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Economics

  • High stamp duty on prime property may prove self-defeating for the government

    October 2, 2015

    In the days that followed the Conservative Party victory in May, the widely-held assumption was that normal service would resume at the prime end of the London housing market with double-digit annual growth.   It was a proposition that never looked likely for several reasons, the principal one being a rise in stamp duty last [...]

  • Oil price pushed up by escalating tensions in Syria

    October 2, 2015

    The price of oil has risen for the second day in a row, pushed up by an escalation of military action in Syria.    In early trading, WTI was up at $45.67 per barrel – a 2.1 per cent increase from yesterday, while Brent was 1.5 per cent higher at $48.39 per barrel.    Today, [...]

  • London house prices: The capital’s most exclusive homes are going for bargain prices

    October 2, 2015

    Another day, another sign the top end of London's property market is in the doldrums, after figures by Knight Frank showed house prices in the capital's most exclusive areas grew just 1.3 per cent in September on the same month last year.  That's the lowest rate of growth since October 2009 – and in some [...]

  • UK construction PMI: Housebuilding increases at its fastest pace in a year

    October 2, 2015

    Housing crisis? What housing crisis? Demand may be vastly outweighing supply in the UK's housing market at the moment – but the signs are looking increasingly encouraging, after new figures showed the UK's construction sector had one of its best months of the year in September, with growth hitting a seven-month high and – housebuilding [...]

  • Financial watchdog tells banks to sort out current accounts as complaints soar

    October 1, 2015

    The financial watchdog has called on banks to take action as the number of people complaining about their current accounts to banks soared 31.2 per cent over the past six months. The Financial Conduct Authority (FCA) released figures showing there has also been an 11.1 per cent increase in the number of customers complaining about [...]

  • Brent crude oil slides after rally despite hurricane upgrade

    October 1, 2015

    It's been a rollercoaster ride of a day for oil investors, who earlier watched prices rise after a report suggested demand is likely to be higher than expected – before prices dipped again, after it was a tropical storm due to make landfall in the US next week will be less intense than expected. Brent [...]

  • Productivity gap closing? UK’s output reaches record high – but it’s still considerably down on where we should be

    October 1, 2015

    Is the productivity gap closing?   Figures out this morning show that labour productivity in the UK – as measured by output per hour – grew 0.9 per cent between the first and second quarter this year.    That has taken it to the highest level ever recorded by the Office for National Statistics – [...]

  • UK workers get a pay rise as minimum wage raised to £6.70 ahead of National Living Wage introduction

    October 1, 2015

    One million UK workers are getting a pay rise today, as the national minimum wage has gone up by 20p. This sets the new adult rate at £6.70 per hour. Youth rates are up too, as 18 to 20-year-olds will get £5.30 and under-18s get £3.87. Another pay rise is on the way for at [...]

  • Sainsbury’s and Glencore give FTSE 100 a three-digit lift – London Report

    October 1, 2015

    The FTSE 100 enjoyed strong gains yesterday, helped by Sainsbury’s after the supermarket group lifted its full-year profit outlook. The blue-chip index climbed 152.37 points, or 2.6 per cent, to close at 6,061.61. Despite reporting a seventh straight quarter of falling sales, Sainsbury’s shares soared 13.8 per cent. Other supermarkets were also lifted, with Morrisons [...]

  • Best of the Brokers for 1 October 2015

    October 1, 2015

    To appear in Best of the Brokers, email your research to notes@cityam.com   HSBC HOLDINGS UBS upgraded the bank from “neutral” to “buy”, and lowered the target price from 595p to 550p, reflecting earnings downgrades. The broker said it believes the relative risk/reward balance on the shares has shifted to the upside. It added: “While [...]

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