LONDON MARKETS: Rio Tinto Lifts FTSE 100 After Strong Output Data
The value of U.K. luxury homes had plunged in the wake of the 2008 collapse of Lehman Brothers Holdings Inc. and the ensuing credit freeze and recession. Average prices of homes in Londons most expensive neighborhoods fell 25 percent in 2008, while those in the countryside declined 20 percent, Knight Franks Bailey said. Mortgages of more than 500,000 pounds to home buyers dropped by almost 50 percent between 2007 and 2008, according to the Council of Mortgage Lenders . Affluent Foreigners Londons property market began to recover in 2009, in part because of affluent foreigners seeking a haven from turmoil in the Middle East and the wider European debt crisis. These buyers, attracted by mansions a short walk from Harrods and Buckingham Palace, helped push the price of luxury homes in central London up 23 percent since their last peak in the autumn of 2007. Prices of prime country homes remain down 20 percent, according to Knight Frank. Now the recovery is spreading beyond London. The number of homes sold in the U.K. reached the most in nearly four years in July, according to the Royal Institute of Chartered Surveyors . That helped push the value of prime country homes up for the third consecutive quarter, Knight Frank said.
Even supermodel Heidi Klum had to wait weeks to try one. The ‘Cronut’ vs. the ‘DKA’ The ‘Cronut’ conquers New York Though the cronut has gained worldwide attention on social media since its debut in May, few in the UK have had the chance to taste the unique pastry — until now. “It just went viral because it’s new,” Dominique Ansel told CNN’. “It’s fun; it’s unusual; it’s good.” Read: Starbucks and UK baker in ‘Duffin’ kerfuffle One British bakery described it as the most exciting pastry launch since the sausage roll. But although they have proved extremely popular with British customers, the intense enthusiasm for cronuts in New York is unlikely to be replicated in London. “Cronuts are called “Yum Yums” in this country and you can buy them in [the supermarket Waitrose . We’ve had them for decades,” wrote Richard Turner, the owner of London’s Hawksmoor steakhouse , in an email to his business partner. Adalat Hussain, co-owner of the Wild and Wood cafe in Central London says British cronut-eaters are attempting to master the treat with a knife and fork. “I think using your hands is the best way,” he says. It just went viral because it’s new. It’s fun; it’s unusual; it’s good. Dominique Ansel Back across the pond, a young woman in the queue outside the Dominique Ansel Bakery declared the cronut a typically American invention. “A croissant is a great pastry in the morning; a doughnut is a great pastry in the morning.
Cronut mania spreads to London
Death comes after staff ‘kept close eye’ on tiger cub Melati’s pregnancy lasted around 105 days Zookeepers kept a careful watch on the first-time mother through hidden cameras The cub was too young to be sexed or named It was born six months after the opening of the new “tiger territory” at London Zoo about 2 hours ago Zoo ‘did not envisage’ mother would take cub outside London Zoo says it believes Melati carried the cub outside, but keepers are unclear as to how the cub got into the pool. CCTV taken shortly after the cub’s birth Credit: London Zoo Keepers are now reviewing the situation because it was not forseen that the mother would take the cub outside so early. about 2 hours ago Zoo staff ‘heartbroken’ after death of tiger cub We’re heartbroken by what’s happened. To go from the excitement of the birth to this in three weeks is just devastating. Melati can be a very nervous animal and we didn’t want to risk putting her on edge by changing her surroundings or routines, in case she abandoned or attacked the cub. At the time we thought it was in the best interests of Melati and her cub to allow her continued access to the full enclosure as normal. We would do anything to turn back the clock, and nobody could be more upset about what’s happened than the keepers who work with the tigers every day. They are devoted to those tigers and are distraught. Malcolm Fitzpatrick, Curator about 2 hours ago First tiger cub born at London Zoo for 17 years dies The first tiger cub to be born at London Zoo for 17 years has died. The cub was discovered on the edge of the pool inside the tigers’ enclosure. Five-year-old Sumatran tiger Melati gave birth to the cub two weeks ago, with the event captured on hidden cameras in the den. Sumatran tiger Melati looks at her new-born cub shortly after being born Credit: London Zoo Keepers at London Zoo raised the alarm in the early hours of Saturday morning after they noticed that they could not see the cub on the den cameras. The zoo spokeswoman said a post-mortem examination carried out on Sunday confirmed the cub had drowned
He said the Chinese central bank set an initial quota for London of 80 billion yuan ($12.7 billion). Tuesday’s announcement put London ahead in the race by global financial centers to gain a share of yuan-denominated business as Beijing gradually expands use of its currency for trade and investment. Hong Kong was the first financial center outside mainland China where trading of yuan was authorized. London banks have traded yuan since early last year. “Now London is a major global offshore center for the trading of the Chinese currency,” Osborne told reporters. Britain and China signed an agreement in June to have their central banks swap 200 billion yuan for 20 billion pounds. The European Central Bank and Beijing announced a similar agreement this month to swap 350 billion yuan for 45 billion euros. That suggested Frankfurt also might be in to become a center for business denominated in yuan. Also Tuesday, Osborne said China’s state-owned banks will be allowed to expand their operations in Britain by setting up wholesale branches. Cameron was forced to abandon his April trip after China said he would not be able to meet senior officials. Some lower-level meetings also were put on hold.
London to Become Hub for China’s Yuan
Posting the biggest gain in the benchmark, shares of Rio Tinto (RIO) climbed 3.6%, after the mining giant said its iron-ore output rose to a new quarterly record. Other mining firms mirrored the strong upward move for Rio Tinto, with shares of Antofagasta PLC up 2.9%, Glencore Xstrata PLC (GLCNF) rising 1.8% and Anglo American PLC 1.6% higher. Metals prices were, however, mostly lower. Adding pressure on the index in London, shares of Burberry slumped 4.6%, after Apple ( AAPL ) named the luxury-goods firm’s Chief Executive Angela Ahrendts as senior vice president of retail and online stores. “[It is] natural for investors to react with caution to the news of her exit, although in truth, it’s unlikely to change little at Burberry as Christopher Bailey, the company’s chief creative officer, has been appointed to replace her in mid-2014,” said Ishaq Siddiqi, market strategist at ETX Capital. “Investors appear to be worried that Bailey may not be able to replicate the success of Ahrendts — after all, he has not previously [run] a business, especially one of that size, and Ahrendts did transform the company [into] the luxury giant it has become with strong growth from emerging markets, formidable digital operations and strong group sales,” he added. Outside the main index in London, shares of Royal Mail PLC gained 2% on the previously government-owned firm’s first day of unconditional trading. The postal service started conditional trading on Friday and has since rallied close to 50% compared with its initial offering price of 3.30 pounds ($5.27) a share. The surge in share price has fueled criticism the government sold the company too cheap, with the parliament now escalating an investigation into the valuation. On the data front in the U.K., the Office for National Statistics said the consumer-price index grew by 2.7% year-on- year in September, above expectations of a 2.6% print. “Inflation is likely to bobble around its current level for a few months, as utility-price hikes come through, but will fall towards the Bank of England’s target [of 2%] through next year, easing the squeeze on people’s pay and putting this consumer-led recovery on a firmer footing,” said Rob Wood, chief U.K. economist at Berenberg.