London house prices swell by a fifth in a year July 16, 2014 House prices jumped by more than a 10th across the UK in the year to May, and more than one fifth in the capital’s frothy housing market, with little suggestion that new regulations had slowed price growth. The Office for National Statistics (ONS) revealed yesterday that house prices in London had risen by 20.1 per [...]
Fed chair Janet Yellen defends low interest rates amid concern over frothy prices July 16, 2014 Federal Reserve chair Janet Yellen held the line during a grilling from US politicians yesterday, arguing that the economic climate meant that very low interest rates were still appropriate. “If the Fed [and Yellen] is going make a change in rhetoric, it is likelier to come at the September meeting, because that is the next [...]
Investors see equity bubble July 16, 2014 MORE fund managers are convinced that equities are overvalued than at any point in nearly 15 years, according to a survey yesterday. Bank of America Merrill Lynch’s latest poll of major investors showed the largest majority since the year 2000 now feel that global stocks were overvalued. Despite this, a net balance of 61 per [...]
Investors losing confidence in German growth July 16, 2014 Further signs of a slowdown in the German economy, which has been the Eurozone’s most reliable powerhouse since the financial crisis, emerged with a more bearish survey of investors yesterday. The Zew index declined again this month, to 27.1 from 19.8. Although any figure above zero implies that investors are generally positive on balance, the [...]
Michael Page growth driven by recruitment in the UK and China July 16, 2014 Recruitment firm Michael Page reported a solid rise in earnings yesterday, announcing an 8.9 per cent increase in gross profits during the second quarter. The company’s profits rose to £137.2m during the second quarter, raised particularly by the UK and Asia-Pacific regions, up by 11.1 per cent and 14.2 per cent during the year. Profits [...]
European Bank told to bring in QE to boost bloc July 14, 2014 THE International Monetary Fund (IMF) called on Eurozone policymakers to begin quantitative easing yesterday, painting a bleak picture of the prospects for the bloc if current trends continue. “If inflation remains too low the European Central Bank (ECB) should consider a substantial balance sheet expansion, including through asset purchases,” said the international watchdog, as it [...]
Citigroup share price up three per cent despite $7bn fine July 14, 2014 Citigroup has beaten expectations with its latest trading statement, causing its share price to jump more than three per cent last night despite a $7bn fine (£4.1bn). The penalty will be paid to US authorities to settle an investigation into claims that the bank misled investors about mortgage-backed securities in the run up to the [...]
Banco Espirito Santo share price sinks as Portugal’s banking crisis continues July 14, 2014 Banco Espirito Santo (BES) saw another sharp drop in its share price yesterday, with a fall of 7.69 per cent as the bank tried to speed up reforms to its management structure. The bank’s shares settled at just €0.442 at the end of trading yesterday, down by nearly 70 per cent from a recent high [...]
Industrial slowdown for Europe could drag on bloc’s expansion July 14, 2014 THE EUROZONE’S industry suffered in May, with a widespread decline in output confirmed yesterday, adding to concerns that the bloc’s feeble recovery is already beginning to slow down. Output fell by 1.1 per cent between April and May, according to official statistics. The slump means that production increased by only 0.5 per cent year-on-year. Portuguese [...]
UK house prices: More expensive properties take up growing share of market July 14, 2014 More high-end properties are now entering the housing market than at any time in the last four years, according to a report released this morning. Figures from Experian show that the number of homes entering the British housing market worth over £500,000 is up by 29.9 per cent. The number of houses in the bracket [...]