The Business: Wednesday May 28 2014
Company news, markets and financial talking points, available from 8am Monday to Friday
Bankers must adopt “high ethical standards” says Mark Carney. The Bank of England governor told a conference on the future of capitalism that bankers should be “custodians of their institutions”. In the run-up to the financial crisis, he argued, a “reductionist view of the human condition” had reigned. He called on industry leaders to promote a “culture of ethical business”, which he says would support their long-term prosperity.
Talks to merge Tesco’s beleaguered Turkish subsidiary with local retailers have collapsed, reports The Times. The development is another blow to Britain’s biggest supermarket group’s attempts to bolster its fast-declining overseas empire. Having spent months seeking a partner for its 190-store Turkish business Kipa, the retailer announced yesterday that it has ended discussions with “various parties”. Turkey was the worst performing international unit for Tesco last year.
A “fundamental transformation of global capitalism” must take place if the planet is to tackle climate change, says Prince Charles. In a speech to business leaders in London, the Prince of Wales said “dangerously accelerating” climate change will “bring us to our own destruction” unless companies focus on longer-term approaches. He recalled feeling “somewhat contrary” when it was claimed that the fall of the Iron Curtain heralded the triumph of capitalism.
An upbeat mood on Wall Street has spread to Asia, reports the Financial Times. Stocks on Wall Street continued their push into record territory amid anticipation of continued favourable policies from global central banks. Optimism spread to Tokyo, where the Nikkei 25 edged up 0.3%, Sydney’s S&P which rose 0.4%, and Hong Kong’s Hang Seng which climbed 0.8%. “The market tone remains healthy,” said Gary Yau at Crédit Agricole.
“I did find it slightly ironic that I had been up at 5am trying to help 24 people who had been sleeping rough in Newham and we couldn’t find anywhere to send them, then this cat gets chauffeur driven home.” Homeless charity worker Kate Jones who found George Osborne’s missing cat.
Sir Philip Green is in discussions with food retailers about using space in his BHS department stores, reports the Financial Times. Green found that the recent opening of a food department in an Essex BHS considerably increased sales across the rest of the shop. Womenswear, footwear, accessories and children’s wear had also been particularly strong performers at the launch. “The traffic throughput into the main store, all retailers would be happy [with that],” he said.
FTSE-100: up +0.43 to 6844.94
Dow Jones: up +0.42 to 16675.50
Dax: up +0.49 to 9940.82
Cac-40: up +0.706 to 4529.75
Nikkei: up +0.43 to 14699.52
Hang Seng: up +0.86 to 23141.61
US dollar: buys €0.73330 and £0.59500
Sterling: buys $1.68040 and €1.23240
Oil: $110.18 down -0.3