Tuesday 25 September 2018

Border concerns check sterling advance

Hudson Maloney, son to specialist trader Gregg Maloney, is given a high five by Santa Claus, on the floor during the traditional bring-your-kids-to-work day at the New York Stock Exchange (NYSE)
Hudson Maloney, son to specialist trader Gregg Maloney, is given a high five by Santa Claus, on the floor during the traditional bring-your-kids-to-work day at the New York Stock Exchange (NYSE)
Ellie Donnelly

Ellie Donnelly

Sterling briefly hit an eight-week high on Monday before gains were checked as investors consolidated bets ahead of a key EU summit and against the backdrop of a brewing political crisis here.

"There was some follow-through buying on sterling in early New York and London hours but the concerns around the Ireland situation is keeping markets in very tight ranges," said Neil Jones, Mizuho Bank's head of hedge fund sales in London.

A deal on the Border - a key part of Brexit talks - has suddenly become trickier as the Government seeks to avoid an election.

In Dublin the Iseq was weaker, closing at 6,871.80. Gold explorer Dalradian will move forward with its plans to mine the precious metal in Co Tyrone as it moves to apply for permission, by lodging a full application to develop a controversial mine at Curraghinalt near Gortin.

Dalradian says surveys have shown more than four million ounces of gold in the ground. It could produce 120,000 ounces of gold each year, and the mine could yield gold for decades, it added.

Elsewhere, Wall Street looked set to follow European and Asian shares lower. The MSCI world equity index, which tracks shares in 47 countries, edged down.

Tech stocks were among the biggest laggards in Europe, after a downbeat note from Morgan Stanley on global technology downgraded Samsung and Taiwan Semiconductor and argued it is "time for a pause" for chipmakers, which have seen stellar performances this year.

The broader STOXX 600 European share index was down 0.2pc, having earlier traded slightly higher on the day.

The euro hit a two-month high of $1.19565 in early deals in London, before easing back a touch.

Irish Independent

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