Inflation stays at three per cent despite expectations of a dip February 13, 2018 Consumer price inflation (CPI) remained at three per cent in January, unchanged from the month before, according to the Office for National Statistics (ONS). CPI is the rate at which the prices of goods and services bought by households rise or fall. CPI including owner occupiers’ housing costs was 2.7 per cent, also unchanged month-on-month. [...]
Bank of England officials Jan Vlieghe and Ian McCafferty back rates to rise further February 12, 2018 Bank of England officials today continued to signal a likely rate rise in the coming months, reiterating the hawkish message sent last week. Jan Vlieghe, who is often seen as one of the more dovish members of the rate-setting monetary policy committee (MPC), said further interest rate hikes were likely, following the first increase in [...]
FTSE 100 and Wall Street bounce back after week of turmoil February 12, 2018 The FTSE 100 and companies on Wall Street rose today after a week of big losses following global stock market turmoil. London’s blue-chip companies gained more than 1.2 per cent by the mid-afternoon, with highs just short of the 7,200 points mark. The S&P 500, the US benchmark, rose by 1.2 per cent at the [...]
Brexit lurks behind the Bank of England’s sudden hawkishness February 12, 2018 Has the Bank of England developed a bit of a personality disorder? Looking at the mixed signals given by the Bank in the last six months, you might be forgiven for thinking so. The Bank’s Governor Mark Carney has a habit of keeping the markets guessing – something City analysts suspect he enjoys – and [...]
Forget embracing failure, startups deserve the best possible shot at success February 12, 2018 Last year in the UK, 70 new businesses were started every hour. In just three years’ time, up to 90 per cent of them will have failed. Business failure is often a personal tragedy, though inevitable in a dynamic market economy. However, not every failure is due to a lack of demand for a product [...]
Bank of England chief economist Andy Haldane says “no rush” for interest rate rise February 11, 2018 The Bank of England’s chief economist has said there is “no rush” to raise interest rates to levels seen in the past. Andy Haldane, who sits on the central bank’s monetary policy committee (MPC) which is in charge of setting interest rates, said that while there would likely be “some further tightening of policy” it [...]
How interest rates might increase over the next two years February 9, 2018 UK policymakers’ concerns about inflation have prompted Schroders’ economists to bring forward to November their expectations of a rise in interest rates. Schroders senior European economist and strategist Azad Zangana now predicts the base rate to rise in November 2018 by 25 basis points, up from 0.50% to 0.75%. This is before the two rate [...]
FTSE 100 loses ground to cap a miserable week February 9, 2018 UK shares shed around one per cent today, capping a disappointing week for investors. The FTSE 100 closed down 1.3 per cent, the mid-cap FTSE 250 was 0.8 per cent lower and the All-Share fell 1.2 per cent. After losing ground on Friday opening, London-listed equities almost recovered during mid-morning activity. Apost-lunchh sell-off prompted another [...]
Bank of England predictions shift: How interest rates might increase over the next two years February 9, 2018 UK policymakers’ concerns about inflation have prompted Schroders’ economists to bring forward to November their expectations of a rise in interest rates. Schroders senior European economist and strategist Azad Zangana now predicts the base rate to rise in November 2018 by 25 basis points, up from 0.50% to 0.75%. This is before the two rate [...]
Sterling slumps after Michel Barnier says Brexit transition is “not a given” February 9, 2018 Sterling hit its lowest point against the US dollar since mid-January this afternoon after the EU’s chief Brexit negotiator, Michel Barnier, said a transition deal is not yet guaranteed. The pound briefly dipped below the $1.38 mark in afternoon trading before recovering slightly, although it remained down by 0.6 per cent for the day. The [...]