World leaders race to prevent new banking crisis

That's all from me. I'll leave you with our top stories:

• Tesla to build battery storage site in Milton Keynes
• Brexit critic who attacked Tory ‘mismanagement’ to set rates at Bank of England
• Police to investigate alleged sexual misconduct at CBI after boss sacked

See you tomorrow morning with the latest news.

EY has abandoned radical plans to separate its consulting and accountancy arms after months of internal disagreement and opposition from US bosses.

It comes after the Big Four accountancy, which operates as a global network of member firms, opted against putting the proposed break-up to a crucial vote among American partners last month.

EY partners were informed of the decision on Tuesday in a note from the firm’s global executive team.

According to the memo seen by The Telegraph, the US executive committee has now decided not to move forward with the plan, codenamed Project Everest.

“Given the strategic importance of the US member firm to Project Everest, we are stopping work on the project,” the firm said.

The announcement marks another climbdown by EY's senior leadership...

London has lost another listing as asset management consultant MJ Hudson announces plans to quit the Aim.

MJ Hudson has agreed to conditionally sell most of its remaining business operations to Apex Group in a £40m deal that involves delisting from London’s junior stock market.

The sale includes MJ Hudson’s data and analytics divisions, plus its business outsourcing division.

The proceeds of the transaction will go towards MJ Hudson’s £33.7m debt owed to its senior lender, Santander UK.

The firm expects that further funding will be required to complete the sale of its business outsourcing division, which includes multiple regulated entities which require regulatory permission for change of ownership.

As a result, MJ Hudson warned investors that it is “highly unlikely” that there will be a payout to shareholders once costs are settled.

Steve Jobs was known as a demanding and occasionally harsh boss, but the late Apple founder was moved to tears by a Joni Mitchell song that reminded him of his own adoption, a collection of his emails has revealed.

Technology editor James Titcomb has the story:

Mr Jobs – who died in 2011 from pancreatic cancer aged 56 – said Little Green, the folk singer’s song about giving up her daughter for adoption in 1965, made him “cry every time I hear it”.

“Maybe it’s because I’m adopted, but this song moves me like few others. After I realised what this song was about, I cry every time I hear it,” Mr Jobs wrote in an email to himself in 2003.

“She wrote it when she was young, and it remains one of the best of her many great songs.”

Mr Jobs regularly sent emails to himself as a way of organising his thoughts, several of which have been published alongside speeches and photos in a book released by the Steve Jobs Archive.

Mr Jobs had compiled and sent himself his own “celebrity playlist”, a feature on the recently-launched iTunes download store that let iPod owners buy playlists curated by high-profile singers and actors, alongside commentary on their favourite songs.

Here are the other artists which feature on the late Apple founder's celebrity playlist...

Newmont has raised its takeover offer for rival Australian gold miner Newcrest to A$29.4bn (£15.8bn).

Under the improved offer, investors would receive 0.400 Newmont shares for every share Newcrest share held, up from the 0.380 exchange ratio unanimously rejected in February.  

It also allows Newcrest to pay a special dividend of up to US$1.10 per share.

The revised proposal altogether holds an implied value of A$32.87 per share to Newcrest investors.

If successful, the deal would extend Newmont’s lead as the world’s largest gold producer.

The non-binding proposal comes after Newcrest provided Newmont with access to limited, non-public information for the American gold mining company to decide whether to make an improved offer. 

Newmont has indicated that the proposal represents the “best and final price” in absence of a competing proposal, Newcrest said.

The two gold miners have agreed to conduct due diligence in each other’s businesses over the next four weeks before a binding offer is made.

Lloyds has become the first UK bank to set targets for disabled bosses.

The banking group has pledged to double the proportion of staff with disabilities in senior management jobs.

Only 6pc of senior managers at Lloyds have reported having a disability, including musculoskeletal conditions, hearing loss, neurodiversity and mental health conditions.

The British retail and commercial bank wants to raise this figure to 12pc by 2025. That equates to 900 senior managers who identify as having a disability, up from 450.

The "ambitious" commitment is part of the lender's plans to become a more inclusive workplace, said Lloyds.

