Must read: gold, record Nikkei, Aston Martin, Shawbrook IPO
ii’s head of investment rounds up the morning’s big news.
6th October 2025 09:21
by Victoria Scholar from interactive investor
GLOBAL MARKETS
European markets have opened mixed with the FTSE 100 slightly lower while the CAC 40 is down sharply. The French Prime Minister Sebastien Lecornu has reportedly resigned according to BMF TV after less than a month in the job as political turmoil continues in Paris, rattling French markets.
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On the FTSE 100, Mondi (LSE:MNDI) is the top loser, shedding more than 17% following a disappointing third-quarter trading update. It said the challenging trading environment continued through the quarter and it reported a decline in underlying EBITDA versus the second quarter. Fresnillo (LSE:FRES) is at the top of the basket, gaining around 1.8% thanks to gains for precious metals.
Gold and silver are both up by more than 1% each, with gold surpassing resistance at $3,900 for the first time driven by global uncertainty that is pushing investors towards safe-haven assets.
The Nikkei has hit a record high, gaining 5%, while the yen fell sharply as Sanae Takaichi looks like she will become Japan’s next prime minister with markets pricing in lower interest rates and greater government spending. The 30-year Japanese government bond yield briefly hit an all-time high.
ASTON MARTIN
Aston Martin Lagonda Global Holdings Ordinary Shares (LSE:AML) issued a profit warning ahead of its Q3 results on 29 October. It anticipates a larger-than-expected full-year loss below the bottom end of analysts’ consensus for £110 million.
The automaker also expects full-year wholesale volumes to fall by a “mid-high single digit percentage” after selling 6,030 units. Aston Martin said it no longer expects positive free cash flow generation in H2 2025. As a result, Aston Martin has initiated an immediate review of future cost and capital expenditure. Meanwhile, Aston delivered around 1,430 wholesale units in the third quarter, below guidance for roughly 1,641.
Aston Martin has been caught up in a cocktail of headwinds. As an automaker that manufactures outside of the US, it has been hit painfully by Trump’s tariffs, particularly when combined with the broader challenging macro backdrop. It is struggling with weakness in key markets like North America and China and there is further uncertainty stemming from the current US federal government shutdown. It was already forced to cut jobs this year amid steepening losses, announcing plans to reduce its workforce by around 5% in February.
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A lot riding on its first ever limited production mid-engine hybrid supercar, Valhalla which is expected to start deliveries in the fourth quarter, entering production in Q3. Aston Martin says profitability and free cash flow improvements in 2026 will be driven by the Valhalla and cost reductions.
Shares in Aston Martin have fallen around 7% this morning, reflecting traders’ disappointment in today’s update. Until Friday’s close Aston Martin shares were already down almost 24% year-to-date and down 26% over a one-year period.
SHAWBROOK
Shawbrook is considering an initial public offering (IPO) in London, confirming a report from the Financial Times on Friday night. The IPO would comprise of new shares issued by the company and existing shares sold by the company’s sole shareholder, Marlin Bidco Limited, controlled by private equity firms BC Partners and Pollen Street which took over the company in 2017. Shawbrook said the free float will be at least 10% of issued share capital therefore it will be eligible for FTSE UK indices. It is targeting institutional investors as well as UK retail investors.
Shawbrook believes the IPO would allow it to pursue its ambitious growth plans and enhance profit and brand recognition. The FTSE 100 hosts many financial heavywe
However, Shawbrook’s potential flotation provides another reason to be optimistic towards London again as a global financial hub and as a destination for successful IPOs.
There is a growing bank of evidence that appetite for London listings is on the comeback not least with Shawbrook’s update this morning. There have also been reports recently that Revolut is considering a dual listing in London and New York and there are planned UK listings from the The Beauty Tech Group Ltd (LSE:TBTG) and Princes tinned tuna as well. Plus, the FT reported that the UK Treasury is mulling a stamp duty holiday for two to three years to encourage new stock market listings in London. Interactive investor has long been vocal on the removal of stamp duty on UK shares, so this is an encouraging development.
The hope is that these developments will help to reshape the narrative and prove that London still holds its power as an attractive listing location. Perhaps London has suffered with an image problem since Brexit, but that could be about to change for the City.
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