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US markets struggle amid tech sell-off and economic uncertainty

about 8 hours ago
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Wall Street came under pressure on Thursday, enduring its worst day in a month as a sell-off of technology stocks intensified.After an extraordinary rally around hopes for artificial intelligence that propelled global stock markets to record highs, fears that tech firms are now overvalued loom large.Investors are also braced for the release of a batch of official data on the state of the US economy, amid heightened uncertainty over its strength during the federal government shutdown.The benchmark S&P 500 and the Dow Jones industrial average each closed down 1.7% in New York on Thursday, while the tech-focused Nasdaq Composite dropped 2.

3%.Nvidia, the $4.5tn tech company, led tech stocks lower.It declined 3.6% as it continues to grapple with the fallout from the disclosure by Japanese investor SoftBank that it had sold its entire stake in the firm for $5.

8bn.“There’s a lot of uncertainties about the state of the economy,” said Peter Cardillo, chief market economist at Spartan Capital Securities in New York.“What we’re going through is a little bit of a correction in the market in the AI sector and we’re seeing market rotation.”With the longest US government shutdown in history now over after more than 42 days, federal officials are preparing to publish a string of highly anticipated economic data reports, including on jobs and inflation.Remarks by senior Federal Reserve officials meanwhile tested market confidence that the central bank is preparing to again cut interest rates at its upcoming meeting next month.

“We need to proceed and tread with caution,” said Alberto Musalem, president of the Federal Reserve Bank of St Louis.Kevin Hassett, director of Donald Trump’s national economic council, said on Thursday that the jobs report for October would show how many jobs had been added or lost in the labor force that month, but not include the headline unemployment rate.The Bureau of Labor Statistics stressed that it hoped to publish data on employment “as soon as possible”, but cautioned that it “may take time to fully assess the situation” before finalizing revised release dates.
politicsSee all
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Keir clubs himself with the lead pipe in a Downing Street game of No Cluedo | John Crace

It’s the worst game of Cluedo in town. Four players dealt a hand of cards. Without turning them over, player one makes the first guess. “Just one question. Does the suspect wear glasses?” he asks

about 13 hours ago
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Why some in No 10 think Wes Streeting is plotting to become prime minister

A clip from a 2018 comedy show has been circulating in Westminster – and it neatly explains why the spotlight landed on Wes Streeting when No 10 launched its preemptive strikes against potential leadership candidates.It features a number of fresh-faced politicians – from Jess Phillips to Johnny Mercer – who are asked who will be prime minister in 10 years. Several Labour MPs dutifully say the then-leader Jeremy Corbyn. Tim Loughton, a former Tory MP, predicts Kemi Badenoch. The final clip is Wes Streeting, who smiles and says: “I think it will probably be me

about 14 hours ago
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London congestion charge to rise to £18 – and electric vehicles will have to pay

London’s congestion charge will rise by 20% in January from £15 to £18 and electric vehicle drivers will be liable to pay to enter the heart of the capital for the first time.EVs will no longer be exempt from the levy, Transport for London said, but will pay a lower rate. Electric car drivers will get a 25% discount, paying £13.50 a day, while electric vans and HGVs will pay £9 – 50% of the full charge.Motoring groups criticised the changes as a backward step

about 15 hours ago
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If No 10 briefer is found Keir Starmer will sack them, Miliband says

Ed Miliband has said he is certain Keir Starmer will sack whoever briefed against Wes Streeting, after a chaotic 48 hours in which No 10 launched an operation to shore up the prime minister against an anticipated leadership challenge.The prime minister apologised to the health secretary in a phone call with him late on Wednesday. Starmer is facing mounting calls to sack his chief of staff, Morgan McSweeney, over the row.The Guardian reported that in private meetings with MPs on Wednesday, the prime minister stood by McSweeney and would not directly commit to any consequences for those who had briefed the newspapers.Starmer spoke to senior Downing Street staff on Thursday morning to stress that “briefings against cabinet ministers are completely unacceptable”, his deputy spokesperson said

about 15 hours ago
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Labour faces questions over Starmer aide who holds shares in lobbying firm

No 10 is facing calls for an investigation into whether Keir Starmer’s communications chief should be allowed to hold shares in a lobbying firm and discuss politics with one of its consultants.Tim Allan, who is one of Starmer’s most senior aides, has a minority stake in Strand Partners, which critics claim could give rise to a perception of a conflict of interest.Allan does not gain any financial benefit from Strand while he is in No 10 but he has not sold his shares in the firm, whose clients include the British Horseracing Authority, the energy companies Ovo Energy and Cadent Gas, and Netflix.He is also friends with Tom Baldwin, a journalist, biographer of Starmer and former Labour adviser, who is a senior consultant for Strand Partners.The relationship was first reported by Sky News, which said multiple sources had told the news organisation that Allan and Baldwin have discussed politics since the communications chief joined No 10

about 16 hours ago
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Housing secretary tells Labour MPs to vote down planning bill amendment

Housing secretary Steve Reed has told Labour MPs to vote down an amendment to the new planning bill intended to protect British wildlife and its habitats from destruction.The amendment, which was passed with a large majority in the House of Lords, restricts the most controversial part of the draft bill by removing protected animals such as dormice, badgers, hedgehogs, otters and nightingales, and rare habitats such as wetlands and ancient woodlands, from new rules which allow developers to sidestep environmental laws to speed up house building.Under the draft legislation proposed by Labour, developers will be able to pay into a national “nature recovery fund” and go ahead with their project straight away, instead of having to carry out an environmental survey and to first avoid, then mitigate damage, before putting spades into the ground.Experts say this is a regression on decades-old environmental law and it has been criticised as “cash to trash” by ecologists and environmental groups.The Lords’ amendment would mean the nature recovery fund is restricted to impacts from water and air pollution, meaning developers would still have to take the usual measures to mitigate damage to wildlife and habitats

about 20 hours ago
cultureSee all
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Old is M Night Shyamalan at his best: ambitious, abrasive and surprisingly poignant

3 days ago
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‘Harlem has always been evolving’: inside the Studio Museum’s $160m new home

3 days ago
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‘Most of it was the conga preset on Prince’s drum machine’: how Fine Young Cannibals made She Drives Me Crazy

4 days ago
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Groundbreaking British Museum show set to challenge samurai myths

5 days ago
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Paul Kelly: ‘Imagine by John Lennon is probably one of the worst songs ever written. I can’t stand it’

5 days ago
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The Guide #216: Celebrity Traitors was a watercooler-moment smash-hit – but how long will audiences stay faithful?

6 days ago