ECB agrees three year €45bn currency swap line with Chinese central bank October 10, 2013 The European Central Bank (ECB) and the People's Bank of China (PBoC) have agreed the creation of a €45bn (£38.1bn) currency swap line for three years (release). That'll allow the two to purchase and repurchase Chinese yuan and euro from each other. Here's some of the ECB statement: The swap agreement, which will be valid [...]
Italian industrial output still falling despite expectations of recovery October 10, 2013 Italian industry still struggling in August. That month saw a fall in output of 0.3 per cent, after a fall of 1.1 per cent in the month before. Analysts had expected growth in output of 0.7 per cent in August. For the year to date, output has fallen by 4.6 per cent, while economists had [...]
WH Smith shares rise nearly six per cent on consensus busting dividend October 10, 2013 WH Smith is trading stronger on slightly better numbers and a higher dividend this morning. The retailer reported strong growth in profits for the year ended 31 August (release). In an announcement on Wednesday the company revealed that profit before tax was £108m, up six per cent from £102m in 2012. Group profit from trading [...]
IMF warns that high sovereign debts threaten global economy October 9, 2013 An influential international organisation, the International Monetary Fund (IMF), has warned that high debt ratios amid "persistently low growth" advanced economies "cast clouds on the global fiscal landscape". In their October 2013 Fiscal Monitor update, the IMF warns that the average public debt ratio in advanced economies will hit a historic peak (of around 110 [...]
Global wealth highest in history despite downturn October 9, 2013 Despite the financial crisis of 2008 and the difficulties in the Eurozone, global wealth has more than doubled since 2000, reaching over £150 trillion, according to the latest global wealth report from Credit Suisse. Economic growth in developing countries and rising populations have played a significant part in the figures. Aggregate total wealth rocketed past [...]
Owen Paterson: “The badgers haved moved the goalposts” October 9, 2013 Environmental secretary Owen Paterson has told BBC Spotlight that the controversial badger cull has been a success, but that "the badgers have moved the goalposts." No, we're not sure either (but hopefully it's not a reference to this infamous viral video). Turns out Paterson was talking about how badgers could be affected by various factors [...]
Slower UK growth a result of other shocks, not austerity says Treasury October 9, 2013 The UK's government spending watching – the Office for Budget Responsibility (OBR) – has released its forecast evaluation report (release). An HM Treasury spokesman says that the evaluation shows that the "likely explanation for slower than forecast growth is the impact of higher global commodity prices, the euro area crisis and the ongoing impact of [...]
Yellen expected to bring continuity to top job in monetary policy October 9, 2013 News that Janet Yellen will be nominated as successor to Ben Bernanke as chairman of the US Federal Reserve has been welcomed by market watchers, with Yellen expected to bring a wealth of experience to the role. Joshua Raymond of City Index says that while "there is no real surprise here" after Larry Summer's withdrawal [...]
Alcatel shares drop as French PM demands union negotiations over job cuts October 9, 2013 French prime minister Jean-Marc Ayrault, speaking on Euro1 radio, has said that telecoms equipment maker Alcatel-Lucent must reach an agreement with the unions if the planned restructuring of the company is to go ahead. The French prime minister said: We want a negotiation that saves as many jobs as possible, as many sites as possible. [...]
Greggs announces lukewarm results as like-for-like growth decline softens October 9, 2013 High street baker Greggs has reported a 0.5 per cent drop in like-for-like sales in the 13 weeks to 28 September, as they witness a 2.1 per cent drop in like-for-likes in the year to date (release). So things might be looking up slightly, or at least chief executive Roger Whiteside thinks so. He says [...]
