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LONDON MARKET OPEN: Stocks Down; US Accuses China Of Reneging On Trade

Tue, 07th May 2019 08:54

LONDON (Alliance News) - Stock prices in London opened lower on Tuesday after the US-China trade war threatened to reignite over the long bank holiday weekend in the UK. Top economics advisers to US President Donald Trump accused China of going back on promises made in an attempt to resolve their trade dispute and have vowed to implement fresh tariffs, US media reported on Monday."Over the course of the last week or so, we've seen an erosion in commitments by China, I would say retreating from commitments that have already been made," the Wall Street Journal quoted US Trade Representative Robert Lighthizer as saying.Lighthizer told reporters that the US would begin implementing a rise in tariffs on USD200 billion worth of Chinese goods from 10% to 25% from Friday.His comments came after Trump made an initial threat to China on Sunday, tweeting that talks were moving "too slowly" and that the Chinese were attempting to renegotiate."For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump said in a tweet. "The 10% will go up to 25% on Friday".The FTSE 100 was down 22.23 points, or 0.3%, at 7,358.41 early Tuesday. The FTSE 250 index was down 27.12 points, or 0.1%, at 19,677.91, while the AIM All-Share was up 0.1% at 971.20.The Cboe UK 100 index was down 0.5% at 12,445.96. The Cboe UK 250 was down 0.2% at 17,641.98. The Cboe UK Small Companies was flat at 11,776.34.ThinkMarkets analyst Naeem Aslam said: "As the UK market was closed yesterday because of the bank holiday, traders will have to measure the Trump tactic very carefully. Looking at the last 24-hour market reaction, it becomes clear that traders do not really believe that Donald Trump is going to do what he said in his tweet. They believe this was nothing but just a tactic. "It has worked to an extent because the Chinese negotiators do understand the underlying risk better now. No one wants a [trade] war; it is not beneficial to the US, no matter how Trump sugarcoats this and it does not do any favours to the second biggest economy of the world." In Paris the CAC 40 was up 0.2% and the DAX 40 in Frankfurt was up 0.1%. In the FTSE 100, AstraZeneca was up 1.5% after the Anglo-Swedish drugmaker said its treatment for chronic lymphocytic leukaemia had met its primary goal of delivering an improvement in the time patients live without disease progression compared to an alternative combination treatment.Vodafone was up 1.1% after the telecommunications firm said it has signed a cable wholesale agreement with Telefonica Deutschland for Telefonica to offer broadband services via Vodafone's network in Germany. In the FTSE 250, Domino's Pizza Group was the worst performer, down 8.0% after the pizza delivery chain said it saw a robust performance in the first quarter, but international sales "remain disappointing". In the 13 weeks to March 31, group system sales rose 4.3% to GBP324.4 million from GBP311.1 million last year. In the UK and Republic of Ireland, system sales were up 4.8% at GBP299.3 million from GBP285.5 million. International system sales were down 2.0% at GBP25.1 million from GBP25.6 million in the first quarter last year. As such, the company said given persistently weak system sales in overseas markets, it no longer expects this part of the business to break-even this year.G4S was down 7.0% after the outsourcer said GardaWorld Security does not intend to make an offer for the company. G4S said it is to focus on separating its cash solutions business from the rest of the group as a means to create value for shareholders. On AIM, Purplebricks Group was down 4.5% after the online estate agent said Founder & Chief Executive Michael Bruce will step down immediately after a "disappointing" 12 months and will be replaced by Chief Operating Officer Vic Darvey.Purplebricks also said it is pulling out of Australia and placing its US business under review.In the US on Monday, Wall Street ended lower, with the Dow Jones Industrial Average down 0.3% and the S&P 500 and Nasdaq Composite down 0.5%.In China on Tuesday, the Shanghai Composite closed up 0.7%, while the Hang Seng index in Hong Kong is up 0.4%. Financial markets in Japan reopened on Tuesday after 10 days following the Golden Week holiday. The Nikkei 225 index closed down 1.5%.The pound was quoted at USD1.3124 early Tuesday, lower than USD1.3150 at the London equities close Friday.In political news, cross-party Brexit talks are set to continue this week as ministers urged Labour leader Jeremy Corbyn to do a deal with the government to break the impasse.Negotiations between Labour and the Conservatives will resume on Tuesday, with reports over the weekend suggesting UK Prime Minister Theresa May is poised to propose a temporary customs arrangement with the EU.

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13 Apr 2021 11:31

Allied Univeral closes in on G4S takeover as acceptance reaches 90%

Allied Univeral closes in on G4S takeover as acceptance reaches 90%

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7 Apr 2021 20:02

IN BRIEF: G4S shuffles board ahead of takeover by Allied Universal

IN BRIEF: G4S shuffles board ahead of takeover by Allied Universal

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6 Apr 2021 08:43

Allied Universal's offer for G4S becomes unconditional in all respects

Allied Universal's offer for G4S becomes unconditional in all respects

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16 Mar 2021 17:47

G4S says Allied Universal GBP3 billion offer now unconditional

G4S says Allied Universal GBP3 billion offer now unconditional

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16 Mar 2021 16:42

UPDATE 2-G4S saga ends as shareholders accept $5.3 bln Allied Universal offer

(Adds comments from G4S, shareholder, context)By Yadarisa ShabongMarch 16 (Reuters) - The G4S takeover saga finally came to an end on Tuesday after a majority of the security company's shareholders accepted a 3.8 billion pound ($5.28 billion) offe...

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12 Mar 2021 10:47

CORRECT: Allied Universal urges G4S shareholders to accept offer

CORRECT: Allied Universal urges G4S shareholders to accept offer

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12 Mar 2021 08:55

Allied Universal lowers acceptance condition for G4S offer to 50%

Allied Universal lowers acceptance condition for G4S offer to 50%

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12 Mar 2021 08:09

LONDON BRIEFING: UK economy withstands lockdown in January

LONDON BRIEFING: UK economy withstands lockdown in January

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8 Mar 2021 18:03

IN BRIEF: Allied Universal sets March 16 as final deadline for G4S bid

IN BRIEF: Allied Universal sets March 16 as final deadline for G4S bid

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8 Mar 2021 10:05

Garda World Security extends offer for G4S to March 16

Garda World Security extends offer for G4S to March 16

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8 Mar 2021 09:44

GardaWorld extends G4S offer deadline

(Sharecast News) - Canada's GardaWorld has extended the deadline for shareholders to accept its £3.68bn offer for G4S.

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23 Feb 2021 09:23

Allied Universal Cuts Acceptance Condition For Agreed G4S Offer To 75%

Allied Universal Cuts Acceptance Condition For Agreed G4S Offer To 75%

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23 Feb 2021 07:52

UPDATE 2-G4S urge shareholders to accept Allied deal as bid battle ends

* G4S recommends vote for Allied's final offer* Allied offer open for acceptance until March 16* Says acceptance level lowered to 75% from 90% (Adds analyst comment, context, background)By Yadarisa ShabongFeb 23 (Reuters) - British private security ...

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23 Feb 2021 07:52

REFILE-UPDATE 2-G4S urges shareholders to accept Allied deal as bid battle ends

(Refiles to restore dropped letter in headline)* G4S recommends vote for Allied's final offer* Allied offer open for acceptance until March 16* Says acceptance level lowered to 75% from 90%By Yadarisa ShabongFeb 23 (Reuters) - British private securit...

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23 Feb 2021 07:44

Allied Universal declares ?3.8bn bid for G4S final

(Sharecast News) - Allied Universal said its offer for rival G4S had become final after Canada's GardaWorld on Monday declared it would not raise its own bid for the UK security firm.

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