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Economics

  • FTSE 100 loses more than £200bn after worst week since 2008 as coronavirus fears grip global markets

    February 28, 2020

    The FTSE 100 has shed a reported £206bn after suffering its worst week since the 2008 financial crisis as new cases of coronavirus pummelled global stock markets. London’s blue-chip index closed at 3.18 per cent down for the day to end a dire week for listed companies who have issued warnings on the coronavirus outbreak. [...]

  • Pound slips on coronavirus trade slump

    February 28, 2020  |  City Talk

    GBP / EUR Update It was an up and down week for the pound. At the end of last week, it had made an average gain of 0.3%, but the positivity was short-lived. At the beginning of this week, retail sales showed a 0.9% increase after two months of decline, but the pound was pushed [...]

  • Coronavirus: the investment impact in seven charts

    February 28, 2020  |  City Talk

    The spread of coronavirus, COVID-19, beyond China has created fresh uncertainty for the global growth outlook and sparked volatility in financial markets. Outbreaks in South Korea, Iran and Italy have raised concerns that the spread outside of China may be accelerating. We offer key facts on the spread of the virus, interspersed with views from [...]

  • One month after Brexit: what’s happened so far?

    February 28, 2020  |  City Talk

    It’s been a month since the UK’s exit from the EU, but has anything actually changed? The UK has now moved into a transitional period which will last until December 31st. During this time, we exist under the terms outlined in our ‘divorce agreement’. Negotiations for a final trade deal are underway and the fate [...]

  • Coronavirus risks UK economic downgrade, Mark Carney warns

    February 28, 2020

    The UK faces the prospect of faltering economic growth as a result of the coronavirus outbreak, Bank of England governor Mark Carney warned today. The Bank has already spotted a squeeze on world supply chains from the coronavirus epidemic that started in China at the turn of the New Year, Carney said. While it is [...]

  • How coronavirus could cause a global recession

    February 28, 2020

    Covid-19 has dominated news headlines since mid-January. The human and social costs have been heavy, disrupting the normality of life primarily in China but also around the world. Now the recent outbreaks in Italy, Iran and South Korea have ignited fears of a global pandemic, and in response major equity indices have plummeted by nearly [...]

  • UK services firms and consumers grow cheerier despite coronavirus

    February 28, 2020

    Optimism in the UK services sector rose at its fastest pace in almost five years in the three months to February, a survey has shown, in the latest sign that the removal of some political uncertainty has cheered businesses. A separate survey today showed that UK consumers also became more optimistic in February, with rising [...]

  • Chancellor Rishi Sunak needs to step back and rethink IR35

    February 27, 2020

    When Philip Hammond announced in 2018 that IR35 would be extended to the private sector, he heralded it as a move that would “open a new chapter in our country’s economic future”.  But fast-forward two years, and the new chancellor, Rishi Sunak, is still facing a huge headache over the tax legislation changes, effective from [...]

  • US GDP: Annual growth the slowest since 2016, government confirms

    February 27, 2020

    US GDP grew at an annualised rate of 2.1 per cent in the final quarter of 2019, the government confirmed today, a moderate pace that took annual growth to its lowest since 2016. A rise in consumer and government spending and exports was partly offset by falling private investment, the US’s Bureau of Economic Analysis [...]

  • US stocks rally as investors try to price coronavirus damage

    February 26, 2020

    US stock markets rallied soon after the bell and European equities recovered from sharp early falls as investors weighed up the effect coronavirus on the global economy. The Nasdaq index, which is dominated by global tech companies, jumped 1.8 per cent soon after Wall Street opened. The S&P 500 followed suit with a 1.5 per [...]

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