The Debate: Should banks be concerned by the amount of bad debt sitting on their balance sheets? January 28, 2013 YES Michael Ingram There is too much debt in our banking system, and not enough growth to service it. While a degree of forbearance by banks is desirable – to consumers and companies – it is toxic in the long term. If this continues, we run the risk of ending up like Japan, where low growth [...]
Letters to the editor January 28, 2013 Effective cuts [Re: The state is still growing – this isn’t the right kind of austerity, yesterday] The coalition’s failure to make any real dent into the deficit is indicative of its failure to undertake any meaningful reform of the state and its functions. We’ve seen salami-slicing – costs squeezed down and some salaries cut. [...]
The UK equity explosion: Safer than it may appear January 28, 2013 THE FTSE posted another day of gains yesterday, continuing what has been a resiliently bullish trend. And while it is probable that we will see a plateauing of the stock rally this week, or even some retracement, the trend is likely to remain intact. This may not be a stock picker’s market, but the global [...]
Carney talks up growth policies January 28, 2013 Chief Market Strategist, Cantor Index LAST week’s desperately disappointing GDP data has attracted comment and consternation from government supporters and critics alike. The fact that GDP fell by 0.3 per cent in the last quarter of 2012 tells us that the UK economy flat-lined over the year. Clearly, the recovery process is teetering on the [...]
The Tipster | Astrazeneca takes its medicine January 28, 2013 INVESTORS are eagerly waiting to hear from AstraZeneca’s new chief executive, when the company reports on Thursday. The new boss has the challenge of reinvigorating the pharma giant after recent investor frustration, and has already shuffled the boardroom. As well as headline numbers, traders will be focusing on the company’s strategy to boost its pipeline [...]
US data looms over stock markets January 28, 2013 But the end of recent rallies could be useful corrective for investors TOO good to be true? That’s the growing worry among US equity investors. Consider that the Dow Jones Industrial Average, up roughly 6 per cent since 1 January, is off to its best start in more than two decades and now sits within [...]
Analyst picks for 29 January 2013 January 28, 2013 QUANTITATIVE STRATEGIST DAVID RODRIGUEZ My pick: Sell Aussie dollar rallies Expertise: System trading Average time frame of trades: 2 days to 10 weeks A strong sell-off in the Aussie dollar and Canadian dollar is a warning that investors are suddenly positioning themselves for weakness in commodity dollars (“commodity bloc” dollars are Aussie dollar, New Zealand [...]
England boss won’t panic despite twin injury setback January 28, 2013 ENGLAND head coach Stuart Lancaster is refusing to panic despite suffering two serious injury blows just days before Saturday’s RBS Six Nations opener against Scotland. Centre Manu Tuilagi has been ruled out of the Calcutta Cup clash at Twickenham, while Lancaster revealed prop Alex Corbisiero will miss the entire championship. Leicester’s Tuilagi, one of England’s [...]
Record-breaking United pierce £2bn barrier after share surge January 28, 2013 MANCHESTER United have become the first outfit in world sport to be valued at more than £2bn, according to Forbes, following a surge in the club’s share price. United’s $3.3bn (£2.1bn) enterprise value is 50 per cent greater than their nearest challenger, American football team Dallas Cowboys, who are worth $2.1bn (£1.3bn) according to the [...]
Blossoming Wood looks set to go from strength to strength January 28, 2013 ENGLAND’S Chris Wood has always looked a very promising talent but he took an enormous stride at the weekend when he won his first European Tour title at the Qatar Masters. Overnight leader Wood teed off at the par-five 18th needing a birdie to force a play-off. Instead he produced a great drive, a fine [...]