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Economics

  • London’s top indexes give up gains as Moscow assault of Ukraine ramps up

    March 10, 2022

    London’s top indexes gave up some of their gains yesterday as investors fretted over a ramping up in Moscow’s invasion of Ukraine. The capital’s premier FTSE 100 index dropped 1.27 per cent to 7,099.00 points, while the domestically-focused FTSE 250 index, which is more aligned with the health of the UK economy, fell 0.57 per [...]

  • Year-ahead inflation expectations hit record high ahead of BoE’s rate decision

    March 10, 2022

    A record proportion of Brits expect the current inflation crunch to linger in a year’s time, fresh data released today reveals. Some 35 per cent of households think the cost of living will top five per cent by this time next year, according to Bank of America. The fresh figures will worry the Bank of [...]

  • Stateside inflation surges to over 40 year high strengthening case for rapid US Fed tightening

    March 10, 2022

    Stateside prices are accelerating at the fastest pace in over 40 years, strengthening the case for the US Federal Reserve to front load reining in policy. Inflation in the US scaled to 7.9 per cent, according to data released by the US Bureau of Labor Statistics today, the hottest rate since January 1982. The fresh [...]

  • European Central Bank leaves rates negative despite inflation hitting record high

    March 10, 2022

    The European Central Bank left interest rates unchanged in negative territory today despite inflation on the Continent running at a record high. President Christine Lagarde and co kept borrowing costs at minus 0.5 per cent, where they have been for several years, sticking with its more dovish stance toward monetary policy. The ECB has been [...]

  • Ukraine war backfires as Russia’s economy is expected to take dramatic 10 per cent hit this year

    March 10, 2022

    Analysts this morning revised their economic forecast for Russia in light of international sanctions imposed following the invasion of Ukraine. Experts at the Economic Intelligence Unit (EIU) said they expect economic activity to be severely disrupted with both domestic demand and the external sector taking a hit. “While the full impact of international sanctions and [...]

  • Wages continue to surge amid tightening jobs market

    March 10, 2022

    Strong competition for workers amid a tight jobs market is accelerating starting pay at near record highs, reveals a fresh survey published today. A shortage of available workers is driving businesses to hike pay to out muscle competitors from poaching top talent, according to research from the Recruitment and Employment Confederation (REC) and KPMG. Starting [...]

  • Russia-Ukraine war to take tax cuts off the table, IFS warns

    March 10, 2022

    Even higher inflation triggered by Russia invading Ukraine will take promised tax cuts off the table, a leading think tank warned today. Surging energy prices driven by concerns over the security of oil and gas supplies amid a ramping up in tensions between Moscow and the West will eat into Chancellor Rishi Sunak’s room to [...]

  • London’s top indexes snap back sharply after bruising sessions

    March 9, 2022

    London’s top indexes snapped back yesterday after booking heavy losses due to fears over the economic fallout of the Russia-Ukraine war sending investors fleeing. The capital’s premier FTSE 100 index soared 2.79 per cent to above 7,000 points, while the domestically-focused FTSE 250 index, which is more aligned with the health of the UK economy, [...]

  • How stock markets perform after heavy falls

    March 9, 2022  |  City Talk

    While public attention has understandably focused on the grave humanitarian consequences of the invasion of Ukraine, global markets have reflected investors’ concerns about financial and economic impacts. Our live blog on the Ukraine crisis will be updated regularly throughout the week, it can be found here.   To date the current crisis has seen major markets fall [...]

  • Fitch warns investors to brace for heavy losses on Russian debt as default looms

    March 9, 2022

    One of the world’s top credit rating agencies has told investors in Russian debt to brace for severe losses. Fitch last night downgraded Moscow sovereign debt to a C rating, meaning the risk of a Russian default is “imminent”. President Vladimir Putin’s decision to order all interest payments on sovereign government debt held by foreign [...]

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