Business
Primark-owner shares sink after consumer spending warning

Shares in Primark-owner Associated British Foods (ABF) sunk more than 10% on Tuesday after a warning from the firm over “consumer caution” amid a cost of living pressures.
People are concerned about rising inflation and also fear unemployment, said George Weston, chief executive of ABF.
Mr Weston said that market conditions were “challenging”, with concerns over the wider economy meaning customers were being more careful with their money.
Analysts said weaker sales at the fast fashion retailer were behind the share price fall.
Russ Mould, investment director at AJ Bell, said the “real let-down” for investors was Primark, which increased sales by “just 1%” in the six months to 13 September, while its profit margin slipped.
“This probably reflects the sluggish economic environment in the EU, where consumers still seem relatively cautious, as well as competition from Chinese rivals such as Shein and Temu,” he said.
In the UK, significant tax rises are rumoured to be announced in the autumn Budget.
Some economists have predicted that the pace of general price rises – inflation – could pick up globally in the second half of the year, and it is expected to rise in the UK.
This could affect low-cost retailers, Mr Mould said: “The idea that value retailers will automatically thrive in a period where consumers are watching their pennies no longer stacks up.
“Cheap prices do not mean goods will fly off the shelf, just as Primark has found out.”
He added that US consumer spending “has been more robust” than in Europe, but there were question marks over what would happen in the US if unemployment continues to rise and job vacancies continue to fall.
Alex Smith, global sector lead at Third Bridge consultancy said that US tariffs were “a likely headache for the US business”, where sales have been stronger than Europe.
US president Donald Trump has been raising trade import taxes on goods arriving to American from a number of countries which he has argued will encourage US manufacturing and increase tax revenue.
Mr Smith said: “Roughly half of Primark’s products still come from China, and while the company has tested suppliers in places like Bangladesh, Vietnam and South America, none can yet match China’s scale or supply chain maturity.
“Passing higher costs on to customers in the US is difficult too, given the relentless price pressure from Shein and Temu.”
He added that while US consumers have responded favourably to Primark opening more stores, the “rollout has been uneven”.
“Opening stores in far-flung states like Florida and Ohio doubled distribution costs across the entire US network,” he said. “The scattered approach has piled on logistics costs and led to mismatched demand across regions.”
Business
Cantor Fitzgerald Boosts Oracle (ORCL) Target as AI Demand Fuels Cloud Business

Oracle Corporation (NYSE:ORCL) is one of the AI Stocks on Wall Street’s Radar. On September 10, Cantor Fitzgerald analyst Thomas Blakey raised the price target on the stock to $400.00 (from $271.00) while maintaining an Overweight rating.
The price target raise follows Oracle’s booming AI-related contracts that are driving massive growth in its cloud business. The company reported 359% year-over-year growth in Remaining Performance Obligations (RPO), an increase of $317 billion.
It has also raised its Oracle Cloud Infrastructure (OCI) estimates with visibility and revenue guidance extending to fiscal year 2030. The firm sees upside potential when comparing the $317 billion to new contracts to the FY26-30 outlook.
Overall, the firm expects the stock to trade on long-term AI growth potential.
“RPO wowed investors with a 359% increase y/y and a $ increase of $317 billion as the who’s who of AI signed contracts with Oracle during the quarter. As a result, Oracle meaningfully increased its OCI estimates with visibility and OCI revenue guide out to F30, which appears to have more upside potential when comparing the $317b incremental contract signings to the cumulative F26-F30 OCI revenue guide. Given the dramatic shift upward in estimates, we believe shares will trade off out-year forecasts and note that our $400 PT is ~10.5x F28E EV/R (vs. from $271 & 11.5x prior), using our pro forma b/s, a slight premium to recent multiples and more than warranted, in our view, given Oracle’s positioning to benefit from secular growth trends in AI training and inferencing as well as potential upside to increased forecasts.”
Oracle Corporation (NYSE:ORCL) is a database management and cloud service provider.
While we acknowledge the potential of ORCL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 10 AI Stocks In The Spotlight For Investors and 10 AI Stocks on Wall Street’s Radar.
Disclosure: None.
Business
Spending without thinking is a risk with unlimited contactless cards

