Category: Market News

Gold prices moved lower on Monday after fresh military action between the United States and Iran undermined confidence in ongoing ceasefire efforts and renewed concerns that elevated energy prices could keep inflationary pressures alive, potentially prompting further action from the Federal Reserve.

Spot gold was down 0.8% at $4,501.54 per ounce by 02:57 ET (06:57 GMT), while U.S. gold futures fell 1.3% to $4,532.22 per ounce.

The precious metal had posted modest gains last week as investors reacted positively to indications that Washington and Tehran could extend a temporary ceasefire arrangement.

Escalation in the Middle East Weighs on Sentiment

Over the weekend, the U.S. military announced strikes on Iranian military targets, including air-defense systems and facilities associated with drone operations, following allegations that Iran had shot down an American drone.

Tehran responded with attacks on a military installation used by U.S. forces, while regional defense systems were deployed to intercept incoming drones and missiles.

At the same time, tensions elsewhere in the region intensified as Israel expanded military operations in southern Lebanon amid escalating confrontations with the Iran-backed Hezbollah group.

Hopes for a Deal Face Fresh Challenges

Market optimism surrounding diplomatic negotiations weakened after the latest exchange of strikes.

Although reports last week suggested that U.S. and Iranian officials were discussing a possible extension of the ceasefire and measures to restore shipping activity through the Strait of Hormuz, major points of disagreement remain unresolved.

Any eventual agreement would also require approval from U.S. President Donald Trump, leaving the outcome uncertain and raising questions about how quickly a diplomatic breakthrough can be achieved.

Oil Rebound Fuels Inflation Concerns

Crude oil prices strengthened on Monday in response to the renewed military tensions, reinforcing fears that energy costs could remain elevated for longer.

Persistent strength in oil markets has increased concerns that inflation may prove more difficult to contain, creating additional challenges for policymakers at the Federal Reserve.

As a result, investors have increasingly reassessed expectations for U.S. monetary policy. Before the conflict erupted, markets had largely anticipated interest-rate cuts rather than further tightening.

Higher interest rates generally reduce demand for non-interest-bearing assets such as gold.

Stronger Dollar Adds Further Pressure

The precious metal also faced headwinds from a firmer U.S. currency. The U.S. Dollar Index gained 0.1% during Asian trading, making gold more expensive for investors holding other currencies.

A stronger dollar, combined with rising expectations for higher interest rates, has limited gold’s ability to benefit from geopolitical uncertainty in recent weeks.

Safe-Haven Appeal Struggles Against Monetary Policy Risks

Despite its reputation as a traditional refuge during periods of geopolitical turmoil and inflation, gold has struggled to maintain upward momentum.

The metal fell to a two-month low last week before recovering some ground when ceasefire discussions eased concerns over a broader regional escalation.

Attention is now turning to upcoming comments from Federal Reserve officials and a series of key U.S. economic releases, including labor market data, which could provide further guidance on the outlook for interest rates.

Silver, Platinum and Copper Move Higher

Elsewhere in commodities markets, silver edged up 0.5% to $75.69 per ounce.

Platinum also advanced, gaining 1.1% to $1,940.95 per ounce.

Industrial metals posted modest gains as well. Benchmark copper futures on the London Metal Exchange rose 0.3% to $13,663.33 per tonne, while U.S. copper futures increased by the same margin to $6.44 per pound.

Wise (LSE:WISE) shares came under significant pressure on Monday after the fintech company confirmed it was cooperating with authorities in Belgium following reports that its platform had been linked to a money laundering investigation.

The decline followed a report by the Bureau of Investigative Journalism stating that Belgian prosecutors launched an inquiry last year into allegations that accounts on the Wise platform may have been used to move funds connected to fraud, drug trafficking and corruption.

Company Confirms Cooperation With Authorities

Wise acknowledged that it is responding to requests for information from the Brussels prosecutor’s office but stressed that such interactions are a routine aspect of operating within the financial services sector.

“Requests for information from law enforcement agencies are a normal part of operations and are not, in themselves, indicative of non-compliance with anti-money laundering requirements or of any wrongdoing,” Wise said in a statement.

The company did not indicate that any formal findings had been made against the business and reiterated its commitment to working with regulators and law enforcement agencies where required.

Shares Suffer Sharpest Decline Since Listing

Investor reaction was swift, with Wise shares falling by as much as 19% during Monday trading in London. The move represented the company’s largest single-day decline since its stock market debut in 2021.

