London markets climb as Staley steps aside after FCA Epstein probe November 1, 2021 London markets climbed during the opening session of November as Barclays chief Jes Staley stepped down after UK regulators showed the bank preliminary findings of its investigation into his ties with disgraced financier Jeffrey Epstein. The capital’s FTSE 100 premier index advanced 0.60 per cent to hit 7,280.97 points, while the mid-cap FTSE 250 climbed [...]
Five reasons why energy transition stocks can weather the inflation storm November 1, 2021 | City Talk The current inflationary pressures putting strain on global equity markets are impacting energy transition equities more than most, with many of its sub-sectors right in the eye of the storm. But while these short-term threats are painful, they should not detract from the longer-term investment opportunity. Inflationary pressures have been at the heart of this disruption. Global supply [...]
How do retail investors feel about returns from sustainable investing? November 1, 2021 | City Talk We have all heard the story: sustainable funds are in high demand. By the middle of 2021, their assets had reached an unprecedented $2.3 trillion, mainly driven by continued growth in the European fund market (Source: Reuters). Net sales in the first half of 2021 had already overtaken those in 2020, which in turn were more [...]
Five charts which explain what is going on with inflation November 1, 2021 | City Talk “Output gap”, “bottlenecks”, “core inflation”, “base effects”, “second-round effects” “labour participation rate”. These are some of the key industry terms essential to understanding what’s going on with inflation. Soaring job vacancies reflect the strong economic recovery of the world’s major economies, as Covid-19 induced restrictions have been gradually eased. Shortages of materials, energy and transport [...]
Which stock markets look cheap? November 1, 2021 | City Talk The last time I wrote an update of stock market valuations was back in January. A great deal has happened in the world since then, but from a valuations standpoint, precious little has changed. Nothing is cheap. And the markets which were most expensive in January are still the most expensive. And those which were relatively [...]
Can UK handle a rate rise as economy rebounds? November 1, 2021 | City Talk The UK economy grew by 0.4% in the month of August after latest estimates showed GDP contracted in July by 0.1%. July was disrupted by a spike in infections and tougher restrictions on self-isolation and testing for anyone in contact with those testing positive for Covid-19. This was known as the “pingdemic”, referring to the [...]
Beyond GDP growth: why natural capital matters November 1, 2021 | City Talk As the climate crisis accelerates, financial markets are paying more attention to risks and opportunities stemming from the energy transition, taking into consideration the risks related to fossil fuel production and consumption. While decarbonising the production mix and promoting energy efficiency is essential to fight climate change, we think that markets are underestimating the fundamental [...]
Supply chain breakdowns continue to drag on UK manufacturing November 1, 2021 Supply chain breakdowns continue to drag the UK manufacturing industry down, but greenshoots of stronger growth are emerging. Delays in deliveries for crucial materials, compounded by worker and skills shortages drove slower output growth among British manufacturing firms, a closely watched survey has found. IHS Markit’s latest purchasing managers’ index for the UK manufacturing industry [...]
Return to high street aids leasing boost for Capital & Regional November 1, 2021 London-based mall owner Capital & Regional said it has seen strong momentum driving its leasing activity as shoppers flock back to high streets. September was also its best month on month comparison versus 2019, after lockdown rules were gradually eased earlier this year. In the three months to the end of September, the firm completed [...]
COP26: Prince Charles warns governments alone cannot prevent climate crisis October 31, 2021 Prince Charles has warned governments need the support of the private sector to prevent the climate crisis. Writing in the Sunday Telegraph, His Royal Highness said “we need trillions of dollars of investment every year” to limit global warming to 1.5C. “Governments alone cannot muster those sorts of sums. But the private sector can, working [...]