Markets weighed by geopolitical tensions and Brexit worries – live business | Business

Hello and welcome to our slippery coverage of the global economy, financial markets, the eurozone and businesses.

Global markets are weak this morning, because of worries over the global economy, rising tensions in the Middle East and the prospect of a new British prime minister.

The German Finance Ministry has launched a cloud during the new week, warning that its factory sector is facing difficult challenges.

In a new monthly report, the group says that manufacturers are suffering from the slowdown in the global economy, which is slowing the export demand.

"Leading indicators and reduced order books indicate a period of sustained economic weakness in the industrial sector."

This is not an understatement. Earlier this month, we learned that German factories had suffered their largest drop in orders in a decade, down more than 8% year-on-year. Recall that the German economy, which was once the engine of the region, was affected by the trade war between the United States and China and by the general slowdown in the euro area.

Elsewhere, some investors remained under pressure until they know if the US Federal Reserve will lower interest rates next Wednesday (the Financial Times is confident in its willingness to cut borrowing costs by 0.25% , to believe the first page of our pages).

Such a rate might appeal to Donald Trump, but may not be enough to clear up the economic outlook.

Traders are also closely following the events in the Gulf, following the seizure by Iran of a British flagboat, the Stena Impero, on Friday. The outgoing British Prime Minister, Theresa May, is chairing a meeting this morning on security in the face of the crisis as relations between the two countries deteriorate.

A troubling period and an early test of Boris Johnson's diplomatic skills ….

Concerns over escalating Gulf tensions pushed up oil prices this morning, gaining 1.5% or almost a dollar a barrel to $ 63.37.