Author: Fiona Craig

Tharisa (LSE:THS) said the net proceeds from its US$300 million five-year senior secured Nordic bond have been placed in escrow following the satisfaction of a condition precedent.

The bond was issued through the company’s subsidiary, Arxo Finance, and carries an 11.00% semi-annual coupon. It was priced at 98% of its principal amount and was oversubscribed.

The proceeds will remain in escrow until the remaining conditions for their release to the group have been satisfied.

Bond Proceeds to Fund Karo Platinum Project

Tharisa said the financing will be used to complete the Karo Platinum Project in Zimbabwe, where the company is targeting first ore to the mill during the fourth quarter of 2027.

The placement of the proceeds in escrow follows the completion of one of the conditions required under the bond financing. Release of the funds remains subject to the outstanding conditions being met.

The company did not provide further details in the supplied information on the remaining conditions or their expected completion date.

About Tharisa

Tharisa is an integrated mining and metals group focused on platinum group metals and chrome concentrates. Its activities include exploration, mining, processing, beneficiation, marketing, sales and logistics.

The group operates the Tharisa Mine in South Africa and is developing the Karo Platinum Project in Zimbabwe. It is also investing in downstream beneficiation and energy-storage technologies.

Young & Co.’s Brewery (LSE:YNGA) said Chief Executive Officer Simon Dodd will join Hollywood Bowl plc (LSE:BOWL) as an independent non-executive director from 1 November 2026.

The appointment will see Dodd take on the external board position alongside his existing responsibilities as chief executive of Young’s.

Young’s Board Reviews External Appointment

According to Young’s, its board considered the appointment following a review by the nominations committee.

The board concluded that the non-executive position at Hollywood Bowl would complement Dodd’s existing role and provide additional strategic and governance experience without affecting his responsibilities as chief executive of Young’s.

Hollywood Bowl is a listed leisure operator, giving Dodd an additional board position within the UK leisure sector.

About Young & Co.’s Brewery

Young & Co.’s Brewery P.L.C. is a London-based pub company operating in the UK leisure and hospitality sector. The company focuses on managed pubs and associated customer experiences.

U.S. equity futures traded lower on Thursday as the benchmark 10-year Treasury yield reached its highest level since July 2007 and oil prices extended their rebound.

The 30-year Treasury yield also moved higher, reaching its highest level since 2004, following a broader increase in government bond yields during the previous session.

U.S. crude oil futures rose nearly 2% after gaining 1.8% on Wednesday, when crude ended a five-session losing streak.

The moves came as investors assessed developments in the Middle East, expectations for Federal Reserve monetary policy and an upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping.

Oil Rebounds as Markets Assess U.S.-Iran Talks

Oil markets remained focused on the prospects for diplomatic progress between the United States and Iran.

Expectations that talks could contribute to an easing of tensions had been among the factors accompanying lower crude prices earlier in the week. Prices subsequently rebounded as uncertainty over the negotiations continued.

The latest moves followed remarks by Trump and Iranian President Masoud Pezeshkian at the United Nations General Assembly.

Trump threatened to “annihilate” Iran if an agreement was not reached, while also discussing the possibility of further negotiations.

Pezeshkian criticised what he called “signs of a bullying mentality” from the United States and said Iran would not surrender.

The comments represented the positions of the respective leaders as negotiations continued and did not establish the outcome of future diplomatic discussions.

Trump-Xi Meeting Adds Another Focus for Markets

Separately, Trump and Xi are scheduled to meet at the White House on Thursday, with trade, artificial intelligence and critical minerals expected to be among the subjects discussed.

The meeting comes as Washington and Beijing continue negotiations over their economic relationship.

U.S. Treasury Secretary Scott Bessent has announced an extension of the existing trade truce between the two countries, providing additional time for negotiations.

The extension delays the expiry of the current arrangements but does not determine whether a broader agreement will be reached.

Nasdaq Drops 1.1% in Wednesday Session

Thursday’s lower futures followed declines across all three major U.S. indexes on Wednesday.

The Nasdaq Composite recorded the largest percentage decline, falling 308.24 points, or 1.1%, to 26,936.04.

The S&P 500 declined 58.61 points, or 0.8%, to 7,706.03, while the Dow Jones Industrial Average dropped 352.10 points, or 0.7%, to 51,511.59.

The indexes closed near their session lows as investors assessed rising oil prices, higher bond yields and the outlook for monetary policy.

Gold also declined on Wednesday as the U.S. dollar remained firm and markets reassessed expectations for further Federal Reserve interest-rate changes.

September PMIs Come in Above Forecasts

U.S. economic data added to the information being considered by investors.

