The financial movements in London followed the decision of Mr Johnson not to seek his party's nomination for prime minister. EPA
The financial movements in London followed the decision of Mr Johnson not to seek his party's nomination for prime minister. EPA
The financial movements in London followed the decision of Mr Johnson not to seek his party's nomination for prime minister. EPA
The financial movements in London followed the decision of Mr Johnson not to seek his party's nomination for prime minister. EPA

World

UK

Markets rally as investors welcome Rishi Sunak premiership

FTSE and pound gain value after former chancellor fights off rivals

Gillian Duncan
Gillian Duncan

October 24, 2022

  • English
  • Arabic

Financial markets rallied as it was announced Rishi Sunak would be the UK's the next prime minister, after Boris Johnson and Penny Mordaunt withdrew from the race to lead the Conservative Party.

Investors had largely already expected a Mr Sunak victory before it was officially announced on Monday.

READ MORE

Rishi Sunak in pole position to be next UK PM after Boris Johnson pulls out

In a brief statement, Mr Sunak said Britain faced a “profound economic challenge” and would work to increase stability and unity.

Mr Sunak, a former chancellor, is regarded as a fiscal conservative and his nomination appears to have been broadly welcomed by investors in the City of London.

"It seems that the announcement was pretty well priced in by this point, especially after sterling’s notable gains at the Asia open last night," said Michael Brown, head of market intelligence at Caxton.

"Having said that, Sunak taking over as PM should restore a significant amount of credibility around UK policy, which is likely to limit downside for sterling assets in the near term."

Shares on the FTSE 100 index of London’s biggest companies initially rose by as much as half a per cent, before falling to nearly 0.8 per cent down by late morning.

In the afternoon the FTSE recovered again, rising by 1.1 per cent, hitting 7,045 points. The pound initially dropped in value against the dollar after the confirmation but about an hour later it spiked.

Rishi Sunak wins battle to become UK prime minister - in pictures

Britain's new Prime Minister Rishi Sunak delivers a speech outside Number 10 Downing Street. Reuters
Britain's new Prime Minister Rishi Sunak delivers a speech outside Number 10 Downing Street. Reuters
King Charles III invites Mr Sunak to become prime minister and form a new government in an audience at Buckingham Palace. PA
King Charles III invites Mr Sunak to become prime minister and form a new government in an audience at Buckingham Palace. PA
Mr Sunak promised to bring stability amid what he called a “profound economic crisis”. PA
Mr Sunak promised to bring stability amid what he called a “profound economic crisis”. PA
The new prime minister is applauded as he enters Number 10. Photo: Simon Walker/ No 10 Downing Street
The new prime minister is applauded as he enters Number 10. Photo: Simon Walker/ No 10 Downing Street
Mr Sunak is greeted by Cabinet Secretary and Head of the Civil Service Simon Case as he enters 10 Downing Street. AFP
Mr Sunak is greeted by Cabinet Secretary and Head of the Civil Service Simon Case as he enters 10 Downing Street. AFP
A worker loads a removal van with boxes outside 10 Downing Street. Reuters
A worker loads a removal van with boxes outside 10 Downing Street. Reuters
Members of the public wait for the arrival of Mr Sunak near Downing Street. AP
Members of the public wait for the arrival of Mr Sunak near Downing Street. AP
Staff in the Foreign and Commonwealth Office watch from the windows as Mr Sunak arrives in Downing Street. PA
Staff in the Foreign and Commonwealth Office watch from the windows as Mr Sunak arrives in Downing Street. PA
An Indian artist in Mumbai creates a painting to congratulate Mr Sunak on becoming prime minister. EPA
An Indian artist in Mumbai creates a painting to congratulate Mr Sunak on becoming prime minister. EPA
Mr Sunak arrives at Buckingham Palace. PA
Mr Sunak arrives at Buckingham Palace. PA
Incoming prime minister Rishi Sunak arrives at the Conservative Party's headquarters with a wave. AFP
Incoming prime minister Rishi Sunak arrives at the Conservative Party's headquarters with a wave. AFP
Rishi Sunak is greeted by colleagues upon his arrival. AFP
Rishi Sunak is greeted by colleagues upon his arrival. AFP
Conservative MPs applaud as Rishi Sunak arrives. Reuters
Conservative MPs applaud as Rishi Sunak arrives. Reuters
Rishi Sunak departs after making a statement inside the Conservative Party's headquarters. PA
Rishi Sunak departs after making a statement inside the Conservative Party's headquarters. PA
Mr Sunak meets the 1922 Committee in Parliament after he was announced as the new leader of the Conservative Party when Penny Mordaunt dropped out. PA
Mr Sunak meets the 1922 Committee in Parliament after he was announced as the new leader of the Conservative Party when Penny Mordaunt dropped out. PA
Sir Graham Brady, chairman of the 1922 Committee, announces Mr Sunak as the new leader of the Conservatives and therefore the prime minister. PA
Sir Graham Brady, chairman of the 1922 Committee, announces Mr Sunak as the new leader of the Conservatives and therefore the prime minister. PA
Members of the media work outside No 10 Downing Street, the official residence of Britain's prime minister, in central London, as they await announcements. AFP
Members of the media work outside No 10 Downing Street, the official residence of Britain's prime minister, in central London, as they await announcements. AFP
Mr Sunak leaves his campaign office in London. AP
Mr Sunak leaves his campaign office in London. AP
A billboard of Liz Truss, the departing prime minister, in London. Bloomberg
A billboard of Liz Truss, the departing prime minister, in London. Bloomberg
Members of the public look through the gates into Downing Street. Reuters
Members of the public look through the gates into Downing Street. Reuters
Mr Sunak leaves his home in London on Monday morning. AFP
Mr Sunak leaves his home in London on Monday morning. AFP
Leader of the House of Commons and Conservative leadership candidate Penny Mordaunt speaks to the media on Sunday. Ms Mordaunt pulled out of the race moments before the deadline for nominations. PA
Leader of the House of Commons and Conservative leadership candidate Penny Mordaunt speaks to the media on Sunday. Ms Mordaunt pulled out of the race moments before the deadline for nominations. PA