The diversity targets can help reduce the “myths and stigma” surrounding disability, said Lloyds’ sustainable business director Fiona Cannon.

She added:

I think it is really important to demonstrate that having a disability is not a barrier to progression, either in our organisation or others, and there are lots of people living very successfully with a disability.

If you can't see yourself at a senior level of an organisation then you don't know how you can get there.

Spain's data protection agency has asked the European Union's privacy watchdog to evaluate concerns surrounding OpenAI's ChatGPT.

The AEPD has called on the European Data Protection Board to address concerns surrounding the artificial intelligence platform at its plenary meeting on Thursday. 

It's not clear whether the EDPB, which includes representatives of national data privacy watchdogs, plans on discussing ChatGPT, Reuters reported.

The AEPD said in a statement:

The AEPD understands that global processing operations that may have a significant impact on the rights of individuals require coordinated decisions at European level.

It added:

Therefore, in the short term, it has requested that the issue of ChatGPT be included in the next Plenary of the European Data Protection Committee, so that harmonised actions can be implemented within the framework of the application of the General Data Protection Regulation.

It comes after Italy announced a temporary ban against ChatGPT over privacy concerns.

Glencore has sweetened its $23bn (£18.5bn) takeover bid for rival coal miner Teck Resources, amid a growing battle for control over the world’s battery metal resources.

The Swiss-based mining group hopes to merge its coal arm with Teck Resources and then spin-off the combined business.

Teck rejected Glencore’s unsolicited approach to buy the Canadian miner in exchange for $23bn in shares in the combined coal company last week. 

Teck's board unanimously found that the deal would expose its shareholders to the risks and uncertainty of Glencore's thermal coal and oil trading business.

The FTSE 100 commodity trader has now proposed a revised deal giving Teck shareholders the option to receive $8.2bn in cash instead of shares.

Teck said it would review the “largely unchanged” proposal, although noted it seemingly does not address the risks previously highlighted. 

The revised proposal comes after Teck chief executive Jonathan Price called Glencore’s previous offer a “non-starter” on Monday.

London stock markets closed higher after the long Easter weekend.

The FTSE 100 closed 0.57pc higher at 7,785.72, while the FTSE 250 mid-cap index closed up 0.85pc at 18,956.05.

The commodity-heavy FTSE 100 was lifted by mining and oil stocks amid a rally on energy and metal markets. This offset the impact of a stronger pound weighing down the shares of some internationally focused firms.

Risers included Rio Tinto (stock price up 2.87pc), Antofagasta (up 4.95pc), Anglo American (up 2.18pc), Glencore (up 3.70pc).

The FTSE all share oil and gas index climbed 1.31pc.

Cheaper snacks and sharing boards have helped Hollywood Bowl reach record half-year results.

The bowling chain, which has 64 centres across the UK, posted £111m in group revenues in the six months to March 31.

This is 10.9pc higher compared with the same period during the previous year.

The company noted that its simplified food menu and the introduction of snacks and sharing boards was welcomed by customers.

Hollywood Bowl also found that its refurbishment strategy aimed at heightening customer experiences has driven further growth.

This includes installing ‘pins on strings’ technology in bowling alleys, a cheaper system where pins are pulled up by their strings when knocked down.

This has all created an “enhanced centre environment” in which customers spend more time and money.

The company said it had a net cash position of £44.1m at the end of March, down from £49.6m at the same time last year, and added it was "mindful" of the ongoing economic backdrop.

Black Sheep Brewery has put itself up for sale amid tough economic conditions following the pandemic.

The Yorkshire brewery and pub operator has begun a strategic review to explore funding options available to the company.

One of the options available is a merger or acquisition, in whole or in part.

The announcement means that the London-listed brewer has started the offer period for prospective buyers to make their bid.

The company is not currently in talks with any potential suitors and has not received an offer yet.

Black Sheep said that although beer sales are good, there remains a “significant constraint on funding”.

Chief executive Charlene Lyons noted that it’s been harder to secure funding for future plans and projects as businesses recover from the pandemic, particularly those in the hospitality sector.

