Summary

  • Union fury at delay to Hinkley Point decision

  • US GDP at 1.2% in Q2, weaker than expected

  • Barclays half-year profits fall 21% to £2bn

  • IAG takes €148m hit from weak pound

  • Eurozone growth halved to 0.3% in second quarter

  • Profits soar at Google owner and Amazon

  1. Good night from the Business live pagepublished at 21:29 British Summer Time 29 July 2016

    That is all from us for this week. Join us again early on Monday. 

  2. US markets in mixed performancepublished at 21:22 British Summer Time 29 July 2016

    At the closing bell on Friday, the Dow Jones Industrial Average was at 18,432.24, down 0.13%. 

    The broad-based S&P 500 rose 0.16% to 2173.60, while the tech-heavy Nasdaq Composite was up 0.14% to 5,162.13. 

  3. RBS hit hard under stress test scenariopublished at 21:11 British Summer Time 29 July 2016

    Stress tests, conducted by the European Banking Authority, suggest the bank (which is 73% owned by UK taxpayers), had the one of the worst responses to a series of adverse scenarios, including a major fall in GDP.

    The tests examined the impact of GDP falling by around 7% between now and 2018 - something which failed to materialise during the global crisis of 2008.

  4. Monte dei Paschi di Siena rescuepublished at 21:07 British Summer Time 29 July 2016

    The economy minister of Italy has welcomed a privately funded rescue of Italy's third-largest lender, Monte dei Paschi di Sien.

    Pier Carlo Padoan said the bank could now develop an industrial plan to help the Italian economy. 

    He added: "The government acknowledges with great satisfaction the operation launched today by Monte dei Paschi di Siena. It is a market deal that will allow the bank to strengthen its capital and totally offload its bad loans."

  5. 'Potential earthquake'published at 20:49 British Summer Time 29 July 2016

    More on those upcoming stress tests from Neil Wilson at ETX Capital:

    “Markets are braced for a potential earthquake when the results of the EBA’s stress tests are revealed. There is no pass or fail – but we will get a very clear indication as to who’s in good shape and who’s not when the reports are published at 21:00 (BST) tonight."

    Although Simon Goldsmith, at SAS, believes that this year’s stress test results will be a “damp squib”.

  6. Credit Suisse to open US bank for billionairespublished at 20:37 British Summer Time 29 July 2016

    Zoe Thomas
    US business reporter

    Credit Suisse signImage source, Getty Images

    Swiss banking giant Credit Suisse is exploring ways to reopen a private wealth management bank for billionaires in the US. 

    The bank closed its private client bank last year and many of its bankers transitioned to Wells Fargo under an agreement between the two banks. 

    According to documents seen by Reuters the new bank won't take the traditional private bank approach of advising millionaire and billionaires on wealth management. Instead, it will focus advising the ultra-rich on business transactions like lending and company purchases.

    The US has the highest number of millionaire families in the world.  

  7. Hedge funds back Hillarypublished at 20:17 British Summer Time 29 July 2016

    The Wall Street Journal tweets...

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  8. Audio: Clinton pledges investment splurgepublished at 20:04 British Summer Time 29 July 2016

    Hillary Clinton says she will make the biggest investment in new jobs since World War Two if elected president.

    She also promised to target tax avoidance on Wall Street and elsewhere, pledging to "follow the money".

    How much success can she hope to achieve with that and her other big economic policies? 

    On World Business Report Susannah Streeter asked Kyle Cheney, a political reporter from Politico.

    Media caption,

    Hillary Clinton promises a huge investment in jobs and infrastructure if made president.

  9. Trump rejects deal over his tax returnspublished at 19:17 British Summer Time 29 July 2016

    Zoe Thomas
    US business reporter

    Hillary Clinton and Donald TrumpImage source, Getty Images

    Donald Trump has ruled out a deal, under which he would make his tax returns public, in exchange for Hillary Clinton publishing the transcripts of her speeches to Wall Street banks. 

    The Republican nominee for US President told Fox News he wasn't interested in the transcripts and would not be releasing his returns, despite earlier promises to do so. 

    Mr Trump has faced pressure for months from members of his own party and Mrs Clinton to release his tax returns.  

