There’s an upbeat update from Next this morning, which revealed a sales surprise in the latest quarter. Full-price sales rose 5% in the second quarter, jumping £50m ahead of guidance. This was despite fears that trading would plummet below pre-Covid levels. It then nailed the positive performance in the heatwave as well as higher demand for formal wear as social events such as weddings returned. As a result, the retailer raised its full-year profit guidance by £10m to £860m. But it wasn’t all rosy. He then said he did not expect the trading boost to last, warning that the impact of inflation on consumer spending would worsen in the second half of the year.

5 things to start your day

  1. The walls are closing in on Zuckerberg as executives leave Meta Deep Turmoil within the social media giant and brain drain at the top leaves the founder looking increasingly isolated
  2. Farm households demand onshore wind turbines, says energy supplier Octopus boss says ‘pushing for an open door’ with plans to boost production
  3. Taiwan crisis to wreak havoc on ports and disrupt one of world’s busiest shipping lanes China’s live-fire military drills spark fears of delays and clashes
  4. UN chief attacks ‘unethical’ oil companies and claims they are punishing poor Antonio Guterres calls for action against energy companies worldwide
  5. Fire fears prompt Marks & Spencer to stop selling disposable barbecues London Fire Brigade urges other retailers to follow suit

What happened in the night

Asian shares rose this morning, taking cues from a strong rally on Wall Street after strong economic data and upbeat corporate guidance boosted investor appetite. Japan’s Nikkei rose 0.6 percent, while China’s blue chips also rose 0.6 percent and Hong Kong’s Hang Seng jumped 1.2 percent, with the index of tech shares up 2.3 percent. MSCI’s broadest index of Asia-Pacific shares rose 0.7 percent.

It’s coming today

Corporate: Pantheon International (full year results). Centamin, ConvaTec Group, Evraz, Glencore, Hikma Pharmaceuticals, Informa, Meggitt, Mondi, Morgan Sindall, Next, Rolls-Royce, Serco, Spirent Communications, Tritax Big Box (interim) Economic: Bank of England rate decision (UK), construction PMI (UK), jobless claims (US)