US economy shrinks at fastest pace since financial crisis April 29, 2020 The US economy shrank at its fastest rate since the financial crisis in the first three months of the year as coronavirus hammered the country, figures have shown, although analysts warned worse is yet to come. US GDP shrank at an annualised rate of 4.8 per cent in the January to March period, the Bureau [...]
A new economic era beckons after this crisis April 29, 2020 | City Talk Current events likely mark a turning point in economic policy and the end of a 40-year spell of free market capitalism. Nobody can know how long the Covid-19 crisis will last, but I think that regardless of this it will mark a profound long-term change in economic policy. It is likely a turning point in [...]
Martin Gilbert: Coronavirus ‘multiple times worse’ than Black Monday for City April 29, 2020 Veteran asset manager Martin Gilbert has warned the economic fallout from the coronavirus pandemic will be “the most dramatic we’ve seen since the 1930s” as he warned of “a long, slow recovery” for certain sectors of the economy. Speaking to The City View podcast today, Gilbert said that though Black Monday in 1987 was a [...]
German economy to shrink by 6.6 per cent this year, economists say April 28, 2020 Germany’s economy will shrink by 6.6 per cent this year, one of the country’s leading think tanks has predicted, as tumbling global demand amid coronavirus takes a heavy toll on the exporting powerhouse. The Ifo Institute also said it will take until the end of 2021 for Germany’s output to reach pre-coronavirus. The analysis comes [...]
Coronavirus: UK retailers have worst month since 2008 April 28, 2020 UK retailers suffered the biggest fall in sales since the financial crisis in 2008 in the first two months of April as coronavirus lockdown measures battered the sector, a survey has shown. Every part of the retail sector was hit hard this month, according to the CBI’s distributive trades survey. Even grocers and specialist food [...]
Lenders grant 1.6m mortgage payment holidays to homeowners April 28, 2020 Lenders have granted 1.6m mortgage payment holidays to homeowners facing financial difficulties due to the coronavirus outbreak. Chancellor Rishi Sunak announced in March that households with mortgages would be entitled to three-month payment holidays. Over a third of payment holidays approved so far were done in the first week of the UK’s lockdown. One in [...]
Economies in free fall as hopes fade for a V-shaped recovery April 28, 2020 | City Talk Amongst the arguments about a lack of protective clothing for health workers and whether governments were too slow to react to the spread of Covid-19, the latest figures show that the pandemic is gradually coming under control. The rate of growth in new infections and fatalities around the world is slowing and the curves are [...]
Five ways to retain your wealth management clients in 2020 April 28, 2020 | City Talk The global wealth management industry is being buffeted by demographic changes among investors, as well as technological advancements such as the arrival of robo-advisers. Recent research commissioned by Bank of America on millennials’ spending priorities in the USA – with millennials defined as those aged 24 to 41 – found that about 25% of those who [...]
Coronavirus: Almost 40 per cent of UK firms expect to cut staff April 28, 2020 Roughly 40 per cent of UK firms expect to lay off staff over the next 12 months, a survey has shown, raising the prospect of many more job cuts in the UK economy. UK unemployment has already surged as coronavirus lockdown measures cause businesses to close or cut costs significantly. Close to 1m people made [...]
Zoopla: £82bn of UK house sales on hold as transactions set to halve in 2020 April 28, 2020 Hundreds of thousands of property transactions have been put on hold as the UK housing market freezes up during the coronavirus lockdown, with house sales set to fall 50 per cent this year. Roughly 373,000 property transactions with a total value of £82bn are on hold after the government put in place strict coronavirus restrictions, [...]