Before the open – 25/07 July 25, 2013 Today will show whether growth is accelerating in the UK, with second quarter GDP out later. After a limp 0.3 per cent growth in the first quarter, economists are now forecasting that we'll see the economy grew by as much as 0.6 per cent in the second quarter. Asian equities fail to respond to #China’s [...]
US manufacturing surprises analysts with a strong surge in growth July 24, 2013 Following strong manufacturing figures from France, Germany and the eurozone, the US has surprised analysts with decisively strong growth to a four month high in July. The Markit purchasing manager's index (PMI) for manufacturing rose to 53.2 from 51.9, against analyst expectations of a flat rate of growth at 51.9. Any figure above 50 implies [...]
Capital Economics sees US economy on track for Fed to begin tapering this year July 23, 2013 Despite downward revisions to second quarter US GDP growth, economic analysis company Capital Economics thinks the Federal Reserve is still on track to begin tapering off its monthly asset purchases in September this year. While GDP growth is thought to have slowed to between one per cent and 1.5 per cent in the second quarter [...]
US manufacturing shows dramatic signs of weakening July 23, 2013 The US Richmond Fed manufacturing index has plunged from 8 to -11 in July, implying that the picture for sector is much darker. Analysts had predicted a slight fall to just 7.
Before the open – 23/07 July 23, 2013 Asian markets have performed well overnight as hints of Chinese easing have given traders confidence in equities. Now we're expecting that exuberance to translate into some mild gains for the FTSE and other European markets. Good morning – looking ahead to the open here are the forecasts for indices: FTSE100 +15 at 6638; DAX +20 [...]
US Fed tapering biggest risk to London prices July 22, 2013 A FAILURE by the US Federal Reserve to engineer a smooth exit from its quantitative easing programme (QE) could wipe 20 per cent off London property prices, according to new research out today. A report by Fathom Consulting for Development Securities said that while it expects the US to manage its exit sensibly, there was [...]
CNBC Comment: 2014 could see more pain for Eurozone July 22, 2013 IT HAS been impossible to tune out the din from the Fed on tapering, with the exit from QE dominating sentiment. But don’t be fooled into thinking the Eurozone crisis has disappeared. Europe has been on a slow boil, and could burn investors again this year or even worse in 2014 – when the first [...]
Before the open – 22/07 July 22, 2013 After US markets hit record highs on Friday, the FTSE is expected to rise on the open. ETX Capital #morningcall: FTSE100 up 9 points, the DAX higher by 27 points and the CAC40 up by 8 points — ETX Capital (@ETXCapital) July 22, 2013 Our macro data is rather light and all of a US [...]
Bernanke and good earnings lift Wall Street July 18, 2013 THE DOW Jones and the S&P 500 closed at record highs yesterday after Morgan Stanley and others reported better-than-expected earnings and Federal Reserve chairman Ben Bernanke’s comments further reassured markets. Shares of Morgan Stanley jumped 4.4 per cent to $27.70, its highest close since April 2011, after the bank posted a 42 per cent increase in [...]
Letters to the editor – 19/07 – UK universities, Public sector, Best of Twitter July 18, 2013 UK universities [Re: Our uniform universities restrict true competition in UK higher education, Monday] Martin Rees fails to mention private institutions. They do not draw on the public purse and often succeed in widening access where traditional universities fall short. Many who would otherwise fall through the system choose private institutions, but new restrictions mean [...]