Preliminary September S&P Global purchasing managers’ indexes for manufacturing, services and composite activity all exceeded expectations, according to the information provided.

The readings contributed to market discussion over the Federal Reserve’s next policy steps. They do not, however, determine future interest-rate decisions, which will depend on policymakers’ assessment of incoming economic data.

Energy-market data also drew attention after the U.S. Energy Information Administration reported an increase of almost 3 million barrels in crude inventories during the latest week. Markets had expected inventories to decline.

U.S. stock futures remained lower ahead of Thursday’s opening as investors monitored developments in bond, energy and currency markets alongside the U.S.-Iran and U.S.-China discussions.

UK retailers reported a further decline in sales volumes in September and reduced orders placed with suppliers at the fastest rate since the Confederation of British Industry’s survey began in 1983, according to the latest CBI Distributive Trades Survey.

The CBI’s headline distributive trades balance, which measures reported activity compared with a year earlier, fell to -55 in September from -48 in August.

Martin Sartorius, lead economist at the CBI, said retailers reported a substantial year-on-year decline in sales volumes during the month, with some respondents attributing the deterioration to consumer sentiment.

“The persistent sales downturn appears to have prompted retailers to cut back on order volumes at a survey-record pace,” Sartorius said.

The record relates to responses in the CBI survey and does not represent a measure of the absolute value of orders across the entire UK retail sector.

Wholesalers and Motor Traders Also Report Lower Sales

The survey indicated that weaker activity extended beyond retailers, with wholesalers and motor traders also reporting declining sales.

Retailers’ expectations for sales volumes were also negative, with the relevant balance reported at -37 compared with -22 previously.

The CBI said it hoped the government’s growth agenda would include lower property taxes for high-street retailers.

The organisation’s comments represent its policy position on measures affecting the retail sector rather than a finding from the survey itself.

CBI Survey Differs From Official Retail Sales Data

The CBI’s retail indicators have recently presented a more negative picture than some other measures of the UK retail sector, including data from the British Retail Consortium and the Office for National Statistics.

The ONS’s official retail-sales figures use a different methodology and therefore are not directly equivalent to the CBI’s survey balances.

Official ONS data released in September showed continued year-on-year growth in retail sales volumes excluding automotive fuel. The CBI survey, by contrast, measures the balance between businesses reporting increases and decreases in activity.

The latest CBI survey was based on responses from 46 retail chains and 71 wholesalers collected between August 27 and September 14.

Tesco (LSE:TSCO) has committed £20 million to Bramble Fund I, a food-focused venture fund established by Leon co-founder Henry Dimbleby and partners to invest in food businesses and related technologies.

The commitment makes Tesco the anchor and largest investor in the fund, which plans to provide between £1 million and £5 million in growth capital to individual companies.

Bramble is targeting UK and European food businesses that have demonstrated the potential for commercial expansion.

Tesco and Bramble Establish Innovation Partnership

Alongside the investment, Tesco and Bramble have agreed a separate partnership that will include the creation of a joint innovation board.

Selected companies backed by the fund will be able to test products and technologies within Tesco’s supply chain.

The arrangement is intended to provide portfolio companies with access to a large-scale retail and supply-chain environment in which to assess their technologies.

The information supplied does not specify how companies will be selected for testing or provide financial terms for the separate partnership.

KluraLabs Becomes Bramble’s First Investment

Bramble’s first investment is KluraLabs, a British technology company developing packaging designed to extend the shelf life of food and reduce the use of artificial additives.

The fund is also considering potential investments in other areas of food technology.

These include technologies intended to reduce agricultural reliance on chemical fertilisers and medical devices designed to monitor digestive health.

The prospective investments remain under consideration and have not been identified as completed transactions in the information provided.

Bramble Targets UK and European Food Businesses

Dimbleby, who authored the UK government’s commissioned National Food Strategy, founded Bramble in 2024 alongside Omar Habbal, Mark Hudson and Chris Mitchell.

The fund’s investment strategy focuses on food-related businesses in the UK and Europe that it assesses as having potential to expand commercially.

Tesco’s £20 million commitment gives the retailer exposure to the fund’s portfolio while its separate partnership with Bramble provides a framework for selected technologies to be tested within Tesco’s operations.

Gold prices extended their decline on Thursday as higher U.S. Treasury yields and changing expectations for Federal Reserve policy remained in focus alongside an increase in oil prices.

Spot gold fell 0.5% to $4,267.43 an ounce by 04:40 ET, while gold futures declined 0.4% to $4,301.17 an ounce.

