Fed holds interest rates but hints at future cuts June 19, 2019 The US Federal Reserve has kept interest rates on hold but suggested it could cut them in the future, in its first decision since the Trump administration ratcheted up tariffs on China. Read more: US inflation tepid ahead of Fed rates decision Fed policymakers dropped language about being “patient” over future rate hikes from their [...]
Three reasons why the Bank of England won’t raise interest rates June 19, 2019 The Bank of England should keep interest rates on hold tomorrow due to uncertainty over Brexit, global trade tensions, and recent weak UK data, City A.M.’s shadow monetary policy (MPC) has argued. Read more: UK inflation falls to Bank of England target Ongoing uncertainty over how Brexit will turn out, and the increasing chances of [...]
CBI: UK manufacturing growth nears three-year low June 19, 2019 A steep fall in car production saw UK manufacturing growth fall to its weakest level in nearly three years in the three months to June, new data has revealed. Car manufacturers’ 83 per cent plunge was its worst quarterly drop since the height of the financial crisis over the quarter, the Confederation of British Industry [...]
The next Tory PM must give a boost to low income families June 19, 2019 You may have notice some headlines today about a drop in incomes for the UK’s poorest households. New research from the Institute of Fiscal Studies (IFS) and the Joseph Rowntree Foundation analyses incomes, poverty and inequality over recent years. Read more: Tory leadership hopefuls face new vote after TV clash Between two of the most [...]
UK inflation rate hits Bank of England target: Will Carney raise rates? June 19, 2019 The UK’s Consumer Prices Index (CPI) inflation rate fell to two per cent in May, in line with the Bank of England’s target, the latest figures show. CPI inflation dropped to within the target range set by Bank boss Mark Carney from 2.1 per cent in April, the Office for National Statistics (ONS) said today. [...]
If you’re panicking about a spike in oil prices, look to history for a silver lining June 19, 2019 The tanker attacks in the Gulf of Oman have raised fears of a sharp increase in the price of oil. These are currently being offset by worries about a slowdown in the world economy and a drop in the demand for oil. But what if the conflict escalated and oil prices really did go through [...]
German think tank says receding manufacturing sector damaging growth June 18, 2019 A German think tank today said the country’s export-oriented manufacturing sector, which is at the heart of its economy, “is in recession”. Read more: Germany sells 10-year bond at lowest ever yield The Ifo Institute reaffirmed its prediction that Europe’s biggest economy will expand by just 0.6 per cent in 2019, saying growth will be [...]
Bank of England official warns UK reliant on ‘flighty’ capital June 18, 2019 A Bank of England (BoE) official has today warned that since the Brexit referendum in 2016 Britain’s economy has become vulnerable to foreign money being withdrawn at short notice. Read more: Bank of England chief economist says rate rise on horizon Anil Kashyap, a member of the Bank’s financial policy committee (FPC), also warned that [...]
Global stock markets jump as Trump announces meeting with China’s Xi Jinping June 18, 2019 Stock markets around the world have been boosted by US President Donald Trump’s announcement that he will meet President Xi Jinping of China for trade talks at next week’s G20 meeting in Japan. Read more: IMF head: US-China trade war biggest threat to global growth Trump had previously said that China would be slapped with [...]
Euro plunges as Mario Draghi signals more ECB stimulus June 18, 2019 The euro has plunged and markets have spiked after European Central Bank president Mario Draghi said more stimulus would be needed if the economic outlook failed to improve. Draghi suggested the EBC could cut interest rates or expand its bond-buying programme in a bid to reinvigorate the ailing Eurozone economy. Read more: What will happen [...]