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Economics

  • NY Federal Reserve’s Bill Dudley: Interest rate hike in September is now less compelling

    August 26, 2015

    To hike or not to hike? That is the question. Bill Dudley, chair of the New York Federal Reserve, has suggested the interest rate rise we all thought was coming in September is now "less compelling", thanks to the market volatility which has caused equities to swing wildly over the past few days. Read more: US [...]

  • As global markets selloff continues, here’s what seven analysts think of today’s market turmoil

    August 26, 2015

    Market turmoil is widespread today, with gains being wiped off indices in Asia, European markets opening lower, and the FTSE 100 edging towards 6,000. What do analysts make of the developments? Here's a round-up: 1. "The news propped up a malaise in markets" – Bernard Yaros, Moody’s Analytics The release of the weakest Chinese manufacturing [...]

  • Why the finance sector is still the place for bonuses – despite a decline in payouts

    August 26, 2015

    Finance sector workers are being paid billions less in bonuses than they were before the 2008 financial crisis, figures by the Office for National Statistics showed this morning. Total bonus payments in finance and insurance reached £13.6bn in the year to April, £5bn less than their pre-recession peak. Economy wide bonuses are just 0.1 per cent [...]

  • Chinese markets finish lower as volatile trading continues

    August 26, 2015

    Chinese markets closed lower again today after a brief rally in afternoon trading. Having breached the 3,000 mark during afternoon trading, the Shanghai Composite closed 1.3 per cent down at 2,926.3 points, marking its fifth consecutive day of decline, while the Shenzhen Composite closed more than three per cent down at 1,695.8 points.  But the [...]

  • Chinese economic crisis: China cuts rates as a pick-me-up after stock market crash

    August 26, 2015

    Aftershocks from Monday’s chaos rippled through global markets yesterday, with shares bouncing back in parts of the west and China providing a shot in the arm for its battered trading floors and wavering economy.   Following the worst worldwide stock market rout in years, the FTSE came out fighting and recorded its biggest one-day rise [...]

  • US stocks dive back down in final hour of trading, erasing all of the day’s gains

    August 25, 2015

    Black Monday spilled over into Tuesday in the US, when stocks plummeted down in the final hour of trading. Read more: Black Monday 2015: US stocks battered in biggest fall since 2011   At close, the Dow Jones was down 1.3 per cent compared to yesterday, while the Nasdaq and S&P 500 were 0.4 per cent [...]

  • FTSE 100 has biggest one-day rise in four years

    August 25, 2015

    The FTSE 100 closed three per cent higher today at 6,081, as China's decision to cut a key interest rate restored confidence in UK investors.    Read more: FTSE 100, Dax and Cac rise as hangover sets in after China stock market crash   The People's Bank Of China announced this morning that it was going [...]

  • Saudi Arabia begins quest for austerity as its economy sinks in plunging oil prices

    August 25, 2015

    There's no escaping the market meltdown – even Saudi Arabia, which for years has revelled in its oil-rich economy, is having to consider austerity measures.    Read more: Saudi Arabia's Tadawul stock exchange opens to foreign investors: Here are six companies you should watch   According to anonymous sources who spoke to Bloomberg, the kingdom is [...]

  • Tech stocks rebound on Nasdaq – Netflix, Facebook, Amazon and Apple share prices are on the up after Black Monday

    August 25, 2015

    Tech stocks have rebounded after a dismal Black Monday. Netflix has had one of the biggest rallies in early morning trading, up around seven per cent, while Apple was up around 4.5 per cent. The tech-heavy Nasdaq, on which Apple is the heaviest weighted stock, was up more than three per cent after global markets [...]

  • China crash: This is China’s Lehman Brothers moment and global liquidity is to blame

    August 25, 2015

    August is the cruellest investment month, once more, and disappearing money flows are again the culprit behind crashing stock markets. The gyrations in global liquidity explain market movements around six-12 months ahead and predict economies over the following year. The problem right now is that despite the well-flagged easing by the ECB and Bank of [...]

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