London Daily

Focus on the big picture.
Friday, Oct 24, 2025

Investors revel in trade and Brexit optimism

Investors revel in trade and Brexit optimism

Happy Friday. A version of this story first appeared in CNN Business' Before the Bell newsletter. Not a subscriber? You can sign up right here.

Happy Friday. A version of this story first appeared in CNN Business' Before the Bell newsletter. Not a subscriber? You can sign up right here.

President Donald Trump said Thursday that the first day of high-level trade talks with China was going "very well." Officials later said the discussions made more progress than expected.


Momentum could build Friday when Trump meets Chinese Vice Premier Liu He, the country's chief trade negotiator.


The deal on offer: Officials familiar with the talks say possible outcomes will likely fall short of the sweeping, comprehensive trade deal that Trump has called for. But a smaller deal could include new currency agreements, Chinese commitments on farm purchases and the US scrapping a planned increase in tariffs next week.


"We are in the first steps of a first pass agreement likely covering agriculture and some manufacturing, with more to be negotiated in the next quarters," Sebastien Galy, a senior macro strategist at Nordea Asset Management, said in a research note.


The optimistic tone sent markets higher in Asia. The Shanghai Composite index added 0.3% while the Nikkei 225 rose 0.9%. The Hang Seng index climbed 1.5%.


Brexit chatter


US-China talks aren't the only set of high-stakes negotiations that have investors excited. UK and Irish leaders Boris Johnson and Leo Varadkar on Thursday raised hopes of a breakthrough on Brexit, saying they saw a "pathway" to a deal before October 31.


"I think it is possible for us to come to an agreement, to have a treaty agreed, to allow the UK to leave the EU in an orderly fashion, and have that done by the end of October," Varadkar said after meeting his UK counterpart.


The news sent the British pound sharply higher against the dollar, with the currency approaching $1.25 early Friday in London. UK stocks posted early gains too.


The big picture: There are still a hundred ways for Brexit talks to go wrong. Much depends on the question of the Irish border - and the proposed "backstop" - which has become the most intractable issue in negotiations.


Even if Johnson secures an agreement, he still has to get the deal through the UK parliament. His predecessor, Theresa May, repeatedly tried and failed to do just that.


Next steps: The EU's chief Brexit negotiator, Michel Barnier, is meeting his British counterpart Steve Barclay in Brussels on Friday.


The world is still awash with oil


US crude oil prices shot up 1.75% on Friday after Iranian state media said a tanker belonging to its national oil company was hit and damaged by two missiles in the Red Sea.


The missiles were "possibly" fired from Saudi soil, Saheb Sadeghi, head of the public relations of the National Iranian Tanker Company, told state-run Press TV.


The report sparked worries of an escalation in the conflict between Iran and Saudi Arabia, and their proxies in the region.
Risk reaction: US crude is trading about $8 below last month's high caused by an attack on Saudi oil facilities that wiped out half of the country's production capacity.


Among the factors helping to keep prices lower: A rapid recovery in Saudi output, weaker demand for crude, and a buildup in stocks.


The International Energy Agency on Friday downgraded its forecast for demand growth for this year and next. It also said that OECD commercial stocks in August increased for the fifth consecutive month and are now close to the record 3+ billion barrels level maintained for most of 2016 just after prices crashed.



The electric future


Dyson has abandoned its plan to build electric cars, saying the project aimed at taking on the biggest names in the automotive industry is not commercially viable.


The maker of vacuums and hand dryers said that while its engineers had produced a "fantastic" vehicle, the $3 billion effort would be wound down after Dyson tried but failed to find a buyer.


The project had been a source of curiosity among industry veterans, some of whom questioned whether a company with substantial engineering experience - but none with cars -could compete with established carmakers.


Hubris or hope? The project may have been a long shot, but it's notable that Dyson tried in the first place. Traditional automakers have huge resources at their disposal - Volkswagen for example has 665,000 employees and annual revenue of $265 billion.


Yet the success of Elon Musk's Tesla shows that determined engineers with the right ideas and timing can disrupt the big boys.

