Biden blocks Nippon Steel’s $15bn bid for US Steel over national security fears – business live | Business

Some further background on the now-blocked deal:

The deal was meant to see Nippon Steel, Japan’s largest steelmaker, takeover US Steel, the Pittsburgh steel producer established in 1901 that played a vital role in America’s industrialisation,.

The deal, which was announced last year, faced criticism from the United Steelworkers union as well as several lawmakers, who viewed the deal as a threat to national security, job security and workers’ pensions.

Biden and the vice-president, Kamala Harris had long expressed opposition to the deal.

It was put under review by the Committee on Foreign Investments in the United States, a government panel that reviews foreign acquisitions of American companies.

In September, the Biden administration extended that review, which delayed a decision until after the presidential election.

While Biden pulled the trigger on blocking the deal, it appeared as if his successor was ready to do the same.

President-elect Donald Trump said in early December that he also opposed the proposed takeover:

I am totally against the once great and powerful U.S. Steel being bought by a foreign company, in this case Nippon Steel of Japan.

Through a series of Tax Incentives and Tariffs, we will make U.S. Steel Strong and Great Again, and it will happen FAST! As President, I will block this deal from happening. Buyer Beware!!!

US Steel shares are currently down 7.8% at $30.03 in pre-market trading

President Biden blocks Nippon Steel’s $15bn bid for US Steel on security grounds

European bourses fall into red, but US stocks futures look bright

Commenting on the Bank of England data, the Nathan Emerson, the CEO of Propertymark – a membership organisation for estate agents – says lower interest rates will be key for bolstering the mortgage market in the months ahead.

Emerson says:

The impact of higher interest rates without doubt has had a profound impact across the housing market.

Consumers need to feel a degree of confidence within their financial position to approach the buying and selling process, and it is essential that aspects such as inflation are managed robustly to keep long-term stability across the economy, which is needed for a healthy and secure housing market.

Propertymark is keen to see interest rates lowered further when conditions permit to help spur growth in 2025.

HSBC has announced a raft mortgage rate reductions, in a sign that it is trying to lure buyers racing to complete purchases before stamp duty hikes comes into force in April.

Nicolas Mendes of broker John Charcol says it will be welcome news for the housing market:

Following the festive period, this change comes at a crucial time, as many potential home movers start reengaging with plans for the year ahead and first-time buyers look to act swiftly ahead of the stamp duty changes.

The cuts span across products, and includes existing residential customers who are switching to a new contract, those looking to borrow more, as well as first-time buyers, home movers, and those seeking green mortgages for energy-efficient homes.

Mendes adds:

These reductions, covering fixed terms from 2 to 10 years and LTVs of up to 95%, reflect HSBC’s efforts to remain competitive and capturing a diverse range of customers.

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Buy-to-let investors and international clients are also included, widening the appeal.

Budget airlines Ryanair and Wizz Air have reported a jump in passenger numbers in December, despite flight disruptions over the holiday period.

Ryanair carried 13.6 million passengers in December, up 8% on the same period last year. It operated 77,000 flights over the month, with a load factor – a metric used to indicate how full flights are – of 92%.

It means the Irish airline carried 197.2 million passengers for the whole of 2024, up 8% on 2023.

Wizz Air, meanwhile, carried 5.1 million passengers, up 1.9% year-on-year. Its rolling total for the year came to 62.7 million passengers, up 3.9% on the previous year.

That is despite disruption to flights over the holiday period, at several UK airports, including Stansted and Gatwick, which suffered fog-related delays and cancellations.

While November’s mortgage lending figures fell short of analyst forecasts, mortgage brokers say homebuyer demand has been strong as of late.

Charles Yuille, managing director at Willow Brook Mortgages said:

November was an average month, possibly due to the Autumn Budget taking the steam out of the market and hitting sentiment. That appears to be reflected in this data.

Mortgage rates also edged up slightly, which may have dampened demand. But demand was still there due to the approaching stamp duty deadline.

December, though, was one of the broker’s busiest months of the year:

Enquiry levels were strong among home movers and first-time buyers alike, keen to save money on stamp duty.

We expect a strong start to the year and for other lenders to follow the likes of Halifax and Leeds in cutting rates.

Lenders like Santander will be resetting their targets and Nationwide is approaching its year end so lenders will want to fill their boots with borrowers.

The next few months should be a favourable time for anyone looking to buy and we know that demand for property, whatever the economic conditions, tends to remain strong.