Business
Stocks slide and pound dives as bond yields spike
Stocks in London fell sharply on Tuesday and the pound sank, unnerved by a renewed spike in bond yields.
“Warning lights are flashing about increasingly tricky economic conditions and geopolitical risk,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.
“As concerns collide about the global outlook, inflationary pressures and worrisome public finances, the FTSE 100 remains on the back foot, with other European indices also largely in the red.”
The FTSE 100 index closed down 79.65 points, or 0.9%, at 9,116.69. The FTSE 250 ended 470.80 points lower, or 2.2%, at 21,162.89 and the AIM All-Share finished down 3.07 points, or 0.4%, at 765.57.
In Europe, the Cac 40 in Paris ended down 0.7%, while the Dax 40 in Frankfurt closed 2.3% lower.
“Investors are finding little reason to chase stocks higher when bond markets continue to promote the need for caution,” said Rostro analyst Joshua Mahony.
The yield on UK 30-year government bonds – also known as gilts – jumped to the highest level since 1998, at 5.71% on Tuesday, up seven points from Monday, while the yield on the 10-year bond stretched to 4.81%, up six points.
Gilt yields move counter to the value of the bonds, meaning their prices fall when yields rise.
Bond yields also soared across Europe. In Germany, the 10-year bond climbed four points to 2.79%, while in France, the 10-year bond yield widened to 3.59%, up five points. The yield on 30-year government bonds hit 4.50% in France, a 14-year high. In Italy, the 10-year bond yield increased seven points to 3.71%.
The latest gains came amid political instability in France and concerns over rising government debt across Europe.
Kathleen Brooks at XTB Research said a driver of weakness in the UK bond market could be a delayed reaction to the Government reshuffle on Monday.
“The Prime Minister beefed up his economic team in the lead-up to the budget. This has not gone down too well, with concerns that there is still a strategy void when it comes to the economy, as the Government struggles to deliver the growth that it promised,” she said.
The shake-up saw the chancellor’s deputy Darren Jones move into a new role as Chief Secretary to the Prime Minister.
Sir Keir Starmer also brought in Minouche Shafik, a former Bank of England deputy governor, as his chief economic adviser.
Treasury minister James Murray replaced Mr Jones as Treasury chief secretary, while Chipping Barnet MP Dan Tomlinson replaced Mr Murray as Treasury exchequer secretary.
Simon French, head of economics at Panmure Liberum, said Mr Jones and Ms Shafik were a “sensible” duo of appointments and “long overdue” given the lack of economic expertise in the Prime Minister’s team.
But he noted gilts were sold off partly because Mr Murray and Mr Tomlinson “are seen as more left wing than Darren.”
Ms Brooks said the UK was not an “outlier” as European bond yields were also moving higher.
“A rise in UK yields always garner more attention, because our yields are at a higher level to begin with. However, if UK yields continue to rise, and if they start to rise at a faster rate than elsewhere, then it could be a sign the market is pricing in a growing probability that Rachel Reeves will throw away her fiscal rules and borrow more at the budget to fund spending, rather than increase taxes and stymie growth.”
Deutsche Bank thinks the autumn budget will be a “defining moment” for the UK as the Chancellor looks to fill a fiscal hole worth around £20 billion to £25 billion.
“How the Chancellor decides to fill the fiscal hole will be important,” Deutsche said.
“While we expect fiscal headroom to be restored, we expect the Chancellor to adopt a slightly looser fiscal policy path in the near term, compared to March, with a good chunk of fiscal consolidation likely to be backloaded,” the bank said.
The pound dropped to 1.3389 dollars late on Tuesday afternoon in London, compared with 1.3548 at the equities close on Monday. The euro fell to 1.1659 dollars, against 1.1705 dollars. Against the yen, the dollar was trading higher at 148.20 compared with 147.27.
On the FTSE 100, insurer Legal & General fell 4.5%, while wealth management firms Phoenix Group and St James’s Place declined 4.2% and 3.6% respectively.
