Why the shock US credit rating downgrade is unlikely to be the last August 2, 2023 Credit rating agencies are probably best known among the general public for giving a clean bill of health to the world’s biggest banks before they collapsed in 2007/08, nearly sparking a global economic meltdown akin to the Great Depression. Nonetheless, when they speak, financial traders listen. Judgements published by the likes of Fitch, Moody’s and [...]
Biden team: US credit rating decision ‘bizarre’ – and it’s Trump’s fault August 2, 2023 Biden administration officials complained on Tuesday about ratings agency Fitch’s downgrade of the top U.S. government credit rating, saying the group used flawed methodology and ignored a resilient economy. Leading the charge was U.S. Treasury Secretary Janet Yellen, who issued a statement declaring “I strongly disagree with Fitch Ratings’ decision” minutes after Fitch announced it [...]
Sir Jon Cunliffe to be replaced by Sarah Breeden as Bank of England deputy governor August 1, 2023 Sir Jon Cunliffe will step down as one of the Bank of England’s chief market watchers later this year, Chancellor Jeremy Hunt has announced on Tuesday. Cunliffe, who was appointed Threadneedle Street’s deputy governor for financial stability a decade ago, will be succeeded by Sarah Breeden, also a long servant at the central bank. Breeden [...]
Long-time boss of free market think tank IEA to step down after 14 years at the helm August 1, 2023 The long-time boss of free market think tank the Institute of Economic Affairs, Mark Littlewood, will step down after 14 years at the helm. The director general will step down from right-wing group this year, with the search for a successor underway. Littlewood will remain in post until a new director general is found. The [...]
Robert Walters posts 60 per cent profit slump as economic woes clobber recruitment August 1, 2023 A recruiter that is often viewed by analysts as a bellwether for the UK jobs market has posted a 60 per cent drop in profits as a result of firms trimming hiring amid the economic slowdown. Robert Walters, which specialises in sourcing talent for the City’s biggest banks, brokers and insurers, said today operating profits [...]
The Global Ecosystem of Insurance August 1, 2023 | Sponsored “Insurance is a three hundred, four hundred, year old industry,” Richard Wheeler, Aon’s co-leader of Global Re Specialty reflects. “But the opportunities ahead still significantly outweigh the journey that the market has been on. Because everything requires insurance.” Wheeler would know. In his role he ranges across global challenges, in the world’s richest and poorest [...]
FTSE 100 close: HSBC leaps and BP gives up gains in mixed day for London index August 1, 2023 London’s FTSE 100 kicked lower today after a clutch of mixed results puzzled investors. The capital’s premier index fell 0.43 per cent lower to 7,666.26 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, slipped 0.41 per cent to 19,065.66 points. A set of results [...]
Are central banks to blame for the inflation crisis? August 1, 2023 As we enter what looks like the final leg of central banks’ interest rate rising journeys, it’s as good a time as ever to trace why they have been jolted into action after over a decade of ultra loose policy and whether their response to the inflation crisis has been effective. Coming out of the [...]
Tighter interest rates and inflation clobber UK business confidence August 1, 2023 Higher interest rates and elevated prices have thrown a wet blanket over UK business optimism, according to surveys out today. Confidence as measured by the lobby group the Institute of Directors (IoD) was largely unchanged last month at minus 30 points, up marginally from June’s minus 31 point reading. It solidifies signs that pessimism is [...]
Food inflation slumps to lowest level this year but experts caution against declaring victory yet August 1, 2023 Food inflation has slipped to its lowest level this year and has fallen for the third month in a row, an encouraging signal that suggests the UK is through the worst of the cost of living crisis, a new survey out today shows. The cost of groceries climbed 13.4 per cent over the year to [...]