BUSINESS LIVE: Gold at record high; Boohoo boss to close; Retail sales are rising

Silvia Rindone, retail leader at EY UK and Ireland:

‘The coming months will be crucial as retailers brace for the ‘golden district’, with major shopping events such as Halloween and Black Friday approaching. Retailers will use discount strategies to stimulate consumer spending and manage inventory levels more effectively.

‘Retail sales may still be volatile in the run-up to Christmas, with retailers who can target certain customers seeing greater success.

“However, this year’s discount efforts appear to be more spread out, suggesting that the need to offload inventory is less urgent as retailers have learned better inventory management. However, the possibility of a ‘Black November’ remains as retailers stagger the trading period to avoid the fierce competition of the end-of-year rush.

“As we move through the final quarter, it will be imperative for retailers to keep a close eye on sales volumes, inventory and the competitive landscape.

‘The balance between timely promotions and the risk of premature discounting is delicate; Retailers must handle this carefully to avoid the pitfalls of both scenarios – whether stock shortages or overstocks. It is a precarious path that requires strategic foresight and agility.”

Boohoo boss John Lyttle is set to resign, the online fashion company has revealed as it announced a review of strategic options for its various divisions to maximize shareholder value.

The group also said on Friday it has agreed a new £222m debt facility and reported a 7 per cent decline in first-half turnover as measured by gross merchandise value.

Mahmud Kamani, executive chairman of Boohoo, said: “The board is focused on ensuring it takes the right steps to drive the boohoo Group forward in the interests of all its stakeholders.

“We are pleased to have agreed a new credit facility, which demonstrates the support of our existing banks and their confidence in the Group.

‘The company has evolved in recent years and has a range that is much broader than our original focus on young fashion. The time is now right to consider options regarding corporate structure, with the goal of maximizing shareholder value.

‘I would like to personally thank John for the contribution he has made to the Group. John has built a talented and inspiring leadership team that will ensure we are best positioned for sustainable growth.”

Retail sales in Britain rose unexpectedly in September and rose 0.3 percent this month, new data from the Office for National Statistics shows.

The increase, which compares with forecasts of a 0.3 percent contraction, was driven by the launch of the latest iPhone and other technology products.

According to the ONS, telecoms and computers are the main drivers of non-food sales, with the sectors up almost 35 percent month-on-month in September.

Gold has surpassed $2,700 an ounce for the first time ever as US election fears and simmering tensions in the Middle East drive demand for safe havens.

Helped by global interest rate cuts, spot gold is currently trading at $2,706.30, after rising 0.6 percent this morning and 2 percent last week.