UK government public sector net borrowing falls to lowest November total in a decade, says the Office for National Statistics December 21, 2017 While consumers may be racking up the debt as Christmas creeps closer, chancellor Philip Hammond has managed to keep a lid on the UK’s public sector borrowing. Statistics released today by the Office for National Statistics (ONS) revealed public sector net borrowing fell by £200m to £8.7bn in November 2017 – the lowest November total [...]
Are UK markets overstretched? December 21, 2017 With the FTSE 100 and All-Share a wee bit below their all-time highs and valuations above average, many fear equities are too high and will soon fall. However, in our view, such worries are misplaced. Valuations aren’t predictive, and markets routinely set all-time highs during bull markets. We expect UK markets to keep making chart-topping [...]
Are UK markets overstretched? December 21, 2017 With the FTSE 100 and All-Share a wee bit below their all-time highs and valuations above average, many fear equities are too high and will soon fall. However, in our view, such worries are misplaced. Valuations aren’t predictive, and markets routinely set all-time highs during bull markets. We expect UK markets to keep making chart-topping [...]
Bank of England’s Mark Carney spreads Christmas cheer with Brexit assurances for EU banks December 20, 2017 The governor of the Bank of England (BoE) has attempted to spread a little festive cheer after the EU’s chief Brexit negotiator insisted that a financial services deal was off the table. In response to Michel Barnier’s position (which saw him dubbed “Scrooge” by City lobbyists yesterday) Mark Carney has assured EU banks that they [...]
Bank of England plans to allow EU banks in the UK lighter regulation option after Brexit December 20, 2017 The Bank of England (BoE) has today announced it will allow European wholesale banks to operate as branches in the UK after Brexit, removing the threat of a much stronger regulatory regime which bankers feared would harm their profits. European wholesale banks and insurers will be able to apply for authorisation to operate as a [...]
What’s up with mortgage rates? December 20, 2017 Last month, we saw economic policy turn a corner, with the first base rate rise in the UK since the start of the financial crisis. Savers now see the light at the end of the tunnel after being burdened with pitiful interest rates for years. Yet in the same breath, if you’re a homeowner, you’ll [...]
London Stock Exchange wins battle against activist investor Sir Chris Hohn December 19, 2017 The board of the London Stock Exchange (LSE) Group has resoundingly beaten off an attempt by activist investor Sir Chris Hohn to remove its chairman, winning a shareholder vote held today after a bitter public row over the departure of ex-chief executive Xavier Rolet. Some 79 per cent of votes cast by LSE shareholders backed [...]
The year in sterling (GBPUSD): Theresa May’s election shocks, Mark Carney’s rising rates, and Brexit, Brexit, Brexit December 19, 2017 It was a brave trader betting on sterling at the start of the year. Economists were fearful for the British economy as 2016’s dramatic fall in the pound fed through to surging inflation; Theresa May was still a novice as Prime Minister; and the Brexit process had not yet truly begun. Brexit has – as [...]
Activist investor Sir Chris Hohn to skip crunch London Stock Exchange shareholder meeting he requested December 18, 2017 Activist investor Sir Chris Hohn will not attend a London Stock Exchange (LSE) shareholder vote tomorrow which he himself requested, according to reports. Hohn requested the meeting last month to remove chairman Donald Brydon, after accusing him of forcing out former chief executive Xavier Rolet, but will not attend in person, Reuters reported. Investors meet [...]
With or without a Santa Rally, the FTSE 100 looks a sick man compared to its peers December 18, 2017 Over the past 25 years global markets have become accustomed to what is affectionately known as the Santa Rally in the final weeks before Christmas. This year, however, the FTSE 100 appears unlikely to have its spirits lifted by Christmas joy. In 18 of the past 25 years, the FTSE 100 index has rallied by [...]