Weekly review

The FTSE 100 finished the week 57.07 points lower at 6,858.95.

Equity view

William Hill rallied after Rank and 888 Holdings abandoned their bid for the bookmaker late on Thursday.

Kaz Minerals surged on Thursday as it reported a rise in first-half earnings and said its new Bozshakol project is on track for commercial output in the second half.

Legal & General announced its first foray into the US market for infrastructure investments with a deal in California.

Sales slowed only slightly in the second quarter for Kingfisher as B&Q and Screwfix grew strongly in the UK and Ireland to offset a decline in France.

Entertainment One, still abuzz with rumours about a potential takeover by ITV or others, completed its own acquisition on Thursday, buying the remaining half of Canadian interactive content studio Secret Location, a specialist in the burgeoning virtual reality space.

Premier Oil increased its full-year production guidance, adding that it had reduced its cost base over the first half of the year which was expected to lead to higher free cash flow generation.

FTSE 250 construction group Balfour Beatty surged on Wednesday after saying it has reinstated its dividend and reporting a smaller loss for the half year ended 1 July.

Insurer Admiral lifted its interim dividend by almost a quarter as the UK car and home insurance businesses cruised ahead, but profits were short of City forecasts and analysts angsted about a sharp drop in the Solvency II position in the half.

Motor retail and aftersales service company Lookers announced its results for the six months to 30 June on Wednesday, with revenue increasing 33% to £2. 34bn, from £1. 75bn at the same time last year.

Aerospace and defence group Cobham said chief executive officer Bob Murphy will step down from his role by the end of 2016 to pursue other opportunities and will be succeeded by David Lockwood no later than 1 January 2017.

Intel will start making smartphone chips in one its factories based on designs by London-listed ARM Holdings.

Distribution and aviation company John Menzies reported a rise in half-year profits due to falling sterling, while new chairman Dermot Smurfit, who was appointed in July, said he would assess whether the aviation and distribution divisions needed to be split in two, if they are “best placed to prosper while they are part of one group”.

Miner BHP Billiton reported a record loss in the year to the end of June as weaker commodity prices, writedowns and the dam disaster in Brazil took their toll.

Although first-half revenue was lower for Antofagasta, the Chilean copper mining colossus improved earnings and kept its dividend flat thanks to some heavy cost cutting.

Wood Group posted a drop in profit and revenue for the first half amid “challenging” conditions in the oil and gas market but reaffirmed its outlook for the full year.

Bovis Homes posted its results for the six months to 30 June on Monday, with an 18% jump in revenue to £412. 8m, from £350. 7m a year ago.

Economic news

UK retail sales bounced back strongly in July, according to official data released on Thursday, sending sterling surging higher.

The government ran a smaller budget surplus in July than might otherwise have been the case due to the impact of the referendum vote, in turn possibly leaving less room for the Chancellor to provide stimulus, economists said.

UK unemployment barely changed in June, according to official data released on Wednesday, but July saw lower vacancies and an unexpected fall in the claimant count.

UK inflation edged higher in July to its highest level since late 2014, lifting sterling from its lows, though official figures released on Tuesday showed core inflation had slipped lower.

UK house price growth accelerated in the year to June, according to the Office for National Statistics (ONS) on Tuesday.

The Bank of England's latest reverse auction of longer-dated Gilts was well-subscribed, obtaining £3. 123bn of offers versus the £1. 170bn accepted, resulting in a cover ratio of 2. 67.

Prime Minister Theresa May is to travel to China in September in order to strengthen trade ties and steady relations with Beijing after trepidation from Westminster regarding China’s involvement in the Hinkley Point nuclear power project.

Asking prices for homes in England and Wales fell in August compared to a month ago due to Brexit worries and a quieter summer holiday period, Rightmove said on Monday.

Shopper numbers in July improved from the previous month but were still down compared to last year, while one in ten shops in the UK was vacant due to a combination of fewer pop-up shops and Brexit uncertainty, according to the BRC.

International events

US jobless claims fell more than expected last week, the Labor Department revealed on Thursday.

Annual inflation in the eurozone was confirmed at 0. 2% for July, according to data released by Eurostat.

The euro area´s surplus in its commercial and financial exchanges with the rest of the world increased in June.

The pace of new home prices gains in China remained at elevated levels in July, although some of the details of the data appeared to suggest that the beginning of a slowdown might be afoot, according to some analysts.

Japanese exports shrank at their quickest pace since the Great Financial Crisis against a backdrop of weak demand overseas and a stronger currency, prompting aggressive rhetoric from government officials against undue strength in the country´s currency.

Policy-makers at the US Federal Reserve were divided when they met in July about just how soon policy needed to be tightened next, with some focusing on labour market gauges which were pointing towards so-called 'full-employment' and others preferring to wait given what they said were benign inflation conditions, the minutes of their last rate-setting meeting showed.

US housing starts jumped past forecasts in July even as a key lead-indicator for activity in the sector unexpectedly dipped.

US industrial production grew more than expected in July, marking its biggest monthly gain since November 2014, according to the latest data form the Federal Reserve.

An interest rate-hike might be on the table for when the US Federal Open Market Committee's members meet in September, said Fed official William Dudley.