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Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Sunday newspaper round-up: Zero Covid, British Airways, Rolls Royce

(Sharecast News) - Protests against the government's zero-Covid strategy are spreading from Shanghai to other Chinese cities such as Guangzhou, Wuhan and Xi'an. Videos of the protests on social media, including some showing clashes with police and people chanting anti-government slogans, were taken down. In Urumqi, most of the city had been under lockdown for over three months, although lockdowns were lifted in some neighbourhoods on Saturday. China reported 39,506 cases of Covid-9 on Sunday, a record level, but small when compared to the levels recorded at the height of the pandemic in the West. - The Sunday Times British Airways will nearly double its operations out of Gatwick as a result of the ongoing dispute with Heathrow. The carrier was understood to be planning to increase the number of jets based at Gatwick from 14 to between 24-28 over the next few years. Heathrow was forced to limit the number of passengers flying out of the airport to avoid a repeat of the chaos seen at many airports since Easter. It was also pressing the aviation regulator to boost landing charges, the cost of which are then passed on to passengers. - The Sunday Telegraph

Chemicals outfit Ineos has held talks with Rolls Royce regarding use of the engineer's nuclear power technology to supply the Grangemouth refinery in Scotland with zero-carbon energy. More specifically, Rolls Royce's small modular reactors would provide the electricity needed to generate green hydrogen fuel for the refinery. The talks nevertheless were said to be at an early stage and no commercials had yet been discussed. - Guardian

Domino's Pizza Group's boss Elias Diaz said sales during the World Cup are running far ahead of expectations, vindicating the pizza chain's decision to hire an extra 10,000 staff over the preceding two months. Nonetheless, Diaz conceded that the cost of living crisis was "obviously a real concern", but added that the company's value credentials would help it overcome the economic slump. He also pointed out how Domino's long-term relationships with suppliers had allowed it to limit price rises. - Financial Mail on Sunday

Industry experts and store executives say that retail chains have been caught between fast rising costs and softer than expected demand which may lead to a string of casualties over Christmas as shoppers face increases in their food and energy bills. Fashion retailers had been especially hard hit as they had also had to cope with warmer than normal temperatures. On the flip side, shoppers had flocked to town centres and retail parks after the pandemic eased. According to one retail director, the outfits that would do well were Primark, Aldi, Lidl and probably Next. - Financial Mail on Sunday

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Thursday newspaper round-up: Thames Water, mortgage costs, UK car production
(Sharecast News) - Thames Water has breached its licence to supply water to nearly 16 million people after some of its debt was downgraded to junk status. The regulator Ofwat could now fine Thames, the country's largest water monopoly, up to 10% of its annual turnover, equating to hundreds of millions of pounds. However, since the company is already teetering close to temporary renationalisation, Ofwat is likely to hold off on any immediate large fines. - Guardian
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(Sharecast News) - Reckitt is under pressure from top shareholders to revisit a sale of its nutrition business, following litigation and a series of other setbacks at the division that have sent the company's share price to decade lows. The FTSE 100 consumer giant acquired the Mead Johnson infant formula business in 2017 for $17bn - its largest-ever acquisition - and it has been plagued by mishaps ever since. Meanwhile, the wider group, which makes Lysol detergent and Durex condoms, has underwhelmed investors as it struggles to build back sales volumes following a period of high inflation and suppressed consumer demand. - Financial Times
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(Sharecast News) - Kamala Harris has secured enough delegates from her party to clinch the Democratic presidential nomination, as she pledged to offer Americans a "brighter future" compared to the "chaos, fear and hate" proposed by Donald Trump. The US vice-president was speaking in Wilmington, Delaware, on Monday, the first full day since President Joe Biden dropped his re-election bid and endorsed her for the Democratic presidential nomination, shaking up the 2024 race for the White House. - Financial Times
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(Sharecast News) - Kamala Harris, the vice-president, has emerged as the frontrunner to replace President Biden as the Democratic nominee for the election against Donald Trump in November. Biden, 81, announced yesterday afternoon that he would drop out of the race. In the hours that followed, Harris, 59, was endorsed by leading Democrats, prospective rivals and the chairs of all 50 state parties. - The Times

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

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