Top ONS economist: Brexit recession still possible August 19, 2016 The top economist at the Office for National Statistics (ONS) has warned it is too early to rule out the prospect of a recession, despite a flurry of strong post-referendum indicators. Joe Grice, ONS chief economist told Bloomberg this morning there were still too many pieces of the puzzle to put together and would not like to [...]
Public finances falter following EU referendum August 19, 2016 Government income shrunk in July with tax receipts missing expectations in the first sign of a post-referendum hit to the public finances. The government ran a surplus of £977m in July, according to figures published this morning by the Office for National Statistics (ONS), though this was down on predictions for a £1.9bn windfall and [...]
Oil bulls spooked as Brent Crude touches $51 a barrel August 19, 2016 The black stuff bull run has edged back in early morning trading, after oil prices hit a two-month high at the end of an impressive winning streak for the commodity. Brent Crude, the international benchmark, tipped past $51 a barrel overnight, before easing back to stand at $50.56 as the London markets opened and profit-taking kicked in. The [...]
US Fed logs on to Facebook to boost visibility August 18, 2016 The US Federal Reserve has created a Facebook page, adding to its existing Twitter, YouTube, Flickr and LinkedIn pages. The Fed, often criticised for its communication methods, said in a statement it aims to “increase the accessibility and availability” of its “news and educational content” using Facebook’s likes, comments and shares. But will the opportunity to [...]
After retail sales rose strongly in July, did the Bank of England jump the gun by cutting interest rates? August 18, 2016 Tim Price, manager of the VT Price Value Portfolio, says Yes. Brexit hasn’t even happened yet, but Bank of England governor Mark Carney went out on such a limb on behalf of Project Fear that he had no alternative but to cut interest rates, irrespective of our economic condition and the already sharp decline in sterling. [...]
Standard and Poor’s attacks negative interest rates as desperate and damaging August 18, 2016 Central banks’ experiment with negative interest rates risks backfiring in spectacular fashion, top ratings agency Standard and Poor’s (S&P) has warned. In a new report assessing the impact of sub-zero borrowing costs on economies and industries around the world, the ratings agency concluded: “Moving to a negative rate environment, in every circumstance that we’ve looked at, [...]
Brexit-and-see: ECB dangles possibility of further action August 18, 2016 The European Central Bank (ECB) has paved the way to unleash further economic stimulus following the UK's shock vote to leave the European Union. The central bank said it was too early to assess the full extent of how the Brexit vote will hit the Eurozone, though it hinted it was considering adopting an even [...]
Inflation hits eight-month high in Eurozone August 18, 2016 Prices are rising at their fastest rate in eight months across the Eurozone. Inflation came in at 0.2 per cent for the month of July, up from 0.1 per cent in June and in line with previous estimates. Although only modest, the figures crystallise the single currency bloc's exit from deflation after four consecutive months earlier [...]
The value of you increased by £18,000 last year August 18, 2016 Ever wondered how much you're worth to the economy? Well, now you know: the Office for National Statistics (ONS) has released analysis showing the value of the UK's human capital increased by £890bn to £19.2 trillion last year. The figures, published this morning, showed the average employed person is now worth £471,000, up £18,000 from 2014. If [...]
Retail sales surge as Brits hit the shops in Brexit spending spree August 18, 2016 UK shoppers ignored prophecies of doom-and-gloom in July to hit the stores in their droves, sending retail sales surging in the month after the EU referendum. The pound rallied on the news hitting a two-week high against the dollar as economists said signs of strong consumer confidence were a "major boost" to the post-referendum economy. [...]