US Federal Reserve hikes rates for first time since 2018 as lift off begins March 16, 2022 The US Federal Reserve today hiked the world’s most important interest rate for the first time since 2018 in what is expected to be the first step in one of the fastest tightening cycles in recent history. Fed Chair Jerome Powell and the Federal Open Market Committee (FOMC) raised rates 25 basis points to between [...]
Rampant inflation to push tax bills £12bn above forecasts March 16, 2022 Rampant inflation is set to deliver an even harsher hit to households’ tax bills than first thought, reveals fresh analysis released today. A higher cost of living will result in a £12.5bn larger tax hike, piling more pressure on Brits’ already stretched finances, according to the Institute for Fiscal Studies (IFS). Chancellor Rishi Sunak’s decision [...]
Interview: Former rate setter Andrew Sentance on Governor Bailey’s ‘off the cuff’ remarks and where the BoE went wrong March 16, 2022 It is often a mark of how dire an economy’s situation is when incremental rises in interest rates hit the front pages. The worst cost of living crunch in a generation has, however, sent the Bank of England to the front of many households’ minds. Those outside of the City care less about the vagaries [...]
China supply fears send London’s top indexes tumbling March 15, 2022 Fears over a possible slowdown in Chinese production caused by Beijing locking down one of the country’s top manufacturing hubs amid an outbreak in Covid-19 cases sent London’s top indexes lower yesterday. The capital’s premier FTSE 100 index dropped 0.25 per cent to 7,175.70 points, while the domestically-focused FTSE 250, which is more aligned with [...]
Return of lockdowns send Chinese shares tumbling March 15, 2022 The re-imposition of draconian lockdown measures in one of China’s main technology and manufacturing hubs to tame an outbreak in Covid-19 cases sent shares in Beijing and Hong Kong tumbling yesterday. China’s top index, the CSI 300, tumbled 4.57 per cent yesterday, taking total losses for the year to date close to 20 per cent. [...]
Russia’s war to deal 10 per cent hit to Ukraine economy, warns IMF March 15, 2022 The Ukrainian economy is set to contract sharply this year as Russia’s invasion hobbles domestic consumption, reveals fresh forecasts by the world’s economic watchdog. Output in Ukraine will shrink around 10 per cent this year, according to the International Monetary Fund (IMF). The hit to the country’s economy could eventually rise to some 35 per [...]
German economy hurtling towards recession on Russia-Ukraine war March 15, 2022 The German economy is hurtling towards a recession as the Russia-Ukraine war sours investors’ optimism for Europe’s largest economy, reveals a closely watched survey released today. Moscow’s barbaric assault of Ukraine and the West’s sweeping set of sanctions to lock Russia out of the global economy is “significantly dampening the economic outlook for Germany,” Achim [...]
Nearly a quarter of working Brits considering retirement due to pandemic stresses March 15, 2022 Almost a quarter of working Brits are considering retirement as a result of the pandemic, while seven out of 10 would be fine with less social interaction. The toll of restrictions on people’s wellbeing is causing thousands to reconsider career paths in a bid to reduce stress and anxiety. A monthly mental health index published [...]
Roaring jobs market steps up case for another Bank of England rate hike March 15, 2022 A roaring jobs market in the UK is stepping up the case for another rate hike by the Bank of England on Thursday. Strong demand for workers rubbing up against weak labour supply is intensifying inflationary pressures in the jobs market, demonstrating the UK economy is ready for more rate hikes, according to economists. The [...]
Old Mutual: South African savings firm reports subdued growth after pandemic woes March 15, 2022 South African-based investment group Old Mutual experienced subdued growth in 2021 as the country’s economy bounced back from the pandemic. The company’s CEO announced its gross flow increased four per cent to R194.8bn (£9.8m) following a spike in sales over the course of last year. The pandemic however led to it paying out hundreds of [...]
