Leading shares fall despite hopes of Greek dealLeading shares are heading lower - despite positive signs of a possible Greek bailout deal - as the surprise Chinese devaluation of its currency.The country’s government depreciated the yuan after a series of weak economic data prompted concerns about its future growth.[China’s] economy is clearly on the rocks, the Chinese government is already depreciating the yuan in an attempt to prop up exports, but the market reaction has been largely predictable. Miners are dominating the foot of the index, with the prospect of more iron ore output coming on stream adding to the downside here, but it’s luxury brand Burberry that’s the biggest casualty so far. A weaker yuan makes imports more expensive and with China accounting for some 14% of the company’s sales, the implication is clear. Continue reading...
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