The moves followed a decline in the previous session as markets increased their expectations for additional Federal Reserve interest rate rises.

Changes in interest rate expectations can affect demand for gold because the precious metal does not generate interest, while higher yields can increase the potential returns available from government bonds and other interest-bearing assets.

Brent Above $100 as Markets Follow U.S.-Iran Developments

Energy prices remained another consideration for investors, with benchmark Brent crude moving back above $100 a barrel.

Markets continued to monitor negotiations involving the United States and Iran and the outlook for shipping through the Strait of Hormuz.

Iranian President Masoud Pezeshkian said Iran would not allow freedom of navigation through the strait while U.S. sanctions and the blockade remained in place.

U.S. President Donald Trump had previously described discussions with Iranian representatives at the United Nations General Assembly as “very good.” He had separately threatened Iran with “annihilation” if hostilities escalated.

The developments left traders assessing the prospects for changes to regional shipping conditions and energy supplies.

Fed Rate Expectations Shift After U.S. Activity Data

U.S. economic data also contributed to changes in interest rate expectations.

Business activity expanded at its fastest rate in more than five years during September, according to the figures cited in the supplied material.

CME FedWatch data provided with the source indicated that markets were pricing a 77.5% probability of an interest rate increase at the Federal Reserve’s October meeting. That compared with 55.4% one week earlier.

Market pricing also indicated a probability above 58% of another increase in December, compared with 41.7% a week earlier.

These probabilities measure market expectations at a particular point in time and can change as economic data and Federal Reserve communications develop. They do not establish the outcome of future policy meetings.

The Federal Reserve raised its benchmark interest rate by 25 basis points at its September meeting.

Treasury Yields Add Pressure to Gold

The shift in rate expectations coincided with higher U.S. government bond yields.

The benchmark 10-year Treasury yield recorded its largest one-day increase since April 2025 during the previous session.

Higher bond yields increase the returns available on interest-bearing securities, which can affect the relative demand for non-yielding assets such as gold.

The outlook for inflation was also being assessed in the context of higher energy prices, with investors considering whether changes in oil costs could influence future Federal Reserve decisions.

Metals Markets Await Trump-Xi Meeting

Trade policy was another factor being monitored ahead of a meeting between Trump and Chinese President Xi Jinping.

Critical-mineral flows are among the issues relevant to metals markets.

Britannia Global Markets analysts said a “broader deal or concessions on critical-mineral flows” could support metals, while “a breakdown would revive tariff risk.”

“Watch the communique for metals-specific language,” the analysts said.

The statements describe Britannia Global Markets’ assessment of possible scenarios surrounding the meeting. They do not indicate that an agreement, concessions or a breakdown in negotiations will occur.

Oil prices extended their advance on Thursday as markets continued to assess negotiations between the United States and Iran and potential changes to energy shipments through the Strait of Hormuz.

Brent crude futures gained 1.1% to $104.19 a barrel by 04:01 ET, while U.S. West Texas Intermediate futures were 0.9% higher at $92.99.

The increases followed gains in the previous session, when Brent settled more than 3% higher and WTI rose almost 2%.

Iranian President Masoud Pezeshkian said during an address to the United Nations General Assembly that Iran would not surrender to U.S. pressure, while also indicating that Tehran remained open to diplomatic negotiations.

His comments followed a warning from U.S. President Donald Trump that he could “annihilate” Iran if hostilities escalated.

Oil Markets Monitor Strait of Hormuz Developments

A senior Iranian official told Reuters that Iran was considering Washington’s response to a proposal from Tehran aimed at ending the conflict, although differences between the two countries remained.

Issues discussed indirectly by the two sides have included reopening the Strait of Hormuz and lifting the U.S. blockade on Iranian ports.

The waterway remains significant for energy markets because of the volume of oil and liquefied natural gas that has historically passed through it. Shipping activity has declined during the conflict, making the outlook for transit through the strait one of the factors being monitored by oil traders.

Supply expectations had also been affected by reports that Saudi Arabia restarted its East-West Pipeline. The route provides an alternative means of transporting crude to the Red Sea without passing through the Strait of Hormuz.

Iraq had also increased oil exports, according to the supplied material.

Oil Rebound Adds to Inflation and Rate Considerations

The recovery in crude prices came alongside U.S. business activity data that exceeded expectations, prompting markets to reconsider the outlook for inflation and interest rates.

The Federal Reserve increased its benchmark rate by 25 basis points at its previous meeting, with energy prices among the economic factors under consideration.

“Higher oil prices play a role in the hawkish repricing of the Fed’s policy path, and last week’s rate hike, at a time when concerns over sticky inflation still linger,” BCA Research analysts said.