At about 3pm one pound could buy a little more than $1.13, up 0.25 per cent on the day.

Gilt yields fell sharply, thanks to a sense of relief among investors over the outlook for Britain's finances. Benchmark 10-year yields fell 28 basis points to 3.774 per cent, nearing their lowest so far this month.

BlackRock, the world's largest asset manager, in a weekly note said Britain's fiscal credibility had improved, but the damage inflicted by Ms Truss's "mini-budget" in late last month had not been completely reversed.

In the end Mr Sunak was the only remaining candidate for the position, after Penny Mordaunt dropped out and Boris Johnson did not declare his candidacy.

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Zayed Sustainability Prize
UAE currency: the story behind the money in your pockets
Company profile

Date started: December 24, 2018

Founders: Omer Gurel, chief executive and co-founder and Edebali Sener, co-founder and chief technology officer

Based: Dubai Media City

Number of employees: 42 (34 in Dubai and a tech team of eight in Ankara, Turkey)

Sector: ConsumerTech and FinTech

Cashflow: Almost $1 million a year

Funding: Series A funding of $2.5m with Series B plans for May 2020

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  7. Highlands, Scotland 
  8. Argyll and Bute, Scotland 
  9. Fife, Scotland 
  10. Tower Hamlets, London 

 

While you're here
The specs: 2018 Nissan 370Z Nismo

The specs: 2018 Nissan 370Z Nismo
Price, base / as tested: Dh182,178
Engine: 3.7-litre V6
Power: 350hp @ 7,400rpm
Torque: 374Nm @ 5,200rpm
Transmission: Seven-speed automatic
​​​​​​​Fuel consumption, combined: 10.5L / 100km

The bio

Favourite food: Japanese

Favourite car: Lamborghini

Favourite hobby: Football

Favourite quote: If your dreams don’t scare you, they are not big enough

Favourite country: UAE

The specs

Engine: 4 liquid-cooled permanent magnet synchronous electric motors placed at each wheel

