Good morning! Here’s what you need to know in markets on Thursday.
1. Steve Bannon, the Trump administration’s chief strategist, says he has a comprehensive plan to reshape US-China relations. In a wide-ranging interview with the progressive-leaning publication The American Prospect published on Wednesday, Bannon said of China: “We’ve come to the conclusion that they’re in an economic war and they’re crushing us.”
2. The US government has filed what could be the largest Libor scandal- related lawsuit yet against some of Britain’s biggest lenders, alleging that their role in rigging borrowing rates had played a part in the collapse of American banks once worth more than $US400 billion (£310 billion). The Times reports that the Federal Deposit Insurance Corporation has begun a High Court claim against banks including Barclays, Lloyds Banking Group, and Royal Bank of Scotland, alleging that they colluded to hold down borrowing rates for several years, a practice known as “lowballing,” to give the market a false idea of their financial health.
3. UK retail sales figures are coming at 9.30 a.m. BST (4.30 a.m. ET). The Office of National Statistics’ data for July is expected to show year-on-year sales growth of 1.3% excluding fuel, down from 3% in June, and 1.4% including fuel.
4. European inflation data is coming. Eurostat will release price growth figures for July at 10.00 a.m. BST (9.00 a.m. CET/5.00 a.m. ET). Core inflation is forecast to be 1.2% on a year-on-year basis.
5. Africa’s richest man, Aliko Dangote, plans to invest $US20 to $US50 billion (£15.5 to £38.7 billion) in the US and Europe by 2025, in industries including renewable energy and petrochemicals. The 60-year-old Nigerian cement tycoon aims to move into these territories for the first time in 2020 after completing almost $US5 billion (£3.8 billion) of agricultural projects and an $US11 billion (£8.5 billion) oil refinery in his home country, he said in an interview with Bloomberg Markets Magazine this month.
6. Cisco topped Wall Street’s revenue target in its fiscal Q4, but gave a lacklustre business forecast for the current quarter. Cisco’s stock declined roughly 2% in after hours trading on Wednesday following the announcement.
7. US stocks slipped from their highest level of the day as several CEOs announced they were leaving President Donald Trump’s manufacturing council over his response to the Charlottesville protests. The Dow closed up 0.12%, the S&P 500 up 0.14%, and Nasdaq up 0.19%.
8. Japan’s Nikkei share average felt the weight of a rebounding yen and edged down on Thursday. The Nikkei closed down 0.10% as the dollar fell 0.35% against the Japanese yen. Elsewhere in Asia, the Hong Kong Hang Seng is down 0.12% at the time of writing (6.25 a.m. BST/1.25 a.m. ET) and China’s Shanghai Composite is up 0.37%.
9. Electric Jukebox, the British music hardware startup that makes a television set-top box for music streaming, says it plans to go public in the first half of 2018. The company makes a box that plugs into televisions and allows you use your television to navigate a music streaming service.
10. A senior executive in Citigroup’s equities unit has left the bank. David Tenney, formerly the co-head of Investor Sales Services for the Americas, left Citi in July after four years at the firm, Tenney wrote in a post on LinkedIn.