This week’s 5 must-see charts March 28, 2014 The next UK debt crisis, an uncertain future for the services sector, copper’s decline, and the euro’s enduring strength. We bring you some of our favourite analysts’ picks of the most important graphs this week. Christian Schulz, senior economist at Berenberg Does this look familiar? The Office for Budget Responsibility expects a major rise in [...]
Exports and investment hike US growth estimate for end of 2013 March 28, 2014 THE US economy grew at a slightly faster pace than previously suggested at the end of 2013, rising at a 2.6 per cent annualised rate in the fourth quarter, instead of the 2.4 per cent previously expected. The rate is down from the third quarter’s 4.1 per cent, but exports grew by 9.5 per cent [...]
Stress test fail puts RBS sale of Citizens at risk March 28, 2014 HOPES of an early sale for RBS’s US arm Citizens were knocked yesterday after it failed the Fed’s stress tests. Although the main plan is to float the bank, starting later this year, RBS has been in early-stage talks with other banks including Japan’s Sumitomo Mitsui over a trade sale. But failing the stress test [...]
London Report: Financial and mining stocks weigh on FTSE March 28, 2014 BRITAIN’S top stock index fell yesterday, with miners leading the retreat on lingering concerns their earnings could be hurt by weaker metals prices following an economic slowdown in China and improving supplies. Banks also lost ground after the Federal Reserve blocked the US units of Royal Bank of Scotland and HSBC from paying higher dividends [...]
What you need to know before the US open March 27, 2014 US GDP fourth quarter results showed the economy grew a bit more quickly than expected in the fourth quarter (by 2.6 per cent), bolstered by stronger consumer spending. Futures were up ahead of the numbers, which will no doubt boost investor sentiment. Separate data releases show that initial jobless claims fell to 311,000 in the week [...]
Failed stress test hits RBS’ chances of fast Citizens sale March 27, 2014 RBS’ shares fell this morning after its US arm Citizens failed a Fed stress test, knocking the bank’s chances of a quick sale to another lender. Although the main plan is to float the bank, it has been in early-stage talks with other banks including Japan’s Sumitomo Mitsui over a trade sale. But failing the [...]
Fed blow to Citi as five banks fail stress tests March 26, 2014 THE FEDERAL Reserve last night rejected plans by Citigroup and the US subsidiaries of HSBC, Royal Bank of Scotland and Santander to buy back shares or raise dividends. The Fed said that there were “qualitative concerns” over the five US banks’ capital plans, warning they would not allow them to survive in the event of [...]
What you need to know before the US open March 26, 2014 US markets are expected to open up today, with stock futures up and eyes on Facebook shares, following its announcement that its acquired Oculus for $2bn in cash and stock. There’s also some recent economic data to chew over. Figures out on durable goods orders show orders rose 2.2 per cent in February – lifted [...]
US consumer confidence jumps to January 2008 high March 25, 2014 Good economic spirits returning in the US. Consumer confidence has surged to 82.3, from 78.3 prior. Last month's figure was itself revised up, from 78.1. Analysts had predicted a smaller rise, to just 78.6 this month. Simultaneously housing data revealed that new home sales fell by 3.3 per cent in February, less than the 4.9 [...]
How the big three central banks are dealing with falling inflation March 25, 2014 The last few months have seen inflation trend downwards in the Eurozone, US, and UK. Today's news that UK inflation has fallen to a 52-month low has stirred concerns among some quarters that central banks aren't reacting to falling price pressures. The latest Office for National Statistics data shows inflation falling to 1.7 per cent [...]