Newsletter

Related Articles

0:00
0:00
Close
Microsoft AI CEO: ‘We’re making an AI that you can trust your kids to use’ — but can Microsoft rebuild its own trust before fixing the industry’s?
China and Russia Deploy Seductive Espionage Networks to Infiltrate U.S. Tech Sector
Apple’s ‘iPhone Air’ Collapses After One Month — Another Major Misstep for the Tech Giant
Graham Potter Begins New Chapter as Sweden Head Coach on Short-Term Deal
Ecuadorian President Daniel Noboa Alleges Poison Plot via Chocolate and Jam
Lakestar to Halt External Fundraising as Investor in Revolut and Spotify
U.S. Innovation Ranking Under Scrutiny as China Leads Output Outputs but Ranks 10th
Three Men Arrested in London on Suspicion of Spying for Russia
Porsche Reverses EV Strategy as New CEO Bets on Petrol and Hybrids
Singapore’s Prime Minister Warns of ‘Messy’ Transition to Post-American Global Order
Andreessen Horowitz Sets Sights on Ten-Billion-Dollar Fund for Tech Surge
US Administration Under President Donald Trump Reportedly Lifts Ban on Ukraine’s Use of Storm Shadow Missiles Against Russia
‘Frightening’ First Night in Prison for Sarkozy: Inmates Riot and Shout ‘Little Nicolas’
White House Announces No Imminent Summit Between Trump and Putin
US and Qatar Warn EU of Trade and Energy Risks from Tough Climate Regulation
Apple Challenges EU Digital Markets Act Crackdown in Landmark Court Battle
Nicolas Sarkozy begins five-year prison term at La Santé in Paris
Japan stocks surge to record as Sanae Takaichi becomes Prime Minister
This Is How the 'Heist of the Century' Was Carried Out at the Louvre in Seven Minutes: France Humiliated as Crown with 2,000 Diamonds Vanishes
China Warns UK of ‘Consequences’ After Delay to London Embassy Approval
France’s Wealthy Shift Billions to Luxembourg and Switzerland Amid Tax and Political Turmoil
"Sniper Position": Observation Post Targeting 'Air Force One' Found Before Trump’s Arrival in Florida
Shouting Match at the White House: 'Trump Cursed, Threw Maps, and Told Zelensky – "Putin Will Destroy You"'
Windows’ Own ‘Siri’ Has Arrived: You Can Now Talk to Your Computer
Thailand and Singapore Investigate Cambodian-Based Prince Group as U.S. and U.K. Sanctions Unfold
‘No Kings’ Protests Inflate Numbers — But History Shows Nations Collapse Without Strong Executive Power
Chinese Tech Giants Halt Stablecoin Launches After Beijing’s Regulatory Intervention
Manhattan Jury Holds BNP Paribas Liable for Enabling Sudanese Government Abuses
Trump Orders Immediate Release of Former Congressman George Santos After Commuting Prison Sentence
S&P Downgrades France’s Credit Rating, Citing Soaring Debt and Political Instability
Ofcom Rules BBC’s Gaza Documentary ‘Materially Misleading’ Over Narrator’s Hamas Ties
Diane Keaton’s Cause of Death Revealed as Pneumonia, Family Confirms
Former Lostprophets Frontman Ian Watkins Stabbed to Death in British Prison
"The Tsunami Is Coming, and It’s Massive": The World’s Richest Man Unveils a New AI Vision
Outsider, Heroine, Trailblazer: Diane Keaton Was Always a Little Strange — and Forever One of a Kind
Dramatic Development in the Death of 'Mango' Founder: Billionaire's Son Suspected of Murder
Two Years of Darkness: The Harrowing Testimonies of Israeli Hostages Emerging From Gaza Captivity
EU Moves to Use Frozen Russian Assets to Buy U.S. Weapons for Ukraine
Europe Emerges as the Biggest Casualty in U.S.-China Rare Earth Rivalry
HSBC Confronts Strategic Crossroads as NAB Seeks Only Retail Arm in Australia Exit
U.S. Chamber Sues Trump Over $100,000 H-1B Visa Fee
Shenzhen Expo Spotlights China’s Quantum Step in Semiconductor Self-Reliance
China Accelerates to the Forefront in Global Nuclear Fusion Race
Yachts, Private Jets, and a Picasso Painting: Exposed as 'One of the Largest Frauds in History'
Australia’s Wedgetail Spies Aid NATO Response as Russian MiGs Breach Estonian Airspace
McGowan Urges Chalmers to Cut Spending Over Tax Hike to Close $20 Billion Budget Gap
Victoria Orders Review of Transgender Prison Placement Amid Safety Concerns for Female Inmates
U.S. Treasury Mobilises New $20 Billion Debt Facility to Stabilise Argentina
French Business Leaders Decry Budget as Macron’s Pro-Enterprise Promise Undermined
Trump Claims Modi Pledged India Would End Russian Oil Imports Amid U.S. Tariff Pressure
×