German economy suffers record quarterly contraction August 25, 2020 The German economy shrank by a record 9.7 per cent in the second quarter of the year due to the impact of the coronavirus pandemic on consumer spending, investments and exports. The contraction, announced today by the German statistics office, is the sharpest drop since the country began recording quarterly GDP calculations in the 1970s. [...]
The inflation divide: what should investors be doing? August 25, 2020 Currently, inflation is more of an annoyance than the economic tyrant of old. Given the unprecedented stimulus that the global economy has received since the coronavirus crisis hit, the debate is whether these “whatever it takes” financial packages will stoke a sustained period of rising prices. Inflation or deflation? The inflation debate is polarising opinion [...]
FTSE 100 and US stocks soar on coronavirus treatment hopes August 24, 2020 The FTSE 100 jumped and US stocks hit fresh highs after the US authorised a new coronavirus treatment, lifting the mood among global investors. London’s blue-chip index rose 1.7 per cent to close at 6,104 points. The FTSE 250 index of mid-cap firms rose 0.6 per cent. Read more: Asian stocks climb after Wall Street [...]
PwC resigns as auditor of gold miner Petropavlovsk on governance concerns August 24, 2020 PwC has resigned as the auditor of under-fire gold miner Petropavlovsk due to concerns over the firm’s corporate governance after a long-running boardroom battle. The FTSE 250 miner today confirmed that the Big Four accountant had turned down its appointment as Petropavlovsk’s auditor. According to the Russia-focused company, PwC cited “the recent significant changes in [...]
UK retail sector enjoys ‘significant’ jump in footfall as economy recovers August 24, 2020 The number of visits to UK retail destinations jumped last week as the economy’s recovery picked up steam, new data has shown, with London a particular bright spot. Footfall was up 4.1 per cent in the 16 to 22 August period compared to the previous week, data firm Springboard said today. The rise was “a [...]
Asian stocks climb after Wall Street rally August 24, 2020 Asian stocks started the week in positive territory this morning after an announcement from the US Food & Drug Administration (FDA) raised hopes of a coronavirus vaccine. The FDA last night said it had authorised the use of blood plasma from recovered patients as a possible treatment for the virus. The announcement came on the [...]
Coronavirus crisis: How far will the UK economy fall in 2020? August 24, 2020 HSBC last week became the latest big institution to downgrade its forecasts for the UK economy and disagree strongly with the Bank of England’s rosy expectations. It said the historic 20.4 per cent slump in GDP in the second quarter “was worse than we had expected”. The lender said it was therefore now “more pessimistic” [...]
Global dividends plunge to record quarterly low August 24, 2020 Global dividends plunged by a fifth to $108.1bn in the second quarter, with payouts in the UK and Europe the worst affected. As companies scrambled to conserve cash as coronavirus cases increased, payouts fell 19.3 per cent on an underlying basis to $382.2bn, according to Janus Henderson’s global dividend index. It is the worst quarterly [...]
Wall Street ticks up as FTSE 100 sinks into red amid Covid-19 case worries August 21, 2020 Wall Street crept marginally higher this afternoon and the FTSE 100 dropped again as investors weighed up the global economic recovery and pockets of rising coronavirus cases. London’s blue-chip index closed down almost 0.19 per cent at 6,001 points, while the FTSE 250 climbed 0.24 per cent. US markets opened in the red before reversing [...]
US private sector rebounds in August as states reopen August 21, 2020 The US private sector grew at the fastest pace in a year and a half in August, according to preliminary survey data that showed both services and manufacturing expanding strongly. The IHS Markit composite purchasing managers’ index – a respected gauge of business output – rose to 54.7 in August from 50.3 in July. A [...]