Simpler energy tariffs will worsen fuel poverty and harm innovation February 25, 2013 DAVID CAMERON has backed proposals by the regulator Ofgem to simplify energy tariffs. Under the new scheme, suppliers will be restricted to offering no more than four tariffs for each type of fuel, and customers will be put on their supplier’s lowest variable rate unless they choose otherwise. But will these proposals help customers with [...]
Misguided calls for further stimulus misunderstand Britain’s downgrade February 25, 2013 FRONTLINE ECONOMICS BRITAIN’S downgrade became inevitable on 29 November 2011. Before then, the chancellor was committed to eliminating the structural deficit within five years, and to getting net debt as a proportion of GDP falling by 2015. But new forecasts, presented on that day’s Autumn Statement, indicated that he wouldn’t achieve the first target on [...]
Why the coalition may hope for Ukip victory in Eastleigh February 25, 2013 THE Eastleigh by-election is looking like a turning point for the coalition. Opinion polls suggest the Lib Dems were just about ahead of the Conservatives going into the weekend, with Ukip surging rapidly into third. But that was before most Conservative voters had the chance to reflect upon the loss of Britain’s AAA rating – [...]
Letters to the Editor February 25, 2013 Rating Loss [Re: Loss of UK’s AAA rating will intensify the pressure on sterling, yesterday] The loss of the AAA rating may be symbolic, and markets may not consider it a disaster, but it symbolises the decline of Britain as a confident economic power. Medium-term growth forecasts are depressed, and nothing is being done to reverse [...]
Moody’s blues already anticipated by markets February 25, 2013 The loss of the UK’s AAA has shocked nobody WHEN Moody’s stripped the UK of its AAA rating on Friday, few were surprised. It is a move that the markets had been anticipating for months, and the lack of any significant market reaction shows just how much the decision had already been priced in. From [...]
The Tipster | Safe as housebuilders February 25, 2013 WHILE revenues are likely to be flat, traders expect Barratt Developments to report improvements in its margins tomorrow, which should help to boost profit levels. But the property developer’s shares have surged by nearly 70 per cent over the last year, leading some to declare that most of the good news is already priced in. Capital [...]
View from the City – It’s a bad time to sell off RBS stake February 25, 2013 WHILE you are ruminating over the content of today’s City A.M., earnings results from RBS on Thursday and Lloyds Banking Group on Friday will be approaching the top of the financial agenda. Although the “Black Horse”, was first to admit to wholesale miss-selling of payment protection insurance (PPI), it seems that it will be easier [...]
Don’t sneer at big bank bonuses February 25, 2013 CNBC COMMENT IT’S confession time. I had a major “senior moment” last week when, not for the first time, I completely misunderstood a piece of eminent academic research. The piece in question was about banker pay. Brilliant, I thought, here’s a piece of hard research that confirms that bankers are still making and generating vast [...]
Analyst picks for 26 February 2013 February 25, 2013 DailyFX CURRENCY STRATEGIST CHRIS VECCHIO My pick: Short Aussie-dollar and sterling-dollar Expertise: Fundamental and technical analysis Average time frame of trades: A few hours to a few days Even as the US budget sequester looms, I remain a dollar bull. If the sequester happens, global risk-aversion is likely, which will support the dollar. With Luigi Bersani [...]
Float through the traffic in the E300 February 25, 2013 Mercedes-Benz’s latest hybrid executive saloon is so smooth it is more magic carpet than automobile Traditionally, delivering high fuel economy hasn’t been a primary focus for large executive cars. But the times they are a-changin’. Car manufacturers know they need to provide cleaner and more efficient vehicles to appease European regulators and discourage buyers from [...]
