Investment Comment: European earnings could be set to come back with a bang August 5, 2014 There is a question mark looming over European equities – when will companies deliver on earnings? So far, underwhelming earnings growth has done little to support the market’s upward march. In our view, that is poised to change. The Eurozone has a real and sustainable economic recovery underway, following four consecutive quarters of positive [...]
Inflation slips to lowest since 2009 for Eurozone July 31, 2014 Inflation weakened even further in the Eurozone during July, dropping to just 0.4 per cent, the lowest level since the aftermath of the financial crisis. The consumer price index (CPI) has been growing increasingly slowly since the middle of 2012, and was last above the European Central Bank (ECB) target level of two per cent [...]
Inflation jumps to biggest monthly increase since October 2012 July 15, 2014 UK consumer inflation unexpectedly jumped to 1.9 per cent in June, according to latest figures from the Office of National Statistics (ONS). Headline annual consumer price inflation (CPI) recorded a much higher increase than had been forecast, rising 0.4 percentage points on the May figure. That is the biggest monthly increase since October 2012 [...]
London Report: Unemployment figures set to show recovery July 14, 2014 UNEMPLOYMENT figures this week are expected to show that the number of people out of work has dropped again, as the UK recovery takes hold. Jobs data is likely to show an unemployment rate of 6.5 per cent in the three months to May, down from 6.9 per cent in the quarter to February. Despite [...]
Strongest retail deflation ever recorded as prices slip further July 8, 2014 UK shop prices are declining at the fastest pace in at least eight years, with non-food prices shrinking even further in June. The latest report from the British Retail Consortium (BRC) and Nielsen suggests that shop prices dropped by 1.8 per cent in June, the largest fall the group has recorded since beginning the series [...]
Best of the Brokers for 03 July 2014 July 2, 2014 To appear in Best of the Brokers, email your research to notes@cityam.com OCADO GROUP Deutsche Bank has upped Ocado to “hold” after six months on a “sell” rating, reducing the target price to 330p from 350p. The broker thinks while there has been a slowdown in sales growth, expectations are more realistic, and there is [...]
Higher core Eurozone inflation may allow ECB to “wait and see” June 30, 2014 Inflation in the euro area has held steady in June, static at an annual rate of 0.5 per cent, according to data released by Eurostat. Fears over the disinflationary climate in the Eurozone prompted the European Central Bank (ECB) to take action this month, with president Mario Draghi delivering a package of measures aimed at [...]
Weak inflation helps to boost family finances June 23, 2014 Households have more spending power than at any time in the past four and a half years, with less pressure on essential spending and especially energy bills. Lloyds Bank’s latest barometer of consumer confidence reached 146 in May, according to research released this morning, well above the 100 level set in January 2010. The index [...]
May retail sales dip after Easter buying splurge June 19, 2014 Retail sales fell 0.5 per cent between April and May, dipping after the Easter boost to families’ shopping, even with strong growth on the year. Sales by quantity were 3.9 per cent higher last month than in May 2013, and up 1.3 per cent in the three months to May, when compared to the three [...]
London Report: Concern over oil price pushes up London shares June 18, 2014 THE FTSE 100 was up yesterday, with oil companies lifting the market due to high crude prices in the wake of heavy fighting in Iraq, Opec’s second-largest producer. The index closed up 0.2 per cent, or 11.79 points, at 6,778.56 points. Brent crude oil rose towards $114 a barrel as Sunni militants pushed forwards in [...]