Antofagasta to exit Reko Diq project, Plus500 enters Japanese market

London pre-open

The FTSE 100 was being called to open 11.7 points lower ahead of the bell on Monday after closing out the previous session 0.26% higher at 7,404.73.

Stocks to watch

Mining group Antofagasta, along with Barrick Gold and the Governments of Pakistan and Balochistan, have reached an agreement in principle on a framework that provides for the reconstitution of the Reko Diq project and a pathway for the company to exit the project.

Antofagasta said on Monday that it had decided not to participate in the reconstituted project, which was suspended in 2011 due to a dispute over the legality of its licensing process, as its growth strategy was now focused on the production of copper and by-products in the Americas - particularly in Chile, Peru, the USA and Canada.

Fintech group Plus500 has entered into the "substantial Japanese retail trading market" with its acquisition of type 1 financial instruments business operator EZ Invest Securities.

Plus500 said on Monday that the acquisition represented "a major growth opportunity" for the firm, stating it will further strengthen its strategic position as a global multi-asset fintech group by diversifying its geographic footprint through an immediate presence in the Asian nation.

Consumer products giant PZ Cussons said it had bought UK baby and child personal care company Childs Farm for £36.8m.

The company said on Monday that Childs Farm founder Joanna Jensen had bought back an 8.1% stake in the purchased business, with Cussons set to buy this back by May 2025 for up to £32.5m.

Newspaper round-up

The average price tag on a home in Great Britain has topped £350,000 for the first time, according to Rightmove. Typical asking prices hit £354,564 in March, up 1.7% or £5,760 compared with February, the property website said. It was the biggest monthly rise for this time of year in 18 years and pushed the annual rate of growth in asking prices to 10.4%. - Guardian

Saudi Arabia's state oil company said it would increase spending on oil production to meet rising global demand, as it reported a doubling of profits in 2021. Saudi Aramco – the world's largest oil exporter and one of the world's most profitable companies – said its net profit increased by 124% to $110.0bn (£83.0bn) in 2021, compared with $49.0bn a year earlier. - Guardian

Demand for iodine tablets has rocketed in the UK and EU as the Kremlin's invasion of Ukraine stokes fears of nuclear war. UK manufacturer Oxford Health Company had a 15,000% surge in page views for its tablets in March, compared to January, after a "considerable increase in demand for iodine" in the UK and Europe. - Telegraph

Michael Gove has opened up a new front in his war with Britain's biggest housebuilders after describing them as a "cartel" in comments to Conservative activists. The Housing Secretary told the Conservative Environment Network last week that he had become unpopular with developers because of his stance on building safety. - Telegraph

The head of marine and aviation at the trade body which represents Lloyd's of London insurers has urged the government to rethink the ethics and benefits of foreign ownership of national assets after what it called the pitiless treatment of P&O Ferries staff. Neil Roberts, of Lloyd's Market Association, whose members write about £36.0bn of premiums every year, said that "UK plc must look at safeguarding itself" after 800 staff were sacked last week without notice or consultation, to be replaced with cheaper agency workers believed to be from overseas. - The Times

Small brewers have expressed alarm at the government's proposed reform of alcohol duty, and want to know why the mooted tax on cider will be only half the rate on beer. The government, which announced a review of alcohol duty in March 2020, launched a consultation in last year's budget aimed at simplifying the "complex, burdensome and inconsistent" tax system. - The Times

US close

Wall Street stocks closed higher on Friday as the S&P 500 extended its recent rally for a fourth consecutive day.

At the close, the Dow Jones Industrial Average was up 0.80% at 34,754.93, while the S&P 500 was 1.17% firmer at 4,463.12 and the Nasdaq Composite saw out the session 2.05% stronger at 13,893.84.