Wise hikes guidance after strong quarter, ITV probed as part of CMA investigation

London open

The FTSE 100 is expected to open 32 points higher on Thursday, having closed down 0.11% on Wednesday at 7,620.03.

Stocks to watch

Wise reported strong customer growth of 32% year-on-year to 7.2 million in its second quarter on Thursday, propelling a volume of £29.2bn and revenue of £258.7m, reflecting 8% and 22% YoY increases, respectively. Despite uncertainties in macroeconomic conditions, income jumped 51% to £345m, attributed to the steady rise in Wise Account adoptions and higher interest income on account balances, which grew 33% to £12.3bn. As a result, Wise upgraded its income growth guidance to between 33% and 38%, with profitability further buttressed by an unexpectedly high gross profit margin of 74% in the first half.

UK regulators are looking into suspected "anti-competitive behaviour" in how TV producers and broadcasters use freelance services and employ staff, and are investigating a number of corporations including the BBC and ITV. ITV confirmed in a statement that it has received a case initiation notice from the Competition and Markets Authority on Thursday. "ITV is committed to complying with competition law and to cooperating with the CMA's inquiries. ITV does not propose to comment further at this stage."

Newspaper round-up

Rachel Reeves is under pressure to drop Labour’s blanket opposition to higher taxes on wealth, amid growing alarm within the party over extreme levels of inequality and the battered state of Britain’s public finances. After a conference in Liverpool designed to showcase party unity and economic credibility, trade union leaders and senior figures on the shadow chancellor’s left said they would keep “banging the drum” for a Labour government to raise billions of pounds more in tax from the very richest. – Guardian

Almost half a billion small, cheap electrical everyday items from headphones to handheld fans ended up in landfill in the UK in the past year, according to research. The not-for-profit organisation Material Focus, which conducted the research, said the scale of the issue was huge and they wanted to encourage more recycling. – Guardian

Birkenstock shares have slumped almost 13pc on its New York debut, sparking fresh fears over the health of the IPO market. Shares in Birkenstock ended the day at $40.20 (£32.70), below the $46 price the 250-year-old German sandal maker set for its debut this week. It came despite reports that Birkenstock believed it was pricing its offering conservatively, opting to go for the middle of its $44-$49 range rather than the top, even though there was said to be solid demand. – Telegraph

The suitors lining up to bid for The Daily Telegraph will be required to navigate three regulatory hurdles as they compete for control of the 168-year-old newspaper. Lloyds Bank will tell bidders they will have to submit to scrutiny from the Department for Culture, Media and Sport as well as the Competition and Markets Authority (CMA) and Ofcom, the media regulator, as part of the auction process. It is understood the competition watchdog and Ofcom will examine the takeover simultaneously in what one insider called a “dual-track process”. – The Times

US close

Wall Street finished with gains on Wednesday as traders navigated through the latest Federal Reserve minutes and a surprise on the latest wholesale price data.

The Dow Jones Industrial Average experienced a modest uptick of 0.19% to 33,804.87, while the S&P 500 and Nasdaq Composite saw more substantial gains, closing up by 0.43% and 0.71% at 4,376.95 and 13,659.68 respectively.

In currency markets, the dollar was stable against sterling to last change at 81.21p, while it advanced 0.06% on the euro to 94.22 euro cents and recorded a slight 0.02% dip against the yen to change hands at JPY 149.14.

In economic news, the most recent Federal Reserve meeting minutes showed officials displaying a cautious stance, opting for a meeting-by-meeting scrutiny of interest rate policy.

Most participants grappled with volatile economic data and the opaque repercussions of the Fed’s previous interest rate augmentations.