Labour market shows no sign of Brexit uncertainty – yet September 14, 2016 The number of people in work hit a new record high in July, as economy-watchers were left waiting even longer for signs of a post-referendum slowdown. Figures out from the Office for National Statistics (ONS) yesterday morning showed the unemployment rate steady at 4.9 per cent, defying concerns that the jobs market could have faltered in [...]
Wage growth has fallen – but employment has hit its highest since records began September 14, 2016 Wage growth edged down in the three months to the end of July, official figures today suggested – but there was a silver lining, as the number of people in employment hit its highest since records began in the early 1970s. The figures, from the Office for National Statistics (ONS), showed average weekly earnings including bonuses increased [...]
Former Boris Johnson economic adviser condemns economists’ Brexit consensus – but backs Bank of England and Mark Carney September 13, 2016 Boris Johnson’s former chief economic adviser says recent economic data proves that most economists were wrong about Brexit. Gerard Lyons, who like the former London mayor backed the Brexit campaign, said this was part of a “long tradition”, pointing to experts’ failure to predict the financial crisis. However, in an interview with City A.M., Lyons [...]
From City Hall to wealth management startup: Meet Boris Johnson’s ex-economic adviser, Gerard Lyons September 13, 2016 Not many wealth management firms can boast a chief economic strategist with the CV and public profile of Gerard Lyons. Formerly of Standard Chartered and Swiss Bank, Lyons joined the launch team of Netwealth this summer after a lengthy stint as London mayor Boris Johnson’s chief economic adviser. Bearing in mind Johnson’s high-profile support of [...]
Christine Lagarde and Mario Draghi call on politicians to do more to help the losers of globalisation September 13, 2016 Two of the planet’s most important policymakers have criticised the response of governments around the world to growing concerns over globalisation, inequality and technological change. Christine Lagarde, head of the International Monetary Fund (IMF) and Mario Draghi, president of the European Central Bank (ECB) said governments and institutions needed to make sure their policies did [...]
The trouble with statistics: The same flaws afflict economic data as political opinion polls September 13, 2016 Who will win the US presidency? Opinion polls have got a bad name in Britain, at least. During the 2010 general election campaign, many suggested that Gordon Brown could still continue in power in a minority government or coalition. The polling record in the 2015 campaign was even worse. Most polls showed the two main [...]
Sterling still drifting on weak inflation figures September 13, 2016 The pound has slumped this afternoon on the back of weak inflation figures, taking the currency to a two-week low against both the dollar and the euro. Sterling drifted by one per cent against both the major currencies after inflation came in at a weaker-than-forecast 0.6 per cent in official figures out this morning. Economists [...]
Before the bell: What you need to know before the US market open September 13, 2016 The chances of the Fed raising rates for the second time since the financial crisis next week are fading but it hasn't entirely put the brakes on the global stock sell off. Here's what you need to know before the US market open at 2:30pm London time. US futures are pointing down despite getting a [...]
UK inflation flattened out in August September 13, 2016 Inflation remained flat at 0.6 per cent in August, still way below the Bank of England's two per cent target, official figures have shown. Figures from the Office for National Statistics (ONS) showed the consumer price index (CPI) missed expectations of a 0.7 per cent rise. “Fuel costs falling more slowly than a year ago as well [...]
As the monetary policies of the US, the UK and the Eurozone diverge, what should investors make of this fork in the road? September 13, 2016 Since the end of last week, speculation has been mounting that the US Federal Reserve will raise interest rates again this year. The probability of a September rate raise looks slimmer after the Fed’s most dovish official, Lael Brainard, struck a cautionary tone in a speech yesterday. But there is a strong chance that the next [...]