Budget surplus smaller than expected for July

Public sector net borrowing had a £1 billion surplus in July, the first month since the vote to leave the European Union, less than the £1.2 billion figure this time last year and lower than expectations.

July was the second month in a row debt has fallen as a percentage of GDP, according to the Office for National Statistics figures released on Friday. Public borrowing stood at £23.7 billion between April and July, £3 billion less than 2015.

Fed President open to September rate hike

San Francisco Fed Bank President John Williams has become the latest Fed member to highlight September as a possibility for a rate hike.

He said, “I think every one of our meetings should be in play in principle … I definitely think September should be.”

He argued that if rates remain low for too long, it could have a negative effect on the economy.

Microsoft shareholders to vote on LinkedIn deal

Microsoft shareholders will cast their votes today on the company’s proposed buyout of business networking site LinkedIn.

If the $26 billion takeover goes ahead it will break records as the biggest tech buyout in history, valuing each LinkedIn user’s profile at $62.

Microsoft is hoping to use the site to reinvigorate its business, as its renowned Windows and Office products, get increasingly sidelined by users switching to tablets and other competitors. However, the deal will be a risk – LinkedIn has consistently lost money over the past two years, with shares tanking on negative economic forecasts.