European rivals no match for the City of London says Osborne January 15, 2014 George Osborne has delivered a shot across the bow to Britain's European partners in a speech delivered to the think tank Open Europe and the conservative Fresh Start group. The chancellor said: The City of London is not, as some of our continental friends kid themselves, in competition with Paris and Frankfurt. It is in [...]
Soaring mortgage numbers renew fears of bubbly housing market January 15, 2014 (Laura Lean/City A.M.) The latest housing data is enough to fuel concerns that a "new housing bubble could develop in 2014", says IHS Global Insight's Howard Archer. Council of Mortgage Lenders (CML) figures show mortgage numbers rising by 14.9 per cent in the year to November. There's a more troubling surge among first-time buyers. They [...]
Why Barclays is feeling bullish about Tullow Oil January 15, 2014 This morning, Tullow Oil announced it made "significant" oil discoveries in Kenya in 2013. But the exploration company also warned that production stutters in Ghana will probably push down its average production for 2014. Barclays, however, is optimistic about Tullow's future. In a note following the statement, it reiterated its rating of Tullow's stock as [...]
Disappointing German GDP numbers are setting the tone for markets today January 15, 2014 Germany saw GDP growth of just 0.4 per cent in 2013, according to figures released today. That's a sign that even the strong Eurozone economy has taken a hit from the euro crisis. Analysts had been expecting growth of 0.5 per cent. Christian Schulz of Berenberg says that the long recession in the country's key [...]
Smartphone payment system could mean the end of cash January 15, 2014 Five UK banks have embraced the new mobile payment facility called Zapp. Zapp allows real-time payments on customers smartphones and tablets through their existing mobile banking app. The app will allow consumers to make purchases at the touch of a button without the need for cash or credit cards. HSBC, First Direct, Nationwide, Santander and [...]
H&M shows high streets can work in a digital age January 15, 2014 H&M has reported a 10 per cent rise in sales in December, matching analysts' forecasts and providing proof that high street stores can have what it takes to rival online competition. At the end of 2013, the mid-range retailer had 3,176 stores compared to 2,809 at the end of 2012. When it came to sales [...]
What you need to know before the open – 15/01 January 15, 2014 European bourses are expected higher this morning, after a US rebound on positive retail sales. In Wednesday trading the Nikkei climbed 2.5 per cent – its best one-day gain in four months. The World Bank upped its growth forecast for the first time in three years yesterday, as leading economies continue to pick up pace. [...]
Burberry flags currency headwinds as sales jump 12pc January 15, 2014 Burberry has said that, despite a reasonably strong festive season, it expects exchange headwinds to affect its second half results. The high-end fashion store has posted a 12 per cent rise in comparable sales for the last three months of 2013, with retail revenue up 14 per cent to £528m. Nomura analysts had expected sales [...]
Taylor Wimpey’s average UK house price hits £210,000 January 15, 2014 House builder Taylor Wimpey has reported significant improvement in the housing market underpinned by increasing consumer confidence and government interventions to bolster homeownership. Average selling prices on private completions rose by seven per cent to £210,000. Taylor Wimpey's overall average selling price has also increased by 6 per cent to £191,000. The company expects to [...]
Charter defends Time Warner bid after rejection January 15, 2014 Charter Communications insisted yesterday it sees annual synergies of $500m (£305m) and other benefits such as tax savings from its proposed acquisition of Time Warner Cable, after the bid was knocked back immediately by its target’s board as “grossly inadequate”. In an investor presentation posted on its website yesterday, Charter said annual synergies would grow to [...]