Revisiting Beta: How well has Beta predicted returns? September 7, 2021 | City Talk After the capital asset pricing model (CAPM) was developed in the 1960s and 1970s, financial researchers started to test how well this theoretical model actually worked in the real world. Amid expanding computing power and greater data access, the 1980s became a critical era for gauging CAPM’s validity as analysts explored beta’s effectiveness in anticipating [...]
Staycations and Brits socialising propel consumer spending above pre-Covid levels September 7, 2021 Surging demand for staycation holidays amid ongoing travel restrictions, supported by strong appetite among Brits to socialise during the summer months, pushed consumer spending well-above pre-Covid levels last month. Data from Barclaycard shows card spending was 15.4 per cent above the same month in 2019, before the onset of the Covid crisis. The sharp rise [...]
IoD: Hiking national insurance to pay for social care is illogical September 6, 2021 The Institute of Directors has criticised the government’s reported decision to hike national insurance to pay for social care and clearing the backlog of NHS work. The influential organisation that represents UK business leaders said using national insurance to fund social care is illogical as the levy is intended to provide a safety net for [...]
Scottish independence would be ten times worse than Brexit, warns Sturgeon economic sage September 6, 2021 An influential economic adviser to Scotland’s first minister Nicola Sturgeon has warned the damage inflicted on the country by independence could be “Brexit times ten”. Mark Blyth, professor of international economics at the Watson Institute of Brown University in Rhode Island, and a member of Sturgeon’s council of economic advisers, said in an interview with [...]
Supply chain snarl ups pull UK construction growth down to six-month low September 6, 2021 The UK construction industry grew at the slowest pace for six months, driven by supply chain snarl ups leaving builders unable to progress work, according to a closely watched survey released today. The latest IHS Markit / CIPS UK construction purchasing managers’ index slid to 55.2 in August, down from 58.7 in July. However, the [...]
CBI chief calls for government to act urgently to clear worker shortages September 6, 2021 The chief of the Confederation of British Industry has urged the government to take drastic action to help clear severe worker shortages that have put the British economy in a vice. Tony Danker, director general at the CBI, urged the government to put HGV drivers on a list that exempts them from stricter post-Brexit immigration [...]
Road haulage bosses warn buckling supply chains will trigger soaring prices September 4, 2021 The “perfect storm” of problems scuppering UK supply chains will increase prices sharply for households across the country, road haulage and food bosses have warned. A paucity of HGV drivers, soaring shipping costs, delays in deliveries from Asia and ongoing Covid related problems have compounded to produce severe shortages of products. Soaring demand as economies [...]
How worker shortages are cleared will determine UK economy’s trajectory September 4, 2021 You would be forgiven for forgetting we are currently amid one of the best runs of economic growth in living memory with all the negative news about supply chain snarl ups, worker shortages and soaring inflation flying around. A slew of data published this week, alongside a raft of announcements from supermarket, retail and food [...]
Labour urges Boris Johnson to create minister to handle supply chain crisis September 4, 2021 Labour has urged prime minister Boris Johnson to create a fresh ministerial post to handle the intensifying supply chain crisis. Ed Miliband, shadow business secretary, accused the government of “falling asleep at the wheel” over mounting problems of scarcity of materials prompting many sectors of the UK economy to snarl up. The minister would oversee [...]
Pound rallies against the dollar on weaker than expected US jobs growth September 3, 2021 Hiring in the US economy in August plunged below expectations as the spread of the Delta variant of Covid across America weighed heavily on employer and employee confidence, prompting the pound to rally against the dollar. Figures released by the US Labor Department show nonfarm payrolls jumped by 235,000 last month, over 500,000 below analysts’ [...]
