The London Rush: Seatbelt signs are off

IAG rises as dividends return.

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Hi, I'm Louise from Bloomberg UK's breaking news team, catching you up on this morning's business stories. Is the turbulence from the pandemic finally over?  It could be for IAG shareholders. The British Airways parent has reinstated its interim dividend, having last made a payment before Covid hit. That follows Rolls-Royce resuming shareholder returns earlier this week and Ryanair committing to its first-ever regular payment in November. It points to a healing of the aviation sector's balance sheets as demand for overseas holidays returns (although business travel is still lagging).  Together with keeping its growth guidance unchanged, IAG's update will likely giving some reassurance following a string of warnings from airlines over fare prices this summer. The company also abandoned its €400 million bid to buy Spain's Air Europa, for the second time, having faced opposition from regulator. What's your take? Ping me on X, LinkedIn or drop me an email at lmoon13@bloomberg.net. Please note: Our email domain is changing, which means you'll be receiving this newsletter from noreply@news.bloomberg.com. Update your contacts to ensure you continue receiving it — detailed directions below.

What We're Watching

Brits are prioritising spending on holidays over small-ticket items, (and fair play with the summer we've had), according to fresh retail traffic data. Ex-UBS boss Ralph Hamers is one option to become Schroders' next CEO, as the UK money manager hunts for a successor to Peter Harrison. And we can't not mention the Bank of England's decision yesterday to cut interest rates, a gift to new the PM. Still, Governor Andrew Bailey said rates will settle above pre-Covid levels. More from market guru Dave Goodman below.  Photographer: Hollie Adams/Bloomberg

Global Catch-Up

Apple is pressurising Tencent and ByteDance over app fees in China. Biden vows more support for Israel, while pressing Netanyahu on a truce. Venezuela's Machado calls for protests as the US backs power transition.

Markets Today: BOE Takes the Steps

Here's your daily snap analysis from Bloomberg UK's Markets Today blog: So, the BOE finally delivered its first interest rate cut in about four years. It has (rightly) been billed as a big moment for the UK, but its worth remembering how different this easing cycle will likely be than a usual bout of monetary loosening. In the past, and to misuse a cliche usually applied to commercial banks, central banks would take the stairs as they hiked rates (a slow, cautious approach) and the lift as they cut them (a rapid series of moves, perhaps in response to an economic crisis). This time round though, the opposite may be true. The BOE unleashed a breakneck sequence of hikes to bring inflation under control, and will now cut at a leisurely pace that the market suggests could translate as one reduction a quarter. As Phil Aldrick writes, they are also cutting rates into a growing economy, not a recession, further highlighting the unusual nature of this cycle. — David Goodman Check Bloomberg UK's Markets Today blog for updates all day.

City Moves

After striking deals involving Chelsea and Atletico de Madrid, Ares is expanding its sports, media and entertainment team with four hires from AcePoint Capital: Jeevan Sagoo and David O'Connor joined as MDs, while Ardeshir Sorabjee and Patrick Souki joined as principals… Former StanChart CFO Andy Halford is set to become finance chief of Germany's Aareal Bank… Matthew Jarman is joining Citi as vice chairman of UK investment banking after 17 years at Morgan Stanley… Former HSBC FX specialist Mitul Patel is joining RBC as director for central bank sales…RBC also promoted James Taunton as head of public sector origination in Europe… Impax named NED Simon O'Regan as chair, succeeding Sally Bridgeland… Sarah Houlston, previously at RBC Brewin Dolphin, is joining Quilter as COO… M&G named Hargreaves Lansdown's Shawn Gamble as chief risk and compliance officer… NatWest promoted Paul Edwards to lead its asset finance business… DWS hired CIFC's Max Elliott-Taylor as CLO portfolio manager… And BlackRock's Laura Cooper (also formerly of Bloomberg) joined Nuveen as a global investment strategist. Next Week If you're not on the beach next week, results worth following include Glencore, Deliveroo, WPP, Persimmon and Abrdn. By Monday evening we'll learn if Hargreaves Lansdown is inching towards going private — a deadline for suitors to formalise a bid expires at 5pm.

Pub Quiz

Oaktree is selling its stake in French second division football club Stade Malherbe Caen to Interconnected Ventures. Which star player founded the firm?  [Yesterday's answer: White House executive chef Cristeta Comerford was selected by Laura Bush.]

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