This is worsened by the cost of living issues weakening consumer spending, she added.

Black Sheep is hoping to expand its range of beverages to build on its brand in Yorkshire, the North and nationally.

The pound has risen against the dollar as investors wait on US inflation data for further signs of whether the Federal Reserve could loosen monetary policy.

The pound is up 0.29pc to $1.24, having dropped on the four previous trading sessions.

Meanwhile, the US dollar index is down 0.44pc to $102.12.

The latest consumer price data, which will be released tomorrow, is expected to show headline inflation rose by 0.2pc in March while core inflation rose 0.4pc. 

It comes after jobs data published last Friday showed US employers added 236,000 jobs while the unemployment rate fell to 3.5pc.

The report added to expectations that the Federal Reserve will increase interest rates by an additional 25 basis points next month before pausing in June. 

Markets are also pricing for the Fed to cut rates by year-end on an expected recession, although Fed officials have stressed the need to keep rates high in order to bring down inflation.

Thanks for following the blog today.

My colleague Adam Mawardi is now taking over our coverage into the evening. 

An American economist has been appointed to the Bank of England's monetary policy committee (MPC) by Jeremy Hunt.

Megan Greene, the global chief economist at Kroll, will succeed Silvana Tenreyro in July, an announcement by the Chancellor said.

A statement by Hunt said Green has "wide experience across financial markets and the real economy will bring valuable new expertise" to the nine-member MPC. 

The MPC sets the bank rate, which influences the interest rates of other lenders. 

In addition to her role at Kroll, Greene is also a columnist for the Financial Times and a senior fellow at London-based foreign policy think tank Chatham House.

She is a regular commentator on financial news and regularly posts on Twitter.

Last year, she criticised Liz Truss's government for "economic mismanagement" during an appearance on BBC Radio 4.

Here she is, giving an interview to BBC News in 2020:

The Recruitment & Employment Confederation (REC) has welcomed the appointment of Rain Newton-Smith as the CBI's new director general, following the departure of Tony Danker, but warned she has a "big task" ahead. 

Neil Carberry (pictured), the REC's chief executive, says: 

As members, the REC asked the CBI Board for decisive leadership to tackle the appalling allegations reported in the press this Spring. Today’s announcement is an important first step in doing that.

Rain Newton-Smith is an excellent appointment as Director General and enjoys our full confidence and support. She has a big task to take on. At this time, the first priority should be supporting female members of staff who have faced unacceptable behaviours.

As businesses, let’s commit to making sure people are unafraid to raise concerns about their experience at work. Policies and expectations are nothing unless they are widely communicated, understood and adhered to. These events are a warning to all that it is better to address emerging problems quickly, leaning on sector bodies, Acas and professional specialists for advice.

Wall Street's main indexes were subdued at the open on Tuesday as investors kept an eye out for inflation data that could determine the US Federal Reserve's next interest rates decision.

The Dow Jones Industrial Average rose 0.2pc at the open to 33,586.75. 

The S&P 500 opened higher by 1.18 points, or 0.03pc, at 4,110.29, while the Nasdaq Composite dropped 4.11 points, or 0.03pc, to 12,080.24 at the opening bell.

A German superyacht maker favoured by Russian oligarchs has been hit by a cyberattack. 

Lürssen, which has made boats linked to sanctioned billionaires Alisher Usmanov and Roman Abramovich, was hit over the Easter holiday period with so-called ransomware.

It has brought large parts of the Bremen-based company's shipyard operations to a standstill, according to local media reports. 

Oliver Grün, a spokesman, told Bloomberg: “In coordination with internal and external experts, we immediately initiated all necessary protective measures and informed the responsible authorities."

Lürssen has constructed several superyachts, including the 512-foot Dilbar, which is owned by a trust linked to Usmanov. 

It also made Abramovich's 377-foot yacht, Pelorus.

Jeremy Hunt, the Chancellor, has welcomed new predictions by the International Monetary Fund about Britain's economy and suggested they vindicate the Government's economic strategy.