Rate sensitive housebuilders Persimmon and Taylor Wimpey fell 3.4% and 3.2%, with the latter not helped by a rating downgrade by Bank of America to “neutral” from “buy”.
Retailer Marks & Spencer tumbled 4.0% on fears consumer spending could stall amid slowing economic growth, and as house broker Shore Capital lowered earnings forecasts.
Electricity generator SSE fell 3.7%, which JPMorgan attributed to “rising UK bond yields and concerns around the company’s balance sheet”. However, JPM sees the weakness as a “buying opportunity”.
On the FTSE 250, Ithaca Energy tumbled 13% as its two leading shareholders sold a 3% stake.
Peel Hunt confirmed DKL Energy, a wholly owned subsidiary of Delek Group, and Eni UK, an indirect wholly owned subsidiary of Eni, offloaded 49.6 million shares. They were placed by Peel Hunt with institutional investors at a price of 213.75p per share for a value of £106.0 million.
Gold hit another record high, climbing to 3,511.91 dollars an ounce on Tuesday against 3,476.94 on Monday.
UBS said elevated political and geopolitical risks underline the appeal of gold, which tends to benefit from uncertainty.
“Gold’s status as a durable long-term portfolio diversifier is strengthening amid higher government debts, persistent inflation, geopolitical risks, and the desire of ex-G10 central banks to raise their longer-term holdings as a percentage of total reserves,” the Swiss bank said.
A barrel of Brent traded at 68.81 dollars late on Tuesday afternoon, up from 68.63 on Monday.
The biggest risers on the FTSE 100 were Fresnillo, up 94.0p at 1,919.0p, Endeavour Mining, up 40.0p at 2,664.0p, Unilever, up 64.0p at 4,728.0p, BP, up 3.1p at 434.2p and Haleon, up 2.5p at 363.2p.
The biggest fallers were Whitbread, down 142.0p at 2,983.0p, Legal & General, down 11.0p at 236.1p, Unite Group, down 30.5p at 674.5p, Phoenix Group, down 28.5p at 653.0p and Land Securities, down 23.0p at 529.0p.
Contributed by Alliance News
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The layoffs account for 3-4% of Flipkart’s workforce, which is higher than the company’s practice of letting go of 1-2% of employees in the lowest performance bracket every year.
Flipkart Layoffs 2026.
Flipkart Layoffs 2026: Flipkart, the Walmart-owned e-commerce giant, has reportedly asked around 400-500 employees to exit the company this year following its annual performance review process. According to a report by The Economic Times, the layoffs account for roughly 3-4% of Flipkart’s workforce, which is higher than the company’s usual practice of letting go of 1-2% of employees in the lowest performance bracket every year.
Why Has Flipkart Laid Off Employees?
Responding to queries, Flipkart said the move is part of its routine evaluation process. “Flipkart conducts regular performance reviews aligned with clearly defined expectations. As part of this process, a small percentage of employees may transition from the organisation. We are supporting affected employees with transition support,” the company said, according to Mint.
Layoffs Across Teams, Hiring Continues For Senior Roles
The job cuts have reportedly impacted employees across multiple departments and job levels. At the same time, the company continues to recruit senior executives as it prepares for a potential initial public offering (IPO).
According to a report by ANI, Flipkart has recently strengthened its leadership team with several senior appointments.
These include Somnath Das as vice-president (supply chain), Digbijay Mishra as vice-president (corporate communications), Vipin Kapooria as vice-president (business finance), Yogita Shanbhag as vice-president (human resources), and Amer Hussain as vice-president (supply chain for its grocery and quick-commerce businesses).
Flipkart Preparing For India IPO
In December 2025, Flipkart received approval from the National Company Law Tribunal to shift its legal domicile from Singapore to India, a key step ahead of a potential domestic listing.