The assessment reflects BCA Research’s view of how oil prices are affecting market expectations for Federal Reserve policy. It does not establish the direction of future interest rate decisions.

U.S. Crude Stocks Increase to 426.4 Million Barrels

Domestic petroleum inventory figures provided another factor for oil markets.

U.S. crude inventories increased by 3 million barrels during the week ended September 18, reaching 426.4 million barrels, according to the Energy Information Administration.

Analysts cited in the supplied material had expected inventories to decline by 640,000 barrels.

Gasoline stocks decreased by 1.7 million barrels over the same period. Distillate inventories, including diesel and heating oil, fell by 400,000 barrels.

Separately, the supplied material cited a report that the White House was considering a 90-day restriction on U.S. diesel exports.

U.S. ultra-low-sulphur diesel futures moved lower on Wednesday following the report. The information provided did not indicate that a final decision on the proposed restriction had been made.

U.S. Treasury yields moved higher on Thursday, extending the previous session’s increase as investors assessed stronger business activity data, higher energy prices, Federal Reserve commentary and demand at a government bond auction.

The benchmark 10-year Treasury yield rose to 5.142%, its highest level since July 2007. On Wednesday, the yield had recorded its largest single-session increase since April 2025.

The 30-year Treasury yield increased to 5.443%, its highest level since 2004.

At the shorter end of the curve, the two-year Treasury yield reached 4.908%, its highest level since May 2024, after recording its largest one-day increase since March 2026 during the previous session.

Business Activity and Treasury Auction in Focus

Preliminary Purchasing Managers’ Index data indicated that U.S. business activity accelerated to its highest level in more than five years in September, supported by an increase in new orders.

The figures contributed to a reassessment of the outlook for inflation and Federal Reserve monetary policy.

Treasury markets also reacted to a five-year note auction on Wednesday that attracted lower demand, with primary dealers absorbing a larger share of the issuance.

Oil prices were another factor under consideration as markets monitored developments involving the United States and Iran and their implications for energy supplies and shipping through the Strait of Hormuz.

Iranian President Masoud Pezeshkian said Tehran would “never surrender,” while U.S. President Donald Trump had previously threatened at the United Nations to “annihilate” Iran if hostilities escalated.

The comments added to uncertainty surrounding the timing of any reopening of the Strait of Hormuz.

“We expected the 10-year bond yield to remain in the 4.00%-5.00% range this year. We aren’t giving up on that range just yet; it mirrors the range during the five years before the Great Financial Crisis. Nevertheless, the risks now clearly point to more upside in yields,” Yardeni Research said.

Markets Reassess Federal Reserve Rate Outlook

Federal Reserve officials also commented on the outlook for monetary policy following the economic data and developments in energy markets.

Fed Governor Michael Barr said policymakers would probably need to raise interest rates further to return inflation to target.

Chicago Fed President Austan Goolsbee also discussed the potential inflationary implications of higher energy prices and whether their effects could prove more persistent.

According to the supplied CME FedWatch data, markets were pricing an approximately 70% probability of another quarter-percentage-point rate increase at the Federal Reserve’s October meeting, compared with about 50% before Wednesday’s PMI release.

The figure represents market-implied pricing and does not establish that the Federal Reserve will raise rates at the meeting.

Treasury Continues Bond Buyback Programme

Selling across the Treasury curve continued as the U.S. Treasury proceeded with operations under its secondary-market buyback programme.

The Treasury indicated that it would purchase up to $6 billion of 20-year and 30-year securities during Thursday’s operations, representing its second long-term buyback operation of the month.

“A relief rally in bond prices would probably require a resolution of the war in the Middle East that would lower oil prices. Another possibility is that US Treasury Secretary Scott Bessent will act to bring bond yields down by buying back more Treasury bonds and issuing more Treasury bills,” Yardeni Research said.

These comments represent Yardeni Research’s assessment of potential market scenarios rather than confirmed future actions by the U.S. Treasury.

German Bond Yields Also Rise

Government bond yields also moved higher in the eurozone.

Germany’s 10-year Bund yield increased to 3.549%, following its largest one-day increase in more than two months during Wednesday’s session.

The two-year Schatz yield rose to 3.303%, its highest level since September 2023, after recording its largest daily increase in almost two weeks during the previous session.

Preliminary PMI data showed eurozone business activity expanding at its fastest pace in more than three years.

The figures contributed to increased market expectations that the European Central Bank could maintain restrictive monetary policy for longer or consider further interest rate increases.

Those expectations reflect market assessments and do not represent confirmed future ECB policy decisions.