The shares later recovered part of the loss but remained sharply lower, trading about 13% down at approximately 812 pence by 08:52 GMT.

Compliance Measures Highlighted

In response to the reports, Wise outlined the measures it has in place to combat financial crime. The company said its controls include customer identity verification before account opening, ongoing transaction monitoring, account closures where necessary and the reporting of suspicious activity to relevant authorities.

Management also highlighted substantial investment in compliance and risk management systems. During the six months to 30 September, Wise spent £131 million on infrastructure and capabilities designed to operate within an increasingly regulated environment and to address evolving financial crime risks.

Recent New York Listing Shift

The developments come shortly after Wise completed a change to its stock market structure, moving its primary listing from London to New York. The company said the move was intended to broaden access to investors and increase its profile in U.S. capital markets.

Although New York is now its primary listing venue, Wise continues to maintain a secondary listing in London, where the company remains headquartered.

More about Wise

Wise is a global financial technology company that provides international payments, multi-currency accounts and cross-border money transfer services for consumers and businesses. Founded to reduce the cost and complexity of international banking transactions, the company operates across multiple jurisdictions and serves millions of customers worldwide through its digital payments platform.

ME Group International (LSE:MEGP) has reported a 2% increase in revenue for the first half of its financial year but warned that trading conditions weakened during April, prompting a reduction in its full-year profit outlook. The company said demand softened across parts of its business, particularly within its French photobooth and laundry operations.

Management attributed the slowdown to declining consumer confidence and increased uncertainty linked to geopolitical tensions in the Middle East. These factors affected demand for official photo identification services and reduced discretionary spending on self-service laundry facilities.

Photobooth and Laundry Growth Slows

The group noted that revenue growth in its higher-margin Wash.ME laundry division moderated significantly in April after a strong performance earlier in the reporting period. At the same time, equipment sales declined by 14% as the company continued to prioritise revenue generation from operating its installed machine network rather than pursuing hardware sales.

The combination of softer consumer demand and slower growth in key business segments contributed to a more cautious near-term trading outlook.

Full-Year Guidance Reduced

In response to recent trading trends and expectations that broader economic uncertainty may continue, the board revised its forecast for full-year 2026 profit before tax. The company now expects profit before tax to fall within a range of £69 million to £74 million.

Management indicated that the revised guidance reflects a prudent assessment of current market conditions while acknowledging that consumer spending patterns remain difficult to predict.

Expansion Strategy Remains on Course

Despite the weaker outlook for the current year, ME Group emphasised that its financial position remains strong. The company continues to maintain a solid balance sheet and believes it is well positioned to pursue long-term growth opportunities.

The group confirmed that its programme to install more than 1,300 additional Wash.ME machines during the year remains on schedule. Management views the expansion of its unattended laundry network as a key driver of future growth and remains committed to investing in the business despite short-term market challenges.

Outlook Supported by Strong Fundamentals

While recent trading has softened, ME Group continues to benefit from a strong financial profile characterised by healthy profitability and a conservative balance sheet. Valuation metrics also remain attractive, supported by a relatively low earnings multiple and a high dividend yield.

These strengths are partly offset by weaker technical indicators, including a negative MACD signal and a share price trading below longer-term moving averages. Recent softness in free cash flow has also added an element of caution to the investment case.

More about ME Group International

ME Group International is a London-listed operator of self-service vending and automated retail equipment, managing more than 48,000 units across 16 countries. Its core activities include Photo.ME photobooths, biometric identification solutions and Wash.ME unattended laundry services. The group also operates printing kiosks, food vending concepts and children’s rides, supported by long-term partnerships in high-traffic retail and public locations across Europe, the UK, Ireland and Asia-Pacific.

EnSilica (LSE:ENSI) has been awarded a long-term manufacturing and supply agreement with a German automotive components supplier, strengthening its presence in the automotive semiconductor market. The seven-year contract covers production of an Arm-based sensing chip that is already in commercial manufacture and was secured through a competitive bidding process.

The agreement is expected to generate approximately $75 million in revenue over its duration, with around $4 million anticipated during the financial year ending 31 May 2027. As the contract is focused on manufacturing and supply rather than chip design, profit margins are expected to reflect the lower-margin nature of production services.