The restructuring involved merging eight Singapore-based entities into Flipkart Internet Pvt Ltd, simplifying the group’s holding structure across businesses such as fashion, health and logistics.
Loss Widens Despite Revenue Growth
Financial data shows that Flipkart continues to expand its business, although losses have widened.
According to data from Tofler, Flipkart India reported a consolidated loss of Rs 5,189 crore in FY25, compared with Rs 4,248.3 crore in FY24.
However, revenue from operations rose 17.3% to Rs 82,787.3 crore, up from Rs 70,541.9 crore a year earlier.
Total expenses also increased 17.4% to Rs 88,121.4 crore, largely due to higher stock-in-trade purchases, which climbed to Rs 87,737.8 crore, compared with Rs 74,271.2 crore in the previous financial year.
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March 07, 2026, 14:51 IST
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Business
Want To Buy A House In Karnataka? Know About The ‘Namma Mane’ Scheme With Affordable Housing & Subsidies
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The programme aims to make land ownership more accessible for eligible residents while supporting the government’s wider goal of providing housing for all.
Under the ‘Namma Mane’ housing scheme 50,000 residential plots will be distributed at concessional rates over the next two years.
What if owning a home became a little more achievable? In the latest Karnataka Budget, the state government has announced a series of housing initiatives aimed at expanding access to affordable homes and residential plots. From the ‘Namma Mane’ scheme offering concessional sites to increased subsidies for beneficiaries and plans for a massive sports complex in Anekal, the announcements signal a renewed push towards housing development across the state.
The Karnataka government has unveiled several housing and infrastructure initiatives in the latest state budget, including the distribution of thousands of residential plots and the construction of a large sports complex in Bengaluru’s Anekal taluk. The announcements are part of broader efforts to expand housing access and improve public infrastructure across the state.
Karnataka Budget Housing Scheme: Key Benefits
One of the key proposals is the introduction of the ‘Namma Mane’ housing scheme, under which 50,000 residential plots will be distributed at concessional rates over the next two years. The programme aims to make land ownership more accessible for eligible residents while supporting the government’s wider goal of providing housing for all.
The Housing Department has also set a new target of sanctioning one lakh houses under various housing schemes in the state. These houses will be approved based on the Beneficiary Led Construction (BLC) model, which allows eligible beneficiaries to construct their own homes with financial support from the government.
As part of this initiative, the government has increased the subsidy amount provided under housing schemes. For beneficiaries in the general category, the subsidy has been raised from Rs 1.20 lakh to Rs 2 lakh. Meanwhile, beneficiaries from Scheduled Castes and Scheduled Tribes will receive increased assistance, with the subsidy rising from Rs 2 lakh to Rs 3 lakh.
The budget also introduces a change in the process used to select beneficiaries for state housing schemes. Instead of the traditional manual lottery system, selections will now be conducted through an online lottery in Gram Sabhas. The move is expected to improve transparency and streamline the allocation process.
In addition to housing initiatives, the Karnataka Housing Board has announced plans to develop a major sports facility in Anekal taluk of Bengaluru Urban district. The project, titled ‘KHB Surya Krida Grama’, will include the construction of an 80,000-seat cricket stadium designed to host international sporting events.
Meanwhile, the Karnataka Slum Development Board is continuing the implementation of housing projects under the Pradhan Mantri Awas Yojana (AHP). A total of 1.29 lakh houses are being constructed under the scheme, with 79,134 homes dedicated for the year 2025–26. The state government has allocated an additional grant of Rs 1,136 crore to support the project, providing permanent housing to many slum residents.
Since the Congress government came to power, Rs 7,328 crore has been spent on various housing schemes. So far, 4,19,454 houses have been completed and handed over to beneficiaries. The government has set a target to complete three lakh houses during the current year.
Authorities have also stated that steps will be taken to complete the 4.90 lakh houses sanctioned by the previous government, even though they were approved without grants.
March 07, 2026, 10:51 IST
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