FTSE 100 shares fall again after steep drops on Nikkei, Hang Seng and Sensex February 9, 2018 The FTSE 100 was falling again in morning trading today, after sharp falls among Asian stocks overnight. The drop came after US markets closed in correction territory last night, with both the Dow Jones and the S&P 500 falling more than 10 per cent since their most recent highs. Today the FTSE 100 fell as [...]
Bank of England boss says two rate rises this year would not be a “great shock” February 9, 2018 A steeper path of interest rate rises over the next year would not be a “great shock” to the economy, the Bank of England’s deputy governor said this morning. Ben Broadbent doubled down on the hawkish message given by the Bank’s monetary policy committee (MPC), of which he is a member, paving the way for [...]
Wall Street closes in correction territory as stocks tumble February 8, 2018 US stock markets confirmed they were in correction territory today after a week of wild swings. The Dow Jones Industrial Average and the benchmark S&P 500 were both more than 10 per cent lower than their record highs last month, closing down 4.2 per cent and 3.8 per cent, respectively. The tech-heavy Nasdaq ended the [...]
Pound sterling (GBP) jumps as Bank of England hints at earlier than expected rate hike February 8, 2018 The pound jumped against the dollar this afternoon, after the Bank of England gave a hawkish signal that rates would be hiked earlier than previously indicated. The Bank held the interest rate at 0.5 per cent but the MPC said monetary policy will “need to be tightened somewhat earlier and by a somewhat greater extent [...]
Bank of England signals markets to expect earlier interest rate hike to fight inflation February 8, 2018 The Bank of England today set itself up for a faster pace of interest rate rises this year, saying that it wants to tighten monetary policy to fight rising inflationary pressures. The Bank’s monetary policy committee (MPC) voted unanimously to keep interest rates on hold, with bank rate at 0.5 per cent, but nevertheless gave [...]
How will Mark Carney respond to the FTSE 100 sell-off? The shadow MPC votes to hold as market bets on May hike pull back February 7, 2018 Markets have dialled back their bets on a May rate hike from the Bank of England after the massive market sell-off at the start of the week, with Mark Carney due to make his first public statements since the turmoil tomorrow. Investors are currently pricing in a 37 per cent probability of a rate hike [...]
Winter chill on house prices after second consecutive fall says Halifax February 7, 2018 House prices in the UK fell for the second successive month at the start of the year, pulling annual growth to its lowest level since June last year. The 0.6 per cent fall in house prices reported by Halifax came as a surprise to analysts, who had expected the index to edge up in January. [...]
The City has more serious things than Brexit to worry about February 7, 2018 Brexit has been the centrepiece of the City’s agenda this week, with two planned Brexit Select Committee meetings alongside Michel Barnier’s visit to the UK. Despite the fractures Brexit has caused within the government, there seems to be more coherent understanding in the Square Mile on the future shape of regulatory architecture. Any future deal [...]
Risk of a no deal Brexit isn’t rising, says Bank of England’s newest policymaker Elisabeth Stheeman February 6, 2018 The Bank of England’s newest policy maker said today that the risk of a “no deal” Brexit was not rising. Elisabeth Stheeman, now an external member of the Bank’s Financial Policy Committee (FPC), appeared in front of the Treasury select committee today, and said that leaving the EU without a deal would damage both the [...]
Bank of England set to hold rates on Super Thursday February 5, 2018 The Bank of England is set to hold interest rates at 0.5 per cent on Thursday, but rate rises are forecast for later in the year. The bank’s Monetary Policy Committee (MPC) will vote on the rate on so-called Super Thursday, when the bank will also release its quarterly inflation report and release the minutes [...]