Automotive Supply Chain Presence Expands

The award provides EnSilica with deeper access to the German automotive industry by integrating the company into a Tier 1 automotive supply chain. Management believes this represents an important milestone in expanding its footprint within one of the world’s most significant automotive manufacturing markets.

The contract is also expected to increase production volumes through the company’s semiconductor foundry partners, strengthening relationships across its manufacturing ecosystem.

Platform for Future Design Opportunities

Beyond the immediate revenue contribution, EnSilica views the agreement as strategically important in supporting future growth opportunities. The company expects the project to reinforce its credentials in meeting stringent automotive quality requirements, including standards aligned with the German automotive industry’s VDA framework.

Management believes the enhanced industry profile could improve its ability to secure higher-margin application-specific integrated circuit (ASIC) design contracts in the future, particularly within the automotive sector where demand for specialised semiconductor solutions continues to grow.

Outlook Balances Strategic Progress and Financial Challenges

Despite the significance of the new contract, EnSilica’s outlook continues to be influenced by weaker financial performance, including declining revenue, ongoing losses and pressure on free cash flow.

Market indicators have been more encouraging, with the shares benefiting from strong recent momentum. However, technical measures also suggest the stock may be approaching overbought territory, increasing the possibility of short-term volatility. Valuation remains difficult to justify on traditional metrics given the company’s loss-making status and the absence of dividend payments.

More about EnSilica PLC

EnSilica plc is a UK-based fabless semiconductor company specialising in the design and development of application-specific integrated circuits. Its expertise spans radio frequency, millimetre-wave, mixed-signal and advanced digital chip technologies, serving sectors including automotive, industrial, healthcare, communications and space. The company operates design centres across the UK, India, Brazil and Hungary and leverages a growing portfolio of intellectual property and silicon platforms to deliver customised, production-ready semiconductor solutions.

Avacta Therapeutics (LSE:AVCT) has presented updated clinical results for its lead oncology candidate, faridoxorubicin (AVA6000), at the ASCO 2026 meeting, reporting encouraging safety and efficacy outcomes in patients with salivary gland cancer. AVA6000 is a pre|CISION-enabled version of doxorubicin designed to activate selectively within the tumour environment, with the goal of reducing systemic toxicity while maintaining anti-cancer activity.

The latest Phase 1a/1b findings suggest the treatment continues to demonstrate a favourable safety profile, even at dose levels approaching three times those typically associated with conventional doxorubicin therapy. The data support further development of the candidate as it moves toward later-stage clinical evaluation.

Early Clinical Responses Observed in Salivary Gland Cancer

Among 38 evaluable patients enrolled in the salivary gland cancer expansion cohort, the company reported four confirmed partial responses and nine minor responses. Overall disease control reached 92%, with several patients continuing treatment or remaining under follow-up observation.

Management believes these findings provide early evidence of anti-tumour activity in a patient population with limited treatment options and reinforce the potential of the pre|CISION platform.

Data Suggest Reduced Cardiac Risk

A key focus of the update was the cardiac safety profile of AVA6000. Pharmacokinetic and exposure-response analyses indicated that the release of doxorubicin from the drug avoids the high systemic concentration peaks typically associated with standard formulations.

The company reported no meaningful relationship between drug exposure and deterioration in cardiac function. These findings contributed to regulators removing the previous lifetime exposure cap, a development that may allow patients to receive longer treatment durations.

Importantly, Avacta reported no cases of severe cardiotoxicity or cardiomyopathy among 111 treated patients, including individuals who exceeded historical cumulative exposure limits associated with conventional doxorubicin.

Platform Differentiation Continues to Strengthen

The clinical data are seen as further validation of Avacta’s pre|CISION technology, which is designed to improve the therapeutic index of established chemotherapy agents by targeting drug activation within tumours.

The company plans to continue patient enrolment and expects to provide additional updates later in June at the BIO International Convention. Investors and clinicians will be monitoring future results closely as Avacta seeks to establish the platform as a potential next-generation approach to chemotherapy delivery.

Outlook Balances Clinical Progress and Financial Challenges

While the AVA6000 programme continues to generate positive clinical momentum, Avacta’s broader outlook remains influenced by ongoing financial pressures, including operating losses, cash consumption and balance-sheet constraints.

Technical indicators provide some support, with the shares trading above longer-term averages and momentum measures remaining positive. However, valuation remains difficult to assess given the company’s negative earnings profile and absence of dividend payments. Progress in clinical development and prudent cash management offer encouraging signs, although future financing requirements, partnership activity and development timelines remain important considerations.

