Weekly review

The FTSE 100 ended the week up 288.18 points or 4.67% to 6,416.16.

Equity view

SABMiller, which rejected a third offer from Anheuser-Busch InBev this week, said on Friday that it has increased its annual run rate cost savings target.

Standard Chartered’s new chief executive Bill Winters is reportedly planning to cut up to a quarter of the bank’s most senior staff in a bid to reduce costs.

Vedanta Resources posted a rise in first half production across most of its commodities, as it said net debt at the end of the quarter is expected to be below $8bn and expressed confidence that it will meet its covenants as at the end of September.

The UK government has cut its stake in Lloyds Banking Group by a further 1% to just under 11%.

Dart Group has posted a positive trading update for the first half of the year, but it warned about losses on the horizon.

Centamin has revealed gold production from its Sukari Gold Mine in Egypt is up 13% on the previous year for Q3, but flat from the previous quarter.

Homewares retailer Dunelm Group posted an increase in first quarter sales on the back of seasonal merchandise and improved product ranges.

Tullow Oil has reached an agreement with the government of Gabon over its licences in the Onal Complex Fields, regaining its 7.5% stake in the Onal Complex producing fields and the Ezanga block.

Tate & Lyle said the company’s performance in the first half was in line with its expectations and guidance for the full year remains unchanged.

Supermarket retailer Tesco posted a 55% drop in first-half operating profit as discount retailers continue to take their toll, and warned the grocery market remained challenging.

Marks & Spencer was under pressure after JPMorgan Cazenove downgraded the stock to ‘neutral’ from ‘overweight’ and cut its price target to 550p from 600p.

Diageo has sold its interests in Desnoes & Geddes and Guinness Anchor Berhad to Heineken NV and bought additional shares in Guinness Ghana Breweries.

Sports Direct International is looking to takeover Warrnambool, the holding company of retail business Heatons.

Glencore has released a summary of its financing arrangements, including a look at the impact if the company’s credit rating gets downgraded.

Bakery chain Greggs surged on Tuesday after it said sales in the third 13 weeks to October were slightly better than it had expected, adding that full-year results will likely be ahead of previous guidance.

The chief executive officer of Shell said the oil giant is “pulling out all the stops” to safeguard its dividends and buy-back programme, and to keep its investment programme steady for the future.

Shares in Acacia Mining plunged over 13% early on Tuesday after the miner revealed its production in the third quarter was weaker than expected and lowered its full-year guidance.

Playtech said they will formally challenge the Central Bank of Ireland’s decision to oppose its takeover of Ava Trade.

A 63.6% jump in online sales and strong retail sales at home has boosted Ted Baker's overall revenue by 24.5%.

SABMiller’s group net producer revenue has risen by 4% after a strong second quarter, but dollar fluctuation caused the company some issues.

Economic news

Retail sales on Britain’s high street rebounded in September as low inflation and wage growth supported consumer spending and shoppers stocked up on autumn fashions, a report revealed on Friday.

The UK trade deficit in August grew more than expected, data released on Friday showed.

The Bank of England kept all its main policy settings unchanged after the meeting ended on 6 October, as expected.

The growth in house prices in Britain slowed down in September but that was unlikely to last, data released overnight on Thursday showed.

Britain’s economy continued growing in the third quarter at its more recent subdued pace, but that was not expected to last, said NIESR, a leading economic think-tank.

Deflation tightened its grip on the High Street in September, according to one of the most widely followed sector surveys.

Industrial production in Britain grew more than expected in August, data released on Wednesday showed. Manufacturing production in Britain also rose above forecasts in August.

House prices for the three months to September were 8.6% higher than the previous year, but dipped slightly from the previous month, according to the latest Halifax House Price Index.

British car buyers were undeterred by the Volkswagen scandal last month, leading UK new car registrations to their best September on record.

Growth in the UK services sector remained sluggish in the third quarter, data released on Monday showed.

International events

China’s economy is not all “doom and gloom” despite its slowdown, according to the International Monetary Fund’s chief Christine Lagarde.

The number of first time unemployment benefits claimants in the US fell to their lowest since July last week , figures released on Thursday showed.

The minutes from the Fed’s 16-17 September meeting showed that the central bank was close to raising interest rates but the risks of China’s economic slowdown hurting US growth stopped them.

The seasonally-adjusted unemployment rate in Greece in July came in at 25%, unchanged from June’s downwardly-revised 25% and down from 26.3% in the same month last year, according to figures released by the Hellenic Statistical Authority.

The European Central Bank reiterated that it would consider extending its asset purchase programme if the economic outlook worsened, according to minutes of the 2-3 September policy meeting on Thursday.

Oil prices will soon begin to stabilise, which is critical to equities and cyclical stocks in particular, analysts at Credit Suisse said on Wednesday.

The Bank of Japan has opted against extending its stimulus measures, even though its inflation target is under threat amid slumping exports and a decline in oil prices.

The International Monetary Fund trimmed its forecast for the world economy as a result of slower growth in some large emerging-market economies and oil-exporting countries.

Applications for US home mortgages surged last week, data released on Wednesday showed.

Momentum in the US services sector petered out in September, to reach its lowest level since June, official data released on Monday showed. Separately, ISM’s US services sector index grew at the slowest pace since June.