FTSE 100 reverses early losses on strong Wall Street gains July 19, 2022 London markets whipsawed today as investors’ concerns about a bigger Bank of England rate rise were tamed by strong gains on Wall Street. The capital’s premier FTSE 100 index surged 1.01 per cent to 7,296.28 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, climbed [...]
Bank of England governor Bailey puts largest rate rise since independence on table July 19, 2022 The biggest rate hike since the Bank of England was made independent 25 years ago is on the table at its next meeting on 4 August, its chief said today. Delivering his annual Mansion House bankers’ dinner speech, Andrew Bailey said “a 50 basis point increase will be among the choices on the table when [...]
Bank lending to firms up £12bn after dip due to covid schemes ending July 18, 2022 The so-called loan ‘drought’ induced by the pandemic appears to be coming to an, with lending up by £12bn. Banks are increasing their lending in wake of a sharp decline in wake of both the Coronavirus Business Interruption Loan Scheme (CBILS) and Bounce Back Loan Scheme (BBLS) ending. According to research from ACP Altenburg Advisory, [...]
Ageing society will lead to decades of weak growth, BoE official warns July 18, 2022 An ageing society will leave the UK economy permanently weaker over the coming decades, an official at the Bank of England said today. Speaking at the Resolution Foundation, Michael Saunders, an outgoing external member of the Bank’s monetary policy committee (MPC), warned Britain will “face increasing challenges from demographic change, because population ageing appears likely [...]
UK banks ramp up lending after Covid-19 support cliff edge July 18, 2022 UK banks are ramping up lending, marking the end of a loan drought after government Covid-19 support schemes were ditched. The total value of lending to UK businesses climbed £12bn to £533bn in the nine months to May, according to research based on Bank of England data published today by debt advisor ACP Altenburg Advisory. [...]
Week ahead: More inflation woe to pile pressure on Bank of England to act July 17, 2022 Inflation bumped higher last month, reinforcing pressure on the Bank of England to motor through rate hikes, according to City analysts. London’s premier FTSE 100 index notched a poor performance last week, losing a shade over 0.5 per cent to finish at 7,159.01 points. The domestically-focused mid-cap FTSE 250 index, which is more aligned with [...]
Recession fears loom over FTSE 100 as IMF warns economic outlook has ‘darkened’ July 14, 2022 London markets flopped today driven by investors fretting over the global economic downturn. The capital’s premier FTSE 100 index dropped 1.63 per cent to 7,039.81 points, while the mid-cap domestically-focused FTSE 250 index, which is more aligned with the health of the UK economy, tumbled 1.23 per cent to 18,480.66 points. Recession fears have led [...]
City frets over steeper Bank of England rate rise after GDP boost in May July 13, 2022 A better than expected assessment of the UK economy was not enough to push London’s top indexes higher today. The capital’s premier FTSE 100 index dropped 0.74 per cent to 7,156.37 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, fell 0.76 per cent to [...]
Economic green shoots to coax Bank of England into steepest rate rise since independence July 13, 2022 Signs of green shoots in the UK economy will encourage the Bank of England to launch the steepest interest rate hike since it was made independent 25 years ago. Stronger than expected growth in May suggests the economy can absorb higher interest rates without falling into recession, known as a “soft-landing,” according to City analysts. [...]
New Chancellor Nadhim Zahawi in spat with Bank of England’s Andrew Bailey: ‘I’m just setting out my stall as prime minister!’ July 12, 2022 Chancellor Nadhim Zahawi insisted this morning it was appropriate for him to set out tax proposals during his Tory leadership race after criticism from Bank of England Governor Andrew Bailey. He told BBC Breakfast this a.m.: “I’m just setting out my stall as prime minister! And I have fully costed these pledges, and I’ll be [...]