More about Avacta Group plc

Avacta Therapeutics, a division of Avacta Group plc, is a clinical-stage biotechnology company focused on developing oncology therapies through its proprietary pre|CISION drug delivery platform. The technology is designed to activate chemotherapy agents within the tumour microenvironment, potentially reducing systemic side effects while enhancing treatment effectiveness. The company’s pipeline targets multiple cancer indications, including salivary gland cancer and soft tissue sarcoma, with the aim of improving outcomes through more precise delivery of established anti-cancer drugs.

Great Western Mining (LSE:GWMO) has completed the first phase of exploration work across a three-kilometre corridor connecting its Defender-Pine Crow tungsten prospect with the nearby M2 copper resource in Nevada. The programme forms part of the company’s fully funded 2026 exploration strategy, which is aimed at delivering an initial mineral resource estimate for the Defender-Pine Crow project before the end of the year.

The latest work is intended to enhance understanding of the mineralised corridor and support the next stage of development as the company advances one of its key critical minerals assets.

Exploration Programme Expands Geological Understanding

Field activities completed to date include a detailed gravity geophysical survey conducted by Zonge International and extensive geological mapping of skarn-hosted mineralisation within the project area. Additional grab samples have also been collected and submitted for laboratory analysis.

The company believes the combined geological and geophysical data will help refine targeting and improve confidence ahead of the upcoming drilling programme.

Site Preparation Underway for Drilling Campaign

Great Western has further advanced the project by excavating four new exploration trenches and identifying preferred locations for future drill pads. Work is also progressing on permitting requirements, including approvals related to access roads and site infrastructure.

In addition, a 750-kilogram bulk sample has been sent for metallurgical flotation testing. The results are expected to provide valuable information on tungsten recovery characteristics and support future development planning.

Management said these activities have positioned the project for the commencement of drilling in July, which will be a key step toward defining the scale and potential of the mineralised system.

Focus on Building a District-Scale Tungsten Resource

The company views Defender-Pine Crow as an increasingly important component of its Nevada portfolio and believes the project could represent a significant tungsten opportunity within the region. Ongoing exploration is aimed at establishing the extent of mineralisation across the broader corridor and supporting the delivery of a maiden resource estimate.

With tungsten continuing to attract attention as a strategically important mineral, Great Western is seeking to position itself within a sector benefiting from growing demand and supply security considerations.

Outlook Balances Exploration Progress and Financial Constraints

Great Western’s outlook continues to reflect the characteristics of an exploration-stage business. The company remains pre-revenue and continues to report losses and negative cash flow, although it benefits from a debt-free balance sheet that provides a degree of financial stability.

Market indicators have been more supportive, with the shares trading above key moving averages and momentum measures remaining positive. However, valuation metrics remain difficult to justify given the absence of earnings and dividend payments.

More about Great Western Mining

Great Western Mining Corporation is a mineral exploration and development company focused on wholly owned claim groups in Mineral County, Nevada. The company is increasingly concentrating on tungsten and other strategic minerals while also advancing its Huntoon copper project. In addition, it maintains exposure to gold and silver through exploration programmes and tailings reprocessing opportunities across its Nevada portfolio.

Invinity Energy Systems (LSE:IES) delivered strong growth during 2025, reporting revenue, other income and project grant contributions of £17.8 million, representing a 256% increase compared with the previous year. The company also recorded a significant rise in commercial activity, with sales volumes exceeding 31.4 MWh and product shipments increasing by 241%.

While Invinity remained loss-making at the gross level, reporting a gross loss of £2.9 million, financial performance improved as losses narrowed. The company ended the period debt-free with cash reserves of £28.8 million, providing continued support for investment in manufacturing capacity and cost-reduction initiatives.

Endurium Platform Delivers Early Progress

A major focus during the year was the commercial rollout of the company’s Endurium battery platform. Invinity reported that targeted reductions in unit production costs were achieved ahead of schedule, highlighting progress in manufacturing efficiency and product economics.

The company also secured its first Endurium Enterprise order, marking an important commercial milestone as it seeks broader adoption of the technology across utility-scale and industrial energy storage applications.

International Partnerships and Project Pipeline Strengthen

Invinity continued to broaden its global footprint through new partnerships and market expansion initiatives, particularly in India and China. These relationships are intended to support future deployments in regions where demand for long-duration energy storage is expected to grow rapidly.

