Markets jittery over North Korea ahead of UK trade and factory data – business live

All the day’s economic and financial news, including new UK industrial production and trade figures

Latest: Investors cautious over North Korea
North Korea details Guam strike plan and calls Trump ‘bereft of reason’
The agenda: Did Britain narrow its trade gap in June?

8.39am BST

The growing tensions between North Korea and the United States are continuing to weigh on the financial markets today.

The response from Pyongyang was its most public and detailed threat to date, and evidently meant to goad the US president.

Trump had “let out a load of nonsense about ‘fire and fury’ failing to grasp the ongoing grave situation. This is extremely getting on the nerves of the infuriated Hwasong artillerymen of the KPA.”

Related: North Korea details Guam strike plan and calls Trump ‘bereft of reason’

The escalation of the rhetoric between the US and North Korea is keeping market participants on their toes and with no fresh economic reports the price action is dictated by the headlines.

8.13am BST

Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.

Today we discover whether the weak pound is helping Britain’s factories, and making a dent in her trade deficit.

Trade volume growth appears to be moving in the right direction, with exports up 3.8% 3m/3m in May 2017, and imports growing more slowly at 2.8%. And the surveys back up anecdotal evidence that UK exports are responding to sterling weakness.

However, so far, this has done little to reduce the trade deficit in absolute terms. We expect another relatively hefty deficit in June.

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