The UK has been given the biggest economic upgrade of any G7 country after forecasters admitted they had been too gloomy, with GDP only on course to contract by 0.3pc in 2023 - not 0.6pc as they previously thought. 

In a statement responding to the update, Mr Hunt said:

Thanks to the steps we have taken, the OBR says the UK will avoid recession, and our IMF growth forecasts have been upgraded by more than any other G7 country.

The IMF now say we are on the right track for economic growth. By sticking to the plan we will more than halve inflation this year, easing the pressure on everyone.

Rishi Sunak expects sexual misconduct allegations made against managers at the Confederation of British Industry (CBI) "to be taken seriously", the Prime Minister's spokesman has said.

The spokesman also confirmed that the sacking of CBI chief Tony Danker will not end the move by ministers and officials to cancel engagements with the organisation.

An investigation is continuing into allegations of rape, sexual assault and other serious incidents made by female staff against senior managers, which are unrelated to the misconduct claims made against Danker.

A Downing Street spokesman said: "His [Danker's] departure is a matter for the CBI, but we continue to expect any allegations to be taken seriously and for appropriate action to be taken in response."

Rachel Reeves, Labour's shadow chancellor, also said the scandal at the CBI was "incredibly concerning" this afternoon. 

"It's important that these reviews are able to take their course," she told broadcasters during a visit to Brighton. 

The global economy is in a "perilous phase" where the threat of a global recession is rising, the International Monetary Fund (IMF) has warned.

Rising interest rates could spark a severe banking crisis that triggers recession, the IMF warned in its latest World Economic Outlook.

Financial stability risks have "increased rapidly" over the last six months, the Washington-based organisation said.

Pierre-Olivier Gourinchas, economic counsellor to the IMF, said: “We are entering a perilous phase during which economic growth remains low by historical standards and financial risks have risen, yet inflation has not yet decisively turned the corner.”

The IMF's warning follows twin banking crises in the US and Europe last month. The collapse of Silicon Valley Bank sent shockwaves across the US regional banking system, while UBS was forced to takeover Credit Suisse to stave off its collapse.

Mr Gourinchas said: “Once again, downside risks dominate. Nervous investors often look for the next weakest link, as they did with Credit Suisse."

The IMF said growing threats posed by inflation meant there was now less than a 50pc chance of the world meeting the IMF's forecast of 2.8pc growth this year.

Stress on bank’s balance sheets could lead to severe reduction in lending, according to the IMF’s Global Financial Stability report.

The world now faces a one in seven chance of such a fate, the Washington-based organisation warned.

Pierre-Olivier Gourinchas, economic counsellor to the IMF, said: “In such a severe downside scenario, global GDP per capita could come close to falling – an outcome whose probability we estimate at about 15pc.”

There is a one in 20 chance of a financial crisis that will send global GDP tumbling by 2.8pc, the IMF said.

Sharp rises in interest rates over the last 12 months are starting to hit the financial system, making it harder for companies to borrow money.

Tobias Adrian, financial counsellor at the IMF,  said: “Stresses could  re-emerge in the financial system. Trust – the foundation of finance – could continue to erode. Funding could disappear rapidly for banks and nonbanks, and fears could spread, amplified by social media and private chat groups.”

The IMF said financial institutions that have borrowed a lot relative to their size, have high exposure to interest rates or those that are heavily reliant on short-term funding could be at risk of tipping into crisis.

Pension funds and hedge funds could be exposed to the credit risk deterioration that comes with a slowing economy, the IMF warned.

Mr Adrian flagged real estate funds as particularly vulnerable. These funds have already seen large declines in their asset valuations.

Australia and China have resolved a dispute over barley imports, in a sign of improving relations between the two countries.

Ties have been strained following Canberra's calls for an inquiry into the origins of Covid, with furious officials in Beijing responding with anti-dumping duties on Australian wine and barley.

But tensions have eased since the centre-left Labor party won power last year in Australia. 

Penny Wong, the Australian foreign minister, on Tuesday confirmed that Australia will suspend a case it had brought to the World Trade Organisation (WTO) over China's reprisals while China reviews the tariffs.

The government expects a similar result in a second dispute over wine tariffs, she added.