The company noted that its battery systems have now delivered a cumulative 9 GWh of energy worldwide. In addition, an increasing number of projects are attracting financing support from third-party lenders, a development management views as a positive indicator of growing market confidence in the technology.

Commercial Momentum Builds Across Key Markets

Recent contract wins and project developments further strengthened the company’s growth profile. Among the highlights was the design of a 1.5 GWh energy storage system in Switzerland, alongside new project deployments in the United States.

Management believes these achievements demonstrate increasing commercial traction and reinforce Invinity’s position within the rapidly expanding long-duration energy storage market, where demand is being driven by renewable energy integration and grid stability requirements.

Outlook Hinges on Execution and Financial Improvement

Despite strong operational progress, Invinity’s outlook remains influenced by ongoing financial challenges, including continued losses and negative cash flow. Valuation measures and technical indicators also remain relatively weak, reflecting the company’s current stage of development.

However, the group’s growing project pipeline, successful cost-reduction efforts and expanding international partnerships provide encouraging signs for future growth. Management’s ability to convert commercial opportunities into sustainable profitability will remain a key focus for investors.

More about Invinity Energy Systems

Invinity Energy Systems is an AIM-listed energy storage technology company specialising in vanadium flow batteries for utility-scale and long-duration applications. With manufacturing operations in the UK and Canada, the company develops Endurium battery systems designed to offer a durable and safe alternative to lithium-ion technology. Its solutions are deployed across Europe, North America and Asia, supporting grid operators, renewable energy projects and commercial customers seeking long-duration energy storage capabilities.

Bluebird Mining Ventures Ltd (LSE:BMV) has completed a restructuring of its interests in the Gubong and Kochang gold projects in South Korea through an agreement with newly established Canadian company 1575275 B.C. Ltd. The acquiring company was founded by Vancouver-based mining executive Latika Prasad and will assume ownership, funding responsibilities and future liabilities associated with the assets.

Under the terms of the transaction, Bluebird has transferred the projects for nominal consideration while retaining a 2.5% net smelter return royalty on each asset. The agreement also provides the purchaser with the option to buy back each royalty for a predetermined fixed payment.

Strategic Shift Away From Direct Asset Ownership

The Gubong and Kochang projects remain at an early stage of development and currently do not have JORC-compliant mineral resource estimates or the approvals required for production. Bluebird considers these assets to carry a higher level of exploration and development risk than is consistent with its evolving business model.

By transferring ownership while maintaining royalty exposure, the company has reduced its operational obligations while preserving potential upside should the projects advance in the future.

Simplified Structure and Reduced Future Commitments

Management believes the transaction streamlines the corporate structure and removes the need to fund future exploration and development activities at the South Korean assets. The move is also expected to reduce ongoing administrative, compliance and audit costs.

The restructuring marks the completion of Bluebird’s transition from direct ownership of South Korean mining projects to a royalty-based model, allowing management to focus resources on opportunities that align more closely with its long-term objectives.

Focus Shifts to Gold Streaming and Recurring Revenue Opportunities

Bluebird intends to concentrate on expanding its portfolio of gold streaming and royalty interests, which it believes offer a more scalable and capital-efficient route to growth. The company’s strategy centres on generating recurring cash flows through exposure to gold production without assuming the operational risks associated with mine ownership and development.

Management sees the reallocation of capital and management attention as an important step in supporting future growth opportunities and strengthening its position within the gold royalty and streaming sector.

Outlook Remains Challenged by Financial Performance

Despite the strategic benefits of the restructuring, the company’s outlook continues to be constrained by the absence of revenue, ongoing operating losses and persistent negative cash flow. While leverage metrics provide some support, overall financial performance remains weak.

Technical indicators also remain negative, with the shares trading below key moving averages and momentum measures pointing to a continuing downtrend. Valuation metrics offer little encouragement given the company’s loss-making position and the absence of dividend payments.

More about Bluebird Mining Ventures

Bluebird Mining Ventures Ltd is a London-listed company focused on gold streaming, royalty opportunities and treasury management. Its strategy is centred on building exposure to gold production through streaming agreements and royalty interests rather than direct mine ownership. By targeting opportunities across the gold value chain, the company aims to create a scalable, capital-light business model capable of generating long-term shareholder value and recurring cash flow linked to the gold market.