Eurozone manufacturing PMI rises slightly to 53.7 but Germany posts worrying decline December 1, 2016 A closely-watched indicator of Eurozone manufacturing activity rose slightly in November, as the bloc’s industry recovered confidence following the UK’s June vote to leave the European Union. The manufacturing purchasing managers’ index (PMI), which is closely watched by policymakers, increased 0.2 points to 53.7, to reach its highest point since the start of 2014. Any figure [...]
Glencore share price rises 2.1 per cent as miner reveals it is on track to pay out $1bn in dividends next year December 1, 2016 Shares in Glencore rose 2.2 per cent this morning after the miner and commodities trader revealed that it is on track to pay out $1bn (£798m) in dividends in 2017. Glencore said it will distribute the $1bn in two equal portions in the first and second half of next year. The company announced a new [...]
Italy’s exit from the Eurozone is almost inevitable – whichever way it votes this weekend December 1, 2016 Two long-term trends make me worry about the Italian economy, regardless of the outcome of the referendum this weekend. First, the so-called Italian Death Cross, and second the prospect of three decades of lost growth (yes three, this isn’t a typo). In my view, these two trends make Italy’s exit from the euro almost inevitable [...]
After the Trumpflation trade, should investors expect a Santa rally in equity markets this month? December 1, 2016 Brad Holland, fund manager at Nutmeg Savings and Investments, says Yes. Central banks across the world have been desperately trying to create inflation for years now. If inflation did return to the radar screen, monetary policy wonks could celebrate that the past decade’s extraordinary policy measures are finally beginning to lift the global economy out [...]
The chairman of the OBR doesn’t think Hammond’s Autumn Statement stimulus will be a big boost to productivity November 30, 2016 Chancellor Philip Hammond’s planned productivity spending spree won’t have a big effect on the UK’s economy, according to an influential economist. Robert Chote, the chairman of the Office for Budget Responsibility (OBR), has said Hammond’s plans to boost infrastructure spending did not not have an effect on forecasts. “This is not the near-term fiscal stimulus [...]
FTSE reshuffles confirmed: Convatec and Smurfit Kappa replace Travis Perkins and Polymetal International in blue-chip index November 30, 2016 Medical products company Convatec has successfully made its way into the FTSE 100 after floating on the London Stock Exchange’s main market at the end of October. Convatec will be joined by Irish packaging firm Smurfit Kappa on the blue-chip index tomorrow morning. Making way are building materials company Travis Perkins, which was forced to [...]
Oil prices shoot up as Opec agrees its first production cut since 2008 November 30, 2016 Investors piled into oil futures and related stocks yesterday evening after Opec defied expectations and revealed a deal to cut production by 1.2m barrels a day. Brent and West Texas Intermediate (WTI) crude prices soared as the Saudi Arabia-led cartel announced its first agreement since 2008. The Organisation of the Petroleum Exporting Countries will reduce [...]
Mario Draghi has urged EU governments to seize the opportunity from lower interest rates to boost productivity November 30, 2016 Mario Draghi has called on policymakers to “seize” the “window of opportunity” provided by accommodative monetary policy to boost productivity growth in the face of an ageing population. The European Central Bank president has become the latest central banker to warn that slowing productivity threatens global growth, and to urge governments to address the productivity stagnation [...]
Healthcare trust to float on Friday despite falling short of £200m target November 30, 2016 Bellevue Asset Management is set to float a new investment trust on the London Stock Exchange on Friday. BB Healthcare Trust missed its target of £200m, but will list on the main market this week after raising £150m. Paul Major, who will co-manage the fund with Dr Daniel Koller, played down the £200m target, saying the minimum [...]
Why Biffa’s chief executive refused to scrap IPO plans despite “fairly tortuous process” November 30, 2016 The chief executive of Biffa has described taking the waste management company public this year as a “fairly tortuous process”. Biffa pushed ahead with its initial public offering (IPO) in October, but was forced to reduce its share price offer from 220p to 180p, meaning a total raise of £210m, down from £270m. Other companies, [...]