Euro inflation slumps faster than expected to 6.1 per cent leaving UK further afield June 1, 2023 Inflation in Europe is falling much faster than expected, further marking Britain out as suffering the toughest price pressures in the developed world. The rate of price increases in the 20 countries using the euro dropped to 6.1 per cent last month, down from seven per cent in the previous month, according to eurostat. That [...]
Recession uncertainty arrests UK business confidence upward march June 1, 2023 Uncertainty about whether the UK economy will tip into a recession caused by sky high inflation and the Bank of England hiking interest rates aggressively to tame it is keeping businesses grounded, a new survey out today shows. A five straight month upward rise in optimism among leaders of Britain’s biggest firms was arrested in [...]
FTSE 100 close: Softening China economy hits London index as WH Smith and B&M soar May 31, 2023 London’s FTSE 100 was dragged lower today by softer than expected data from China signalling the world’s second largest economy is on the wane. The capital’s premier index slid 0.98 per cent to 7,448.01 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, dropped 0.45 [...]
Bank of England to surpass Federal Reserve and hike interest rates to 15-year high May 31, 2023 The Bank of England will have to hike interest rates to their highest level in more than 15 years to tackle sticky inflation that will stay above its target for at least another three years, a top Wall Street investment bank has warned today. Researchers at Goldman Sachs suspect businesses will carry on passing on [...]
London businesses most confident in the UK amid economic slowdown May 31, 2023 London businesses are poised to lead the UK economy out of its slowdown, although they remain acutely concerned about the impact of higher interest rates and scorching inflation, a new survey out today shows. Confidence among the capital’s firms slimmed four points to 43 per cent, although that was the highest reading of any area [...]
FTSE 100 close: Debt ceiling breakthrough fails to lift London index as recession fears reignite May 30, 2023 London’s FTSE 100 dropped sharply today as recession fears outweighed US lawmakers closing in a deal to end the debt ceiling deadlock. The capital’s premier index slid 1.38 per cent to 7,522.08 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, was broadly flat, closing [...]
Inflation to top Bank of England target until at least 2026, Goldman Sachs warn May 30, 2023 Inflation in the UK is set to top the Bank of England’s target for at least the next three years, likely forcing governor Andrew Bailey and co to tip the country into recession via yet more interest rate rises, a top Wall Street bank has warned. Researchers at Goldman Sachs late last night hiked their [...]
Why have the Bank of England and the IMF been so wrong on the UK economy? May 30, 2023 Recession? What recession? The Bank of England and the IMF have been wrong on the state of the UK economy, but it's not all their fault
US debt ceiling: “Agreement in principle” to end default showdown May 28, 2023 The White House has reached an “agreement in principle” with the Republicans on a deal to limit federal spending and resolve a looming debt crisis, House Speaker Kevin McCarthy has confirmed. The deal on a two-year budget is believed to include a debt-limit increase and enhanced work requirements for food aid. Mr McCarthy said he [...]
Chancellor Jeremy Hunt says Bank must act – even if hikes slow UK economy May 26, 2023 Chancellor Jeremy Hunt has backed interest rate hikes being used to calm soaring inflation even if they increase the risk of pushing the UK into recession. Mr Hunt insisted in an interview aired on Friday that the “only path to sustainable growth” is to bring down the high prices behind the cost-of-living crisis. The Bank [...]