Russian shipments of oil are collapsing as Moscow implements a pledged cut to production. 

Oil flows from Russian ports dropped by 1.24 million barrels a day last week, the biggest weekly drop since storms hit two ports in December.

It took them below 3 million barrels a day for the first time in eight weeks, Bloomberg reported, and is the first sign of Moscow following through with a promised cut to production.

Along with other members of the Opec+ cartel, such as Saudi Arabia, the Kremlin has slashed output by 500,000 barrels a day - or 0.5pc of global supply - until the end of the year.

The move was taken in retaliation for the price cap imposed on Russian oil by western countries.

Vladimir Putin has pushed seaborne deliveries of Russian crude to record highs to fill Moscow's war chest following the attempted invasion of Ukraine. 

But inflows to the Kremlin's war chest from its oil export duty fell by $17m to a five-week low of $39m in the week to April 7, while the four-week average income dropped slightly to $45m.

Tony Danker, the former director general of the CBI, has publicly responded to this morning's announcement that he has been fired:

It comes after a female staff member alleged that Danker sent her unsolicited messages over a period of more than a year, as well as making unwanted verbal remarks. He is also alleged to have been viewing employees’ personal Instagram profiles.

Mr Danker had stepped aside while an investigation took place and had previously apologised for causing "offence or anxiety to any colleague", saying it was "completely unintentional". 

The CBI this morning said his conduct "fell short of that expected of the director general".

High street retailers enjoyed a much-needed boost over the weekend, with visitor numbers surging in the week to Easter Sunday, new figures show. 

Footfall on Good Friday was up by 26.8pc compared to a year ago, as shoppers used the sunny bank holiday as an opportunity to splash out, according to data company MRI Springboard.

In the week to Easter Sunday, footfall across all UK retail destinations rose by 14.2pc.

However, footfall on Easter Sunday itself was low with many stores closed, while rain and drizzle on Monday also put off many shoppers. 

Diane Wehrle, insights director at Springboard, says: 

Easter this year was pre-empted by strong footfall performance every day during the week in the run up to Easter, and then the weekend itself was undoubtedly helped by the warm and sunny weather.

Amongst the range of town types, coastal and historic towns were the winners over Easter which is not surprising given the warm and sunny weather and their huge attraction for day and holiday visits. 

The CBI has been urged to "entirely address and change its whistleblowing procedures" after the director general was sacked and three employees suspended following a string of misconduct allegations.

Elizabeth Gardiner, chief executive of whistleblowing charity Protect, says:

The fact that there were consistent waves of whistleblowers raising allegations of sexual harassment in the workplace in the press suggests that internal whistleblowing processes are inadequate. 

It is clear that a lot of work needs to be done by the organisation to correct this and restore trust – the appointment of Rain Newton-Smith as director-general may provide such an opportunity.

What CBI should be doing is reviewing its current arrangements, regular training of managers on how to be good recipients of bad news, and checking that staff are aware of and confident in the processes. Whistleblowers provide employers a gift of information – an early warning that something is wrong. Failure to listen can lead to harm to individuals, organisations and the public interest.

There has been limited public reaction from businesses so far to the appointment of economist Rain Newton-Smith as director general of the Confederation of British Industry (CBI).

But two former CBI presidents have voiced their support on Twitter. 

They are former BT chairman Sir Mike Rake and Paul Drechsler, the current chairman of International Chamber of Commerce:

Cineworld shares have crashed to all-time lows after the cinema chain filed a plan with a US  US bankruptcy court that will see existing shareholdings effectively wiped out.

The filing formalises a deal proposed on April 3 that includes plans to cut debt by about $4.5bn and raise $2.3bn in funds. 

It does not provide for any recovery for existing shareholders, the group said.

Following the announcement, Cineworld's London-listed shares have plunged 28pc to just 1.26p.

Former Barclays chief Jes Staley has been accused of whining by the judge overseeing lawsuits relating to his relationship with the late paedophile financier Jeffrey Epstein, our media correspondent James Warrington reports. 

