Welcome if not slightly surprising news that broke late last night that the UK is set to agree a trade agreement with the US, which would see some loosening of the tariffs and trade barriers imposed by Donald Trump’s ‘liberation day’ tariffs. The FTSE rose 0.8% on the back of the news, per The Telegraph, which has focused heavily on the financial benefits of a Trump agreement, which is set to be announced at 2pm US time.
Meanwhile, the BBC has taken a more cautionary tone in its own live blog, with economics editor Dharshini David outlining why the deal will be “far from what we have traditionally thought of as a trade deal” and more like a “framework” to set future talks. Carmakers, steel manufacturers and pharmacies are expected to be the main beneficiaries. The universal 10% tariff is set to remain in place for many other sectors while negotiations continue.
Framework or not it will be a welcome boost for beleaguered businesses, as would a cut in interest rates by the Bank of England. Analysts predict the rate will be cut to 4.25% from 4.5% today, reports the BBC. The announcement is set for 12.02pm, following a two minute’s silence to mark Victory in Europe Day.
Away from the economics, the FT highlights the rediscovery of a “resilient” coffee bean by researchers at Kew Gardens and the University of Greenwich that could play a major role in “shoring up coffee supplies” at time when farmers are battling soaring prices and climate impacts. Stenophylla is a robusta coffee bean that can withstand hotter temperatures than typical arabica beans, with a taste and quality profile that could see it become a “high-profile coffee in itself”. It’s currently being experimentally cultivated in Sierra Leone.
The Grocer has followed the booming demand for weight-loss jabs like Ozempic and Mounjaro. But it’s been bad news for some. Weightwatchers has filed for bankruptcy in the US as it struggles with competition, the BBC and others reported. The legal process will see £860m of the company’s debt written off, while it agrees new terms to pay back its lenders. The company has insisted that it is “here to stay”, and that bankruptcy would allow it to restructure its balance sheet. Shares in the business slumped by almost 35% in the wake of the news, per The Times.
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