UK shares dipped on Monday as a two-week quarantine on all travellers from Spain hammered airline stocks, with simmering US-China tensions and a surge in global Covid-19 cases also sparking a flight from risk assets.
The blue-chip FTSE 100 was down 0.2 per cent, with a 9.2 per cent plunge for British Airways-owner IAG, putting the company on course for its worst day since March. The mid-cap FTSE 250 was off 0.5 per cent.
London-listed shares of Europe's biggest holiday company, TUI, tumbled 11.7 per cent after the company said it had decided to cancel all holidays to mainland Spain through to August 9 following the UK's decision to quarantine travellers.
EasyJet and Carnival were also among the biggest decliners on the FTSE 250, with the wider travel and leisure sector losing 2.4 per cent.
"We had a pretty decent rally (in the past few months) and some of these stocks got a little overbought in anticipation that things are going to get back to normal very smoothly," said Keith Temperton, an analyst at Lombard Forte.
UK stock markets have rebounded sharply from a coronavirus-driven selloff in March as a raft of global stimulus and easing business restrictions fuelled optimism about a swift post-pandemic economic recovery.
But with the relentless surge in global coronavirus infections raising the spectre of another round of lockdowns, investors are betting on more government and central bank stimulus to blunt the business damage from the pandemic.
Mining stocks outperformed the wider FTSE 100 on Monday as hopes of more US coronavirus stimulus drove up London copper prices.
Car makers, banks and aerospace-related stocks were among the biggest decliners.
Antofagasta rose 2.9 per cent to the top of the FTSE 100 as the union of workers at its Zaldivar copper mine in northern Chile told Reuters that it had reached a contract deal with the Chilean-based miner, averting the risk of a walk-off.
'My Son'
Director: Christian Carion
Starring: James McAvoy, Claire Foy, Tom Cullen, Gary Lewis
Rating: 2/5
The biog
Year of birth: 1988
Place of birth: Baghdad
Education: PhD student and co-researcher at Greifswald University, Germany
Hobbies: Ping Pong, swimming, reading
COMPANY%20PROFILE
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Last 10 NBA champions
2017: Golden State bt Cleveland 4-1
2016: Cleveland bt Golden State 4-3
2015: Golden State bt Cleveland 4-2
2014: San Antonio bt Miami 4-1
2013: Miami bt San Antonio 4-3
2012: Miami bt Oklahoma City 4-1
2011: Dallas bt Miami 4-2
2010: Los Angeles Lakers bt Boston 4-3
2009: Los Angeles Lakers bt Orlando 4-1
2008: Boston bt Los Angeles Lakers 4-2
If you go
The flights
The closest international airport for those travelling from the UAE is Denver, Colorado. British Airways (www.ba.com) flies from the UAE via London from Dh3,700 return, including taxes. From there, transfers can be arranged to the ranch or it’s a seven-hour drive. Alternatively, take an internal flight to the counties of Cody, Casper, or Billings
The stay
Red Reflet offers a series of packages, with prices varying depending on season. All meals and activities are included, with prices starting from US$2,218 (Dh7,150) per person for a minimum stay of three nights, including taxes. For more information, visit red-reflet-ranch.net.
What are NFTs?
Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.
You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”
However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.
This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”
This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.
Emergency
Director: Kangana Ranaut
Stars: Kangana Ranaut, Anupam Kher, Shreyas Talpade, Milind Soman, Mahima Chaudhry
Rating: 2/5
