The UK is committing £1bn to bolstering its domestic semiconductor industry over the next decade, in a plan which industry leaders have dubbed “insignificant” compared to other nations.
The investment is a fraction of what other governments have pledged to the sector after pandemic-era shortages upended global supply chains and underscored the world’s reliance on Asia for chips used in everything from mobile phones to laptops and other home electronics.
The US and EU have in recent months pledged $50bn (£40bn) and €43bn (£37bn) respectively to spur manufacturing.
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What happened overnight
Wall Street stocks rose after more companies reported better profits than expected, while yields climbed after a Federal Reserve official cautioned the end to its interest-rate hikes may not arrive as soon as Wall Street hoped.
The S&P 500 gained 39.28 points or 0.94pc at 4,198.05, adding to its rally from the day before as hopes rise further that the US government can avoid a disastrous default on its debt.
The Dow Jones Industrial Average rose 115.14 points or 0.34pc to 33,535.91. The Nasdaq Composite added 188.27 points or 1.51pc at 12,688.84.
The yield on the 10-year Treasury rose to 3.64pc from 3.57pc late Wednesday.
The two-year yield, which moves more on expectations for the Fed, rose to 4.25pc from 4.16pc.
Meanwhile, Asian shares nudged lower on Friday morning, weighed down by China and Hong Kong stocks due to concerns over the stuttering recovery in the world’s second-biggest economy, although Japan’s Nikkei clocked a near 33-year peak.
MSCI’s broadest index of Asia-Pacific shares outside Japan eased 0.20pc but was set to eke out a gain of 0.19pc for the week.
China shares fell 0.61pc, while Hong Kong’s Hang Seng index dropped as much as 1.8pc, dragged down by tech stocks after Alibaba Group Holding Ltd reported a lower-than-expected 2pc rise in quarterly revenue.
Data in the week underscored that China’s economy lost momentum at the beginning of the second quarter, stoking worries over the wobbly post-COVID-19 recovery.
Japan’s Nikkei though continued its ascent, rising to its highest since August 1990, during the country’s so-called bubble era.
