London businesses shelve hiring plans amid UK recession uncertainty March 8, 2023 London businesses are the most reluctant to take on new staff in the UK due to uncertainty over whether the country will eventually tip into recession, a closely watched survey out today reveals. The capital’s firms are trimming intentions to expand their workforce due to concerns over a looming drop in consumer spending amid the [...]
Business groups question Bank of England Mann’s ‘greedflation’ claim March 8, 2023 Business groups yesterday said many firms had no choice but to raise prices to offset high costs in response to a Bank of England rate setter claiming companies are pursuing so-called ‘greedflation’ by pumping up prices to exploit strong consumer spending. Catherine Mann, an external member of the Bank’s rate setting monetary policy committee (MPC), [...]
FTSE 100 close: Powell interest rate warning drags London index into the red March 7, 2023 London’s FTSE 100 was muted today as investors sweat over whether Fed chair Jerome Powell’s warning that US interest rates will stay higher for longer means other central banks will follow suit. The capital’s premier index closed 0.13 per cent lower at 7,919.49 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned [...]
Federal Reserve chair Powell warns of ‘higher than expected’ rate peak and steep hikes to stun inflation March 7, 2023 The US Federal Reserve is prepared to heap more pressure on the world’s largest economy by returning to steep interest rate hikes to contain inflation, its chief warned today. Jerome Powell, chair of the Fed, said the world’s most influential central bank is “prepared to accelerate rate hikes” if the pace of price increases in [...]
Jeremy Hunt is at sharp end of economic consensus on childcare revolution March 7, 2023 It’s rare for consensus to emerge in economics. Quibbles about the role of the state in society, the level of taxation and where to spend taxpayers’ money often turn into heated arguments thrashed out in just a handful of words on social media. But for once people interested in policymaking are behind around one area [...]
FTSE 100 live: London index gets the Monday blues on China GDP March 6, 2023 The FTSE 100 was dragged to a lower close after China set a five per cent GDP growth estimate for the year compared to its 5.5 per cent target, London’s blue chip index was down 17.32 points at 7,929.79. This lower-than-expected target hit metals prices with declines in the price of copper and iron ore, which [...]
The financial crisis lurking in the shadows: Why regulators must now turn their attention to shadow banking March 6, 2023 Some would argue that predicting the next financial crisis is a near impossible task. But Nobel-prize winning economist Douglas Diamond said in October last year: “The last [financial crisis] started in the banks, it stayed in the banks. This one’s going to start in the shadow banks and the companies.” Shadow banking encompasses a variety [...]
“How not to do it”: Tech chiefs slam Sunak and Johnson over Arm listing failure March 5, 2023 The government has come under fire for a failed attempt to woo British chipmaking giant Arm into listing in London after the Cambridge-based firm confirmed it would float in New York on Friday. The move from Arm has dealt a major blow to the UK’s efforts to promote itself as a premier listing hub and [...]
‘Fading recession fears’ boost optimism as services sector bounced back to growth in February March 3, 2023 The UK’s service sector bounced back to growth in February as business optimism improved and activity expanded at the fastest pace since June. The S&P Global/CIPS UK services PMI survey showed a reading of 53.5 in February, up from 48.7 in January and slightly ahead of market expectations. Any score above 50 is considered growth [...]
FTSE 100 close: Buildings firm CRH lifts London index as it readies for New York departure March 2, 2023 London’s FTSE 100 reversed an early morning slide today to finish in the black, lifted higher building giant CRH topping the index despite announcing it is mulling re-listing in New York. The capital’s premier index jumped 0.37 per cent to 7,944.05 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the [...]