Kevin PeacheyCost of living correspondent and
Tommy LumbyBusiness data journalist

Spontaneous spending is likely to rise if the limit on contactless cards is increased or scrapped entirely, academics say.
At present, the need to press a four-digit PIN for purchases over £100 gives people a timely prompt about how much they are paying, lowering the risk of debt-fuelled purchases.
Earlier this week, the UK’s financial regulator proposed that banks and card providers set their own limits, or are allowed to remove them entirely. That would make entering a PIN even more of a rarity.
Banks, and some BBC readers, say consumers should be able to set their own contactless limits, as debate on the issue picks up ahead of a final decision later in the year.
Reckless or over-regulated?
Contactless payments have become part of everyday life for millions of people across the world.
When they were introduced in the UK in 2007, the transaction limit was set at £10. Increases in the threshold since then included relatively big jumps around the time of the pandemic, to £45 in 2020, then to £100 in October 2021.
They prompted surges in the average contactless spend.

Clearly, the average would rise because more, higher value, purchases could be made via contactless, without a PIN.
But what is much harder to quantify is whether people were spending more frequently, and larger amounts, than would have been the case if they had needed to enter a PIN.
Richard Whittle, an economist at Salford Business School, says the extra convenience for consumers can come at a cost.
“If this ease of payment leads to consumers spending without thinking, they may be more likely to buy what they don’t really want or need,” he says.
He says this could be a particular issue with credit cards, when people are spending borrowed money and accumulating debt. He believes regulators should consider whether to have different rules for contactless credit cards than for contactless debit cards.
Stuart Mills, a lecturer in economics at the University of Leeds, says cash gives “visible and immediate feedback” on how much money you have, while a PIN is an “important friction point” for controlling spending.
“Removing such frictions, while offering some convenience benefits, is also likely to see many more people realising they’ve spent an awful lot more than they ever planned to,” he says.

Both these academics have raised this concern before, but this is not solely a theoretical argument.
In the Kent market town of Sevenoaks, shopper Robert Ryan told the BBC that entering a PIN “does give me a bit of a prompt to make sure I’m not overspending on my tap-and-go”.
However, the reality for many people is that, under pressure from the cost of living, they are rarely spending more than £100 in one go anyway, so contactless has become the norm.
Research by Barclays suggests nearly 95% of all eligible in-store card transactions were contactless in 2024.
Terezai Takacs, who works in a florists in Sevenoaks, says that over the last couple of years people were cutting back on spending, such as asking for smaller bouquets.
Technology takeover
Ms Takacs also points out that the majority of customers now pay via the digital wallet on their smartphone.
Paying this way already has an unlimited payment limit, owing to the in-built extra security features such as thumbprints or face ID.
Dr Whittle says that is likely to dilute the impact of raising the contactless card limit on spontaneous, or reckless, spending – because young people, in particular, are paying by phone.
Some say scrapping the contactless card limit is overdue, because it is far less relevant when people are accustomed to PIN-free spending on a phone.
“Regulators are finally catching up with how people actually pay,” says Hannah Fitzsimons, chief executive at fintech company Cashflow.
“Digital wallets on smartphones face no limits, so why should cards be stuck in the past?”
If the contactless card limit were to increase or be scrapped, then it would push the UK further on than much of Europe, and more in line with rules in other advanced economies.
In Canada, the industry sets the level rather than regulators, and it is set by providers in the US and Singapore – a model which the Financial Conduct Authority (FCA) wants to replicate in the UK.
Banks agree with the regulator, although UK Finance – the industry trade body – says “any changes will be made thoughtfully with security at the core”.
Personal choice
Banks and card providers that do change limits will be encouraged to allow customers to set their own thresholds, or turn off contactless entirely on their cards.
Gabby Collins, payments director at Lloyds Banking Group – the UK’s biggest bank, says: “Lloyds, Halifax and Bank of Scotland customers can already set their own contactless payment limits in our apps – in £5 steps, up to £100 – and we’re absolutely committed to keeping that flexibility.”
That option has support among some BBC readers, viewers and listeners who contacted us on this topic through Your Voice, Your BBC News.
Ben, aged 36, from London, told us: “The most important principle here is personal choice. I would like to set my own personal limit.
“It is my card and my choice based on convenience and risk tolerance. Some banks do not allow for this. This option has to be provided to everyone.”
Others have concerns over security, saying that unlimited contactless cards would become more of a temptation to thieves and fraudsters.
‘Limitless abuse’
Charities warn that not everyone has the digital skills to set their own limits. In other circumstances, it can have an extremely serious impact on people’s lives.
Sam Smethers, chief executive of Surviving Economic Abuse, says unlimited contactless cards give controlling partners the opportunity for limitless economic abuse.
“Unlimited contactless spending could give abusers free access to drain a survivor’s bank account with no checks or alerts,” she says.
“This could leave a survivor without the money they need to flee and reach safety, while pushing them even further into debt.”
She warns that it could also hasten the shift towards a cashless society.
Cash is a lifeline to many survivors because it was the only way to escape abusers who can monitor online transactions, withhold bank cards and close down bank accounts, she says.
Additional reporting by Andree Massiah
Business
Elon Musk calls for dissolution of parliament at far-right rally in London | Elon Musk