Mr Staley had launched a bid to separate a lawsuit filed against him by his former employer JP Morgan from two others alleging the bank knowingly benefited from Epstein’s sex trafficking.

JP Morgan is trying to claw back more than $80m of compensation from Mr Staley in an effort to make him pay for any costs the bank incurs because of its relationship with Epstein.

Mr Staley wanted the clawback case separated from two legal claims against JP Morgan, brought by a victim of Mr Epstein and the US Virgin Islands, and asked for the trial to be delayed until March 2024 to give him more time to prepare.

But Jed Rakoff, a US District Judge, rejected the bid, writing: “None of Staley’s whines remotely warrants either a severance or a change in the joint trial date.”

Read the full story here. 

China has decreed that all artificial intelligence (AI) in the country must be socialist, my colleague Matthew Field writes. 

AI chatbots must reflect “the core values of socialism”, authorities in Beijing have said, amid a crackdown on the emerging technology.

Under China’s cyber security laws, all chatbots will be required to censor politically sensitive topics and are forbidden from spreading information that calls for “overthrowing the socialist system” or “inciting to split the country”.

The Chinese Communist Party has ordered that all new AI bots are presented for a security review before they are released to the public.

The country’s internet regulator said: “The content generated by generative artificial intelligence shall reflect the core values of socialism, and shall not contain subversion of state power.”

China has already moved to block ChatGPT, the bot developed by Silicon Valley start-up OpenAI that has surged in popularity.

Some US-made chatbots will provide links to news articles if asked about atrocities such as the persecution of Uighur Muslims by the Chinese states.

The crackdown comes as China’s tech giants race to launch new tools that can challenge ChatGPT.

The CBI's website appears to have crashed after the lobbying group's announcement this morning.

Visitors attempting to view profiles of board members were greeted with the following page:

Rain Newton-Smith has been appointed as the Confederation of British Industry's new director general, following the sacking of Tony Danker.

But who is the new boss of Britain's biggest business lobbying group?

Until recently, Newton-Smith had served as the CBI's chief economist and so is a familiar face to businesses and journalists, having been a regular speaker at industry conferences.

She left the CBI in March to take on a new job as managing director of sustainability strategy and policy at Barclays but has now been brought back as the lobbying group battles a "devastating" sexual misconduct scandal.

Her CV also boasts a five-year stint at Oxford Economics, where she was head of emerging markets and the lead expert on China, according to her Linkedin profile.

Before that, Newton-Smith also worked on international forecasts for the Bank of England's monetary policy committee and was at one stage seconded to the International Monetary Fund in Washington DC to advise the fund's UK executive director. 

She holds an masters in economics from the London School of Economics and studies philosophy and economics at Oxford University. 

Brian McBride, the CBI's president, said: "I am delighted that Rain has agreed to return to the CBI as our new director-general. She has a stellar record as a leader and advocate for UK business with all it can contribute to the economy and society."

Following Tony Danker's departure, the CBI has this morning announced several measures to "rebuild trust" in Britain's biggest business lobbying group.

Several major businesses have expressed concerns in recent weeks, after Mr Danker stepped aside in the wake of misconduct claims and separate allegations of rape and sexual assault were made against other senior managers by female staff.

Law firm Fox Williams continues to lead an independent investigation into the claims and the CBI has revealed it is also liaising with police.

However, lobbying group said it was taking other measures to rebuild trust including:

• appointing Jill Ader, a CBI Board member and recent global chairman of leadership advisory firm Egon Zehnder, to oversee a "root-and-branch review" of the CBI's culture, governance and processes;
• creating a new position of chief people officer, which will sit on the CBI's executive committee and report directly to the board on matters of workplace conduct and culture;
• making an "independent and confidential channel" set up for staff to voice concerns and complaints about workplace conduct permanent.

The moves come after CBI members including Marks & Spencer and Rolls-Royce expressed concerns about the misconduct scandal and demanded assurances it was being taken seriously. 

The boss of the Confederation of British Industry (CBI) has been fired and three other employees suspended in the wake of a "devastating" sexual misconduct scandal at the business lobbying group.

