospi down 2.8% on continued political uncertainty in the wake of last week’s brief martial law declaration.
5.00am: Monday’s schedule
Monday is set to bring a quieter day on the reporting front, before US inflation and UK gross domestic product mark highlights in a busy week.
Announcements due:Â
US earnings: MongoDB Inc, Oracle Corporation Â
AGMs: Hemogenyx Pharmaceuticals PLC, International Biotechnology Trust PLC, Marwyn Value Investors, Plexus Holdings PLC, Softcat PLCÂ
Economic announcements: Wholesales Inventories (US)Â