Seven days in the Square Mile

A surge in European Covid cases, combined with new lockdown measures in several countries, prompted the euro to fall to its lowest level against the dollar since July 2020. The regional Stoxx 600 index suffered its biggest slide since September. Investors were also rattled by the threat of economic crises in Turkey and Argentina, which may need another multibillion-dollar debt deal from the IMF. In the US, President Biden nominated Jay Powell for a second term as chair of the US Federal Reserve, and said that the US would tap its national oil reserves to release 50 million barrels – in a move to combat high petrol prices and inflation.

The governor of the Bank of England, Andrew Bailey, said that a “land grab” for employees, driven by the expansion of the state, is heating up the UK labour market. A PwC analysis showed that CEO pay in the FTSE 100 has fallen by nearly 10% during the pandemic, amid investor pressure. Meanwhile, the number of female CEOs in the index has risen to 8%, according to recruiter Heidrick & Struggles.

The South Korean powerhouse Samsung said it will build a $17bn chip plant in Texas – a boost to US hopes of increasing domestic semiconductor manufacturing. Investment firm Hambro Perks revealed plans to raise £150m in a cash-shell listing to buy a tech unicorn, marking London’s first “Spac” launch since rules were loosened in August. Shares in Metro Bank, the struggling challenger bank, plunged on news that would-be private equity buyer Carlyle has abandoned takeover talks.