Bank of England finally administers bitter medicine to treat inflation analysis The City has been ahead of the Bank of England’s thinking for some time. Economists have for months known interest rates are set to stay higher for longer. Most expect them to peak at 5.75 per cent and stay there for, probably, at least a year. Governor Andrew Bailey and co have woken up to [...]
Bank of England lifts interest rates to fresh 15 year high in smaller than feared 14th straight hike uk economy The Bank of England today hiked the UK’s official interest rate for the 14th time in a row but by a lower degree than some had feared. Members of the nine-strong monetary policy committee (MPC) voted 6-3 in favour of a 25 basis point rise, smaller than the 50 basis point lift some in the [...]
Bank of England warns of stagnating UK economy and ‘crystallising’ inflation uk economy The UK economy is on course for a slow burning slump over the coming years and scorching inflation has started to “crystallise,” the Bank of England has warned as it lifted interest rates for the 14th time in a row. In fresh forecasts released today, the central bank said over the next three years, UK [...]
Bank of England interest rate decision today on a knife edge, City economists predict August 3, 2023 As the City gears up for what everyone expects to be the Bank of England’s 14th straight interest rate rise at midday today, economists are split over how much more pain they think the group of rate setters will heap on the UK economy. Are the Monetary Policy Committee (MPC) poised to meet market expectations [...]
FTSE 100 close: Shock US debt downgrade sparks market sell-off in London and Europe August 2, 2023 London’s FTSE 100 plummeted during opening exchanges today after a top credit ratings agency slashed their outlook on the US’s finances. The capital’s premier index slumped 1.36 per cent to 7,561.64 points, while the domestically-focused mid-cap FTSE 250 index, which is a better reflection of the health of the UK economy, fell 1.33 per cent [...]
Why the shock US credit rating downgrade is unlikely to be the last August 2, 2023 Credit rating agencies are probably best known among the general public for giving a clean bill of health to the world’s biggest banks before they collapsed in 2007/08, nearly sparking a global economic meltdown akin to the Great Depression. Nonetheless, when they speak, financial traders listen. Judgements published by the likes of Fitch, Moody’s and [...]
Sir Jon Cunliffe to be replaced by Sarah Breeden as Bank of England deputy governor August 1, 2023 Sir Jon Cunliffe will step down as one of the Bank of England’s chief market watchers later this year, Chancellor Jeremy Hunt has announced on Tuesday. Cunliffe, who was appointed Threadneedle Street’s deputy governor for financial stability a decade ago, will be succeeded by Sarah Breeden, also a long servant at the central bank. Breeden [...]
Robert Walters posts 60 per cent profit slump as economic woes clobber recruitment August 1, 2023 A recruiter that is often viewed by analysts as a bellwether for the UK jobs market has posted a 60 per cent drop in profits as a result of firms trimming hiring amid the economic slowdown. Robert Walters, which specialises in sourcing talent for the City’s biggest banks, brokers and insurers, said today operating profits [...]
FTSE 100 close: HSBC leaps and BP gives up gains in mixed day for London index August 1, 2023 London’s FTSE 100 kicked lower today after a clutch of mixed results puzzled investors. The capital’s premier index fell 0.43 per cent lower to 7,666.26 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, slipped 0.41 per cent to 19,065.66 points. A set of results [...]
Food inflation slumps to lowest level this year but experts caution against declaring victory yet August 1, 2023 Food inflation has slipped to its lowest level this year and has fallen for the third month in a row, an encouraging signal that suggests the UK is through the worst of the cost of living crisis, a new survey out today shows. The cost of groceries climbed 13.4 per cent over the year to [...]