Elon Musk has called for a “dissolution of parliament” and a “change of government” in the UK while addressing a crowd attending a “unite the kingdom” rally in London, organised by the far-right activist Stephen Yaxley-Lennon, known as Tommy Robinson.
Musk, the owner of X, who dialled in via a video link and spoke to Robinson while thousands watched and listened, also railed against the “woke mind virus” and told the crowd that “violence is coming” and that “you either fight back or you die”.
He said: “I really think that there’s got to be a change of government in Britain. You can’t – we don’t have another four years, or whenever the next election is, it’s too long.
“Something’s got to be done. There’s got to be a dissolution of parliament and a new vote held.”
This is not the first time Musk has involved himself in British politics. He started a war of words with the UK government over grooming gangs and also criticised 2023’s Online Safety Act, calling the legislation a threat to free speech.
He had a warm relationship with Nigel Farage, and there were even rumours he could channel a donation to his party before the Tesla boss called for the Reform UK leader to be replaced during a dispute over his support for Robinson.
Musk told the crowd in central London: “My appeal is to British common sense, which is to look carefully around you and say: ‘If this continues, what world will you be living in?’
“This is a message to the reasonable centre, the people who ordinarily wouldn’t get involved in politics, who just want to live their lives. They don’t want that, they’re quiet, they just go about their business.
“My message is to them: if this continues, that violence is going to come to you, you will have no choice. You’re in a fundamental situation here.
“Whether you choose violence or not, violence is coming to you. You either fight back or you die, that’s the truth, I think.”
Musk also told the crowd “the left are the party of murder”, referring to the death of Charlie Kirk.
He said: “There’s so much violence on the left, with our friend Charlie Kirk getting murdered in cold blood this week and people on the left celebrating it openly. The left is the party of murder and celebrating murder. I mean, let that sink in for a minute, that’s who we’re dealing with here.”
He also criticised what he called the woke mind virus and said decisions for advancement should be on merit rather than “discrimination on the basis of sex, or religion or any race or anything else”.
He said: “A lot of the woke stuff is actually super-racist, it’s super-sexist and often it’s anti-religion, but only anti-Christian, like why anti-Christian? That’s unfair … that should be all that matters, the woke mind virus, that I call it, is against all that.”
More than 110,000 people were estimated to have taken part in the far-right street rally, in what is thought to be one of the largest nationalist events in decades. The marchers were faced by about 5,000 anti-racist counter-protesters.
In addition to Musk, figures including Katie Hopkins and French far-right politician Éric Zemmour were invited to speak at the event.
PA Media contributed to this report
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