Battery: Rimac 120kWh Lithium Nickel Manganese Cobalt Oxide (LiNiMnCoO2) chemistry

Power: 1877bhp

Torque: 2300Nm

Price: Dh7,500,00

On sale: Now

 

TCL INFO

Teams:
Punjabi Legends Owners: Inzamam-ul-Haq and Intizar-ul-Haq; Key player: Misbah-ul-Haq
Pakhtoons Owners: Habib Khan and Tajuddin Khan; Key player: Shahid Afridi
Maratha Arabians Owners: Sohail Khan, Ali Tumbi, Parvez Khan; Key player: Virender Sehwag
Bangla Tigers Owners: Shirajuddin Alam, Yasin Choudhary, Neelesh Bhatnager, Anis and Rizwan Sajan; Key player: TBC
Colombo Lions Owners: Sri Lanka Cricket; Key player: TBC
Kerala Kings Owners: Hussain Adam Ali and Shafi Ul Mulk; Key player: Eoin Morgan

Venue Sharjah Cricket Stadium
Format 10 overs per side, matches last for 90 minutes
When December 14-17

England XI for second Test

Rory Burns, Keaton Jennings, Ben Stokes, Joe Root (c), Jos Buttler, Moeen Ali, Ben Foakes (wk), Sam Curran, Adil Rashid, Jack Leach, James Anderson

A Prayer Before Dawn

Director: Jean-Stephane Sauvaire

Starring: Joe Cole, Somluck Kamsing, Panya Yimmumphai

Three stars

RESULTS

6.30pm: Handicap (rated 95-108) US$125,000 2000m (Dirt).
Winner: Don’t Give Up, Gerald Mosse (jockey), Saeed bin Suroor (trainer).

7.05pm: Handicap (95 ) $160,000 2810m (Turf).
Winner: Los Barbados, Adrie de Vries, Fawzi Nass.

7.40pm: Handicap (80-89) $60,000 1600m (D).
Winner: Claim The Roses, Mickael Barzalona, Salem bin Ghadayer.

8.15pm: UAE 2000 Guineas Trial (Div-1) Conditions $100,000 1,400m (D)
Winner: Gold Town, William Buick, Charlie Appleby.

8.50pm: Cape Verdi Group 2 $200,000 1600m (T).
Winner: Promising Run, Patrick Cosgrave, Saeed bin Suroor.

9.25pm: UAE 2000 Guineas Conditions $100,000 1,400m (D).
Winner: El Chapo, Luke Morris, Fawzi Nass.

Napoleon
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MATCH INFO

Who: France v Italy
When: Friday, 11pm (UAE)
TV: BeIN Sports

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Barcelona 1 (Malcom 57')
Real Madrid (Vazquez 6')

Second leg, February 27

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No.6 Collaborations Project

Ed Sheeran (Atlantic)

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RESULTS

2.30pm Jaguar I-Pace – Conditions (PA) Dh80,000 (Dirt)
1,600m 

Winner Namrood, Antonio Fresu (jockey), Musabah Al Muhairi
(trainer) 

3.05pm Land Rover Defender – Maiden (TB) Dh82,500 (D)
1,400m 

Winner Shadzadi, Tadhg O’Shea, Bhupat Seemar 

3.40pm Jaguar F-Type – Maiden (TB) Dh82,500 (Turf) 1,600m 

Winner Tahdeed, Fernando Jara, Nicholas Bachalard 

4.15pm New Range Rover – Handicap (TB) Dh87,500 (D) 1,400m 

Winner Shanty Star, Richard Mullen, Rashed Bouresly 

4.50pm Land Rover – Handicap (TB) Dh95,000 (T) 2,400m 

Winner Autumn Pride, Bernardo Pinheiro, Helal Al Alawi 

5.25pm Al Tayer Motor – Handicap (TB) Dh95,000  T) 1,000m 

Winner Dahawi, Antonio Fresu, Musabah Al Muhairi 

6pm Jaguar F-Pace SVR – Handicap (TB) Dh87,500 (D) 1,600m 

Winner Scabbard, Sam Hitchcock, Doug Watson  

Updated: October 24, 2022, 3:53 PM`
UK