Iron ore prices are set to crash by 40pc. Here’s why December 13, 2013 Demand for major commodities was strong this year, but supply topped it. When it came iron ore, demand outweighed supply on a relative basis because it was stronger and there was marginal shortage in the market, but many analysts don't expect that to remain the case. By 2015, Goldman forecasts "major oversupply" of iron ore, [...]
Turns out Friday 13th isn’t such an unlucky day for investors December 13, 2013 Friday the 13th might be lucky for some after all. Brian Lucey, professor of finance at the School of Business, Trinity College Dublin has posted some of the academic literature on how stocks perform on days like this. Turns out it's not too bad. Lucey found in his 2000 paper "Friday the 13th: International Evidence" [...]
Venture capital gets bullish on Bitcoin December 13, 2013 Bitcoin start-up Coinbase has raised $25m (£15m) in venture capital funding – the largest investment ever seen by a Bitcoin start-up. Founded in June 2012 by software engineer Brian Armstrong, Coinbase allows customers to buy and store Bitcoin. The funding came from the venture capital fund Andressen Horowitz. Chris Dixon, who led the deal, highlighted [...]
What you need to know before the open – 13/12 December 13, 2013 Concerns over Fed action next week rumble on, with US stocks hitting a for-week low yesterday and things look little brighter for European bourses this morning. No respite for investors at European opening – So little joy, as fear of the unknown (QE) undermines confidence – FTSE -9, DAX -8, CAC -2 — David [...]
RSA Insurance chief Simon Lee quits amid Irish problems December 13, 2013 RSA Insurance have said this morning that group chief executive Simon Lee has stood down with immediate effect. His resignation comes with the news that the beleaguered firm needs to inject a further £130m of capital into its Irish business, in addition to the £70m previously announced. The statement released by RSA today said that [...]
Britain’s great wage squeeze ends at last December 12, 2013 EARNINGS grew at the fastest pace since the financial crisis this year, while inflation dipped to the lowest level since 2009, putting the end of the UK’s long wage squeeze in sight. Figures released by the Office for National Statistics (ONS) yesterday revealed the smallest squeeze on weekly real earnings since the recession, during the [...]
UK must cut debt for years to regain triple-A rating December 12, 2013 THE BRITISH governments mounting debts mean it is unlikely to regain its triple-A credit rating for the forseeable future, ratings agency Fitch warned yesterday. The UK was downgraded in April this year to double-A plus as the chancellor continued to miss his targets on borrowing. Although the economy has picked up since then it will be [...]
What the other papers say this morning – 13 December 2013 December 12, 2013 FINANCIAL TIMES Bitcoin start-up fundraises $25m A Silicon Valley company that allows speculators and merchants to trade Bitcoin has raised $25m (£15.3m) in venture capital funding in the largest investment so far in a virtual currency business. As a result of the deal, San Francisco-based Coinbase will have two of the most prominent venture capitalists [...]
FTSE heads for longest losing streak since ’08 December 12, 2013 THE FTSE 100 fell again yesterday, putting it on course for what is expected to be its longest weekly losing streak since the 2008 financial crisis. The blue-chip index would have to rally by 106 points today to reverse what will otherwise mark its first six consecutive weekly decline in over five and a half [...]
House passes US budget deal December 12, 2013 THE REPUBLICAN-controlled US House of Representatives yesterday passed a two-year, budget plan that would extend government spending into 2015 to remove the threat of another shutdown before next year’s congressional elections. The measure aims to end partisan fighting between Republicans and Democrats over fiscal affairs, which led to October’s 16-day government shutdown. The budget deal must [...]