US new jobless claims: 1.9m filings take total above 42m June 4, 2020 Another 1.9m Americans made new jobless claims last week as the economy battled coronavirus, taking the total number of claims since the pandemic began to above 42m. It was the first sub-2m number since Covid-19 began to ravage the US economy, however, with some analysts predicting the worst is over for growth. A week earlier, [...]
ECB beefs up bond-buying to €1.35 trillion to boost Eurozone economy June 4, 2020 The European Central Bank (ECB) has dramatically increased its bond-buying programme in a bid to stimulate the moribund Eurozone economy, which has been battered by coronavirus. The ECB added €600bn (£540bn) to its €750bn pandemic emergency purchase programme (PEPP), which it launched in March. It kept its main deposit interest rate on hold at minus [...]
FTSE 100 quarterly review highlights the economy’s winners and losers June 4, 2020 | City Talk Home-repairs company Homeserve, cybersecurity firm Avast, DIY group Kingfisher and gambling giant GVC were the four companies announced yesterday as being promoted to the FTSE 100 – the index of the 100 biggest UK companies.Cruise giant Carnival, airline easyJet, aerospace components firm Meggitt and British Gas-owner Centrica are all making way. The FTSE reshuffles its [...]
We risk entrenching racial inequalities unless we change our economic response to Covid-19 June 4, 2020 Like many, I have been deeply worried by the growing evidence about the disproportionate impact of Covid-19 on our black and ethnic minority (BAME) communities. Public Health England’s latest research, released this week, shows that BAME communities are at far higher risk of catching Covid-19 and are at greater risk of dying from the disease [...]
Sterling will weaken if Britain fails to ask for Brexit transition extension June 4, 2020 Sterling will lose recent gains against the dollar and weaken further if the UK does not ask for an extension of its Brexit transition period, according to a Reuters survey. The pound has strengthened this week, trading at a one-month high of $1.26 yesterday as the UK suggested it may compromise on some contentious issues [...]
FTSE 100 reshuffle: Easyjet and British Gas drop out over coronavirus June 4, 2020 Four major UK companies dropped out of the FTSE 100 in last night’s reshuffle, over their exposure to the coronavirus pandemic. Pummelled by a collapse in oil prices and commercial energy demand, British Gas owner Centrica has dropped out of the UK’s top index. Cruise ship operator Carnival, whose Diamond Princess cruiseliner suffered one of [...]
UK construction sector decline slows but industry remains gloomy June 4, 2020 The rapid decline in the UK construction sector slowed somewhat in May, but firms remained deeply pessimistic as the industry was battered by coronavirus. The IHS Markit/Cips construction purchasing managers’ index (PMI) rose to 28.9 in May from a record low of 8.2 in April. Yet a score of 50 indicates that the sector contracted [...]
Merkel’s coalition secures €130bn coronavirus stimulus package June 4, 2020 Chancellor Angela Merkel’s coalition government last night agreed a bumper €130bn (£116bn) stimulus package to boost Germany’s economic recovery from coronavirus. Speaking to reporters after marathon talks, Merkel said the wide-ranging package would include lower value-added tax (VAT) to boost consumption. “The size of the package will amount to €130bn for the years 2020/2021, €120bn [...]
UK government announces £10bn trade credit insurance scheme June 4, 2020 The UK government has said it will guarantee up to £10bn of trade credit insurance transactions as it seeks to relieve some pressure on British manufacturers and construction firms amid the coronavirus pandemic. The new scheme will be temporary, backdated to 1 April and run until 31 December this year, the Department for Business, Energy [...]
Green shoots: Four charts that suggest the worst is over for the UK economy June 4, 2020 The UK economy suffered its worst month in living memory in April, but there are tentative signs that things began improving in May as coronavirus restrictions were gradually lifted. “The government’s plans for a progressive opening up of non-essential stores in June suggest that the low point for the economy is behind us,” said Ruth [...]