Good morning from London, where the FTSE 100 is down this morning on surprising news from the ONS that inflation actually rose in February, reaching 10.4%. Inflation had been falling ever since October of last year, but that downward trend reversed last month because of higher prices particularly of salad and vegetables, energy and alcohol. The unexpected increase gives Bank of England interest rate setters something else to ponder ahead of tomorrow’s call.
In equities, Fevertree Drinks (AIM:FEVR) has confirmed it will hike prices this year as it tries to meet sales guidance of £390-£405mln.
Richard Branson’s Virgin Orbit may have been thrown a lifeline as it reportedly closes in on a £200mln investment deal with Texas-based venture capitalist Mathew Brown.
And UBS Group is looking to scrap a deal with Wall St veteran Michael Klein, that could have seen his advisory firm merge with Credit Suisse’s investment banking division. Credit Suisse’s new owners believe the terms of the deal were “too favourable” to Michael Klein and wouldn’t represent value for UBS shareholders.