    Mrs Clinton faced criticism from her primary challenger over the private speeches she gave to Wall Street banks for large fees. 

  10. Stress testing later this eveningpublished at 18:50 British Summer Time 29 July 2016

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  11. S&P leaves EDF's rating unchangedpublished at 18:26 British Summer Time 29 July 2016

    Following the delay in proceeding with the Hinkley Point nuclear plant in the UK, ratings agency S&P says it is leaving French state-controlled utility EDF's rating unchanged.

    It said this was because the UK government has said it will review the project terms and economics, with a final decision on the contract this autumn.

    "The outcome of the UK government's decision remains unclear and we therefore do not include the project in our base case for EDF," S&P said in a statement. 

  12. How much will consumers pay for Hinkley?published at 18:08 British Summer Time 29 July 2016

    The French state-owned power company EDF has agreed to shoulder the estimated £18bn cost of building Hinkley Point C, the first new nuclear power station in the UK for a generation.

    In return, the UK government has guaranteed EDF a fixed price for the electricity it produces for 35 years.

    Does that represent a good deal for UK consumers?

    Our Reality Check team takes a look.

  13. Watch out for Italian bankspublished at 17:48 British Summer Time 29 July 2016

    Monte dei Paschi is one of Italy's biggest banks, but has long been dogged by bad debts and financing problems. At 21:00 BST we get the results of the latest stress test by European banking authorities. The fitness of Monte dei Paschi will be particularly scrutinised.

    BBC Business Correspondent Joe Lynam tweets:

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  14. French government 'was warned over Hinkley delay'published at 17:30 British Summer Time 29 July 2016

    British Prime Minister Theresa May warned French President Francoise Hollande that a decision over Hinkley would be delayed, according to the Financial Times, external.

    But it appears that warning was not passed on to the board of EDF, who yesterday cleared the Hinkley nuclear plant project and then expressed surprise at the UK government's delay.

  15. Beer deal still facing opposition from shareholderspublished at 17:21 British Summer Time 29 July 2016

    SAB Miller beerImage source, PA

    Aberdeen Asset Management has reiterated its intention to vote against the bid from AB Inbev for SAB Miller.

    SAB Miller's board recommended the revised offer earlier today.

    However, the fund management firm says it is "uncomfortable with the structure [of the deal] and believes it undervalues the company".

    It is urging other investors to oppose the deal.

  16. Barclays leads FTSE 100 into positive territorypublished at 16:46 British Summer Time 29 July 2016

    After spending much of the session underwater, the FTSE 100 rose late in the session to break the surface.

    It closed at 6,724 up just 3 points, helped by strong shares in financial companies.

    Barclays was the biggest winner with a 5.5% gain, followed by Standard Life and Schroders, which both added more than 3%.

    Barclays shares took off, after the bank reported quarterly earnings.

    The FTSE 250 added 30 points to close at 17,282. The biggest winner on that index was pharmaceuticals firm Indivior. Shares jumped 9% after it raised its sales forecast for the financial year.

  17. Cash offer for SAB Miller 'at lower end' of rangepublished at 16:17 British Summer Time 29 July 2016

    Perhaps we are reading too much into this, but SABMiller Chairman, Jan du Plessis sounds less than enthusiastic about the offer from AB InBev. This is from a company statement, external:

    Quote Message

    Various factors have affected the value of the offer, most importantly the impact of the Brexit vote on the value of Sterling and the re-rating of comparable companies. This has made the Board's decision more challenging, and we believe the final cash consideration of £45 per share to be at the lower end of the range of values considered recommendable.

  18. SAB Miller accepts revised AB InBev offerpublished at 16:13 British Summer Time 29 July 2016
    Breaking

    The board of SAB Miller is recommending a revised takeover offer from AB InBev. 

    There had been speculation that the deal might fall apart, due to the fall in value of the pound. Shareholders including Aberdeen Asset Management have said the final offer was "unacceptable".

    Those shareholders will get their chance to vote on the deal.

  19. Chinese 'were ready to attend Hinkley ceremony'published at 15:35 British Summer Time 29 July 2016

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  20. Chinese 'bemused' by Hinkley Point delaypublished at 15:21 British Summer Time 29 July 2016

    BBC China editor Carrie Gracie tweets...

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