Tony Danker, pictured, has been dismissed with "immediate effect", it was announced on Tuesday, following an independent investigation into complaints of harassment made against him by a female colleague. 

Mr Danker had stepped aside while the investigation was ongoing. He has previously apologised for causing "offence or anxiety to any colleague", saying it was "completely unintentional". 

In his place, former CBI chief economist Rain Newton-Smith will become director general, a statement added.

Meanwhile, as an investigation into separate allegations made against senior managers continues, the CBI said it had suspended three unnamed employees.

One woman said she was raped at a 2019 staff party, according to the Guardian, with complainants describing a “toxic culture” of “unchecked misogyny”.

Another woman claimed to have been a victim of attempted sexual assault at the same party, while other female staff said they were propositioned and were sent unsolicited explicit images by their male bosses.

Mr Danker is not the subject of any of the more recent allegations but the CBI board said "his own conduct fell short of that expected of the director general".

The CBI statement added: "The allegations that have been made over recent weeks about the CBI have been devastating. 

"While investigations continue into a number of these, it is already clear to all of us that there have been serious failings in how we have acted as an organisation. We must do better, and we must be better."

Mr Danker could not be reached immediately for comment. 

Bitcoin has topped $30,000 in value for the first time since June last year as traders bet that US interest rates will peak soon.

The world's most popular cryptocurrency had been hovering just below the psychological barrier in recent weeks but has leapt 6.5pc higher to $30,138  (£24,100) in the past 24 hours, according to Coindesk. 

It comes as investors are waiting for key inflation data that is expected to inform the US Federal Reserve's next decision on whether to raise interest rates again. 

Traders are speculating that consumer price index data on Wednesday will "come in at a level that gives the Fed reason to think about pausing raising rates in the next meeting, thereby giving a boost to assets like bitcoin", James Lavish, managing partner at the Bitcoin Opportunity Fund, told CNBC.

Data from the producer price index is also due out on Thursday.

Bitcoin, like other cryptocurrencies, has rallied this year from $16,527 at the end of 2022.  

Richard Hunter, head of markets at Interactive Investor, says traders appear to be optimistic today, with the FTSE 100 now up 4.5pc this year:

UK markets returned after a long holiday weekend in buoyant mood, with the main indices displaying strength given the benign backdrop of other global markets’ performances. 

Retailers attracted some buying interest, as did the beleaguered housebuilders propelled by upgrades to Barratt Developments and Persimmon. Miners were also in demand as the main primary index attempted to claw its way back to the heightened levels achieved earlier in the year.

Retailers and the airlines also featured in pushing the more domestically-focused FTSE 250 into positive territory, underpinned by retail sales data. 

His colleague, head of investment Victoria Scholar, notes that the Footsie has notched three weeks of straight gains before today, with hopes for another now building. 

London's FTSE 100 rose on Tuesday as miners and oil stocks boosted the commodity-heavy index, while shares of Cineworld slid as the troubled cinema operator filed plans for a reorganisation.

The Footsie was up 0.54pc at 8:30am, while the mid-cap FTSE 250 added 0.88pc. 

Industrial miners such as Glencore and energy firms BP and Shell were among the risers, amid expectations that the Chinese government will seek to stimulate the country's faltering economy. 

However, shares in cinema chain Cineworld Group plunged 9.7pc after the company filed a plan for reorganisation with the US Bankruptcy Court.

The boss of Sweden's biggest pension provider has been fired after the fund manager's bets on troubled American lenders such as Silicon Valley Bank led to losses of £1.5bn.

Magnus Billing has been sacked with immediate effect, Alecta said on Tuesday.

His abrupt exit comes after the pension provider last month revealed it had lost 19.6 billion Swedish crowns (£1.5bn) from its shareholdings in Silicon Valley Bank, First Republic Bank, and Signature Bank, which were plunged into turmoil following consumer withdrawal panics. 

"The losses have severely damaged the trust in Alecta's asset management," the company said in a statement.

Households are spending more on furniture and appliances as they eat out less to save money, according to new figures.

The British Retail Consortium (BRC) said total retail sales increased by 5.1pc in March, disappointing businesses hoping for a bigger mother's day boost.

