Weekly review

The FTSE 100 closed the week down 363.09 points to 6,187.65.

Equity view

Private equity firms have reportedly formed three separate teams to bid for Tesco’s South Korean unit, Homeplus.

Millions of Ryanair passengers could now be entitled to claim compensation for delayed flights for up to six years after the event, following a court ruling in favour of two passengers who missed the two-year window imposed by the budget carrier.

Shares in Spire Healthcare tumbled after the company said it swung to a profit after tax in the first half as revenue grew across the business, but cut its revenue guidance for the year, citing weaker demand from the NHS.

GlaxoSmithKline has sold all the rights to its ofatumumab drug to Novartis for up to £1.03bn, extending a previous disposal agreement.

Shares in Premier Oil surged in late trade, having edged lower earlier in the day, as investors welcomed news that the company has renegotiated its debt covenants, as it swung to a pre-tax loss in the first half on impairment charges and lower oil prices.

British American Tobacco confirmed on Thursday that it has signed a deal with Aberdeen Asset Management relating to its proposed offer to acquire up to all of the 24.7% of Brazilian tobacco company Souza Cruz shares it does not currently own and to delist the company.

The Co-operative Bank said it does not expect to make a profit for another two years, as it posted a wider pre-tax loss for the first half.

The ongoing row between Petroceltic International and Worldview Capital Management has taken a new turn, after the latter has published an open letter alleging the company has committed "fraud and corruption".

Ladbrokes has reported mixed results from Gala Coral Group, with which it is in the process of merging, with weakness at its retail and Italy-focused Eurobet arms but overall profits growth lifted by strong online performance.

Rank Group posted a 19% rise in pre-tax profit for the 12 months ended 30 June, with a significant improvement across all the company’s brands.

Shares in Glencore slumped after the miner cut its capex target for the full year and said earnings at its trading division would be lower than previously guided, as it posted a 29% drop in core first-half earnings on the back of declining commodity prices.

Shares in Petroceltic International rose almost 6% early on Wednesday, after the oil and gas explorer said it had shortlisted four potential contractors for its flagship Ain Tsila gas field in Algeria.

Hikma Pharmaceuticals reiterated its full-year guidance, although strong currency headwinds weighed on its interim pre-tax profit.

Imperial Tobacco has delivered a slightly light set of nine-month results, with underlying volume and revenue growth at its growth brands slowing in the third quarter, though the integration of its huge US acquisition of brands from Reynolds American has begun well.

Shares in luggage handler John Menzies fell after the company posted a 60% drop in pre-tax first half profits.

Housebuilder Persimmon posted a 31% rise in first-half pre-tax profit on the back of solid revenue growth, continued improvement in operating profitability and a strengthening of the company’s financial position.

Andy Skelton has been appointed as Fidessa’s new chief financial officer (CFO), the trading investment solutions provider said on Tuesday.

The UK Financial Conduct Authority has decided to discontinue its investigation into beleaguered technology and outsourcing group Quindell with immediate effect, in light of the investigation by the Serious Fraud Office into past business and accounting practices.

Economic news

Consumer confidence in the Eurozone rose slightly in Europe, figures released by the European Commission showed on Friday.

The US manufacturing sector continued to expand in August, but the rate of growth fell to its lowest since October 2013.

UK public sector net borrowing, excluding public sector banks, fell by £1.4bn in July to a surplus of £1.3bn compared with the same month last year, marking the first reported July surplus since 2012, according to the Office for National Statistics.

Jobless claims in the US unexpectedly rose to 277,000 in the week to 15 August from 273,000 the previous week, the Labor Department revealed on Thursday.

US home sales reached a post-recession high in July, figures released on Thursday showed.

British lenders have doled out the highest monthly level of mortgages since the financial crisis, with an estimated £22bn of gross mortgage lending in July according to the Council of Mortgage Lenders (CML).

House building starts in England slumped 14% in the quarter to June, according to official figures released on Thursday.

The rate of US inflation decreased in July, with both the headline and core consumer prices index (CPI) increasing 0.1% month-on-month, short of consensus forecasts for a 0.2% rise.

Nearly half of UK households now expect the Bank of England to raise interest rates in the next six months.

Construction on new US homes grew in July at their fastest pace since the recession, figures released on Tuesday showed.

Britain’s consumer price index (CPI) beat expectations in July, figures released on Tuesday showed, with rising core inflation figures also surprising economists.

UK house prices increased by 5.7% in the year to June, an acceleration from 5.6% the month before, with the east of England and Northern Ireland driving the growth.

International events

Far-left members of Greece's ruling Syriza party have revealed plans to form a splinter party, Popular Unity, following the resignation of Prime Minister Alexis Tsipras and calling of snap elections overnight.

Ratings agency Fitch said the Greek election result was “inherently unpredictable” and uncertainty about creditor relations could threaten the success of the nation’s third bailout programme.

Turkey's President Recep Erdoğan has confirmed the country will soon hold a general election, as largely expected, after his new Prime Minister Ahmet Davutoğlu failed to form a coalition to govern.

US tech giant Google announced its first YouTube Spaces production facility in Mumbai, India, that will be hosted by the reputed Whistling Woods International film school.

South Korea has ordered the evacuation of residents in the border area following an exchange of fire with North Korea, according to reports.

The Federal Open Market Committee’s July meeting minutes sent mixed signals by indicating the America’s central bank was still looking to have more confidence in the inflation outlook before raising rates, but saw conditions for a rate hike approaching.

An explosion near Istanbul's Dolmabahce Palace on Wednesday afternoon was followed by gunfire, according to local reports.

Thai authorities are close to determining who detonated a bomb at a popular spot in Bangkok which killed 22 people and injured 123, according to local media.