That compares to a 3.1pc in March last year. 

But it comes as soaring inflation is eating into consumer spending power, with the BRC saying the monthly increases masked an overall drop in sales volumes when price rises were taken into account. 

One bright spot was in-store sales of non-food items such as electronics and furtinure, which leapt 5.2pc higher.

Paul Martin, head of retail at KPMG, said:

As consumers cut back on eating out, spending on home comforts, accessories and furniture saw the biggest growth with people looking to entertain at home instead. 

The BRC said the top-selling categories were household appliances, food, health and beauty, footwear and furniture.

The International Monetary Fund will today publish its global stability report, which looks how the financial system has coped with soaring inflation and rising interest rates.

It predicts that an era of ultra-low rates will return as soaring inflation becomes a historical blip, according to my colleague Oliver Gill:

In a boon to homeowners, the Washington-based organisation, said that an ageing population coupled with low productivity will tame inflation and lead to interest rates returning to pre-pandemic levels.

Soaring inflation, which hit 41-year highs in Britain, has only interrupted a trend for low interest rates, rather than changing the global economic paradigm, the IMF said.

An analysis of what perpetuated years of low interest rates following the global financial crisis found that “demographic forces, such as changes in fertility and mortality rates or time spent in retirement, are major drivers of the decline in natural rates”.

Falling productivity growth was also an “important force”, meaning emerging economies converge towards more advanced ones, the IMF said.

Read Oliver's full report here. 

The former boss of Twitter who was fired by Elon Musk is suing the social media company for failing to pay his legal bills.

Parag Agrawal, who ran Twitter from November 2021 to October 2022, was sacked and escorted out of Twitter’s San Francisco headquarters the day Mr Musk completed his $44bn takeover.

Along with other executives, his employment was ended “with cause” after Mr Musk accused them of misleading him and investors about the number of fake user accounts on the social media platform.

But along with former general counsel Vijaya Gadde and former finance chief Ned Segal, Mr Agrawal is now suing the company for failing to cover about $1m in personal legal expenses as it battles investigations by American authorities.

It is common for companies to pay the legal expenses of current and former executives during investigations into the company’s conduct.

However, Mr Agrawal’s lawsuit claims Twitter refused to honour its “obligations” despite the executives incurring “significant” legal costs related to investigations by the US Department for Justice and the Securities and Exchange Commission, according to filings with a Delaware court first reported by the Financial Times.

Twitter has become embroiled in various disputes since Mr Musk’s takeover, including with the Federal Trade Commission and the company’s San Francisco landlord.

5 things to start your day 

1) Ultra-low interest rates will return in Britain, IMF says - Ageing population coupled with low productivity will tame inflation

2) Revealed: teachers unions make £120m bet on hedge funds – Criticism comes as the National Education Union threatens prolonged strike action

3) ‘Government-funded’ BBC is biased, claims Elon Musk – Row with national broadcaster over Twitter label escalates

4) FTX bosses joked about losing millions of dollars, damning report claims – Disgraced founder Sam Bankman-Fried accused of ‘hubris, incompetence, and greed’

5) Why a fake Pope picture could herald the end of humanity – Silicon Valley heavyweights clash over the risks of super-powerful AI

What happened overnight 

Stocks mostly grew in Asia on Tuesday after a mixed session on Wall Street, dominated by speculation the Federal Reserve may tap the brakes again on financial markets and the economy by raising interest rates.

Shares climbed in Tokyo, Hong Kong, Seoul and Shanghai. Meanwhile, US futures inched up higher and oil prices also gained.

In Tokyo, the Nikkei 225 index shot up 1.4pc to 28,013.86 and South Korea's Kospi advanced 1.4pc to 2,546.07. 

Hong Kong's Hang Seng added 0.7pc to 20,481.02, while the S&P/ASX 200 climbed 1.3pc to 7,314.00. The Shanghai Composite index dipped 0.2pc to 3,310.00.

In Japan, the new central bank governor indicated late on Monday that he expects to keep its ultra-low interest rate policy in place without drastic changes.