US inflation sees biggest leap in nearly 13 years May 12, 2021 Consumer prices in the United States shot up 4.2 per cent in the 12 months to April, which could add fuel to market fears of a lengthy period of higher inflation. The jump marked the biggest increase in consumer prices since June 2009, and the biggest inflation gain since September 2008. The jump also followed a [...]
As economies reopen, inflation fears return with a vengeance May 12, 2021 London’s FTSE 100 is on course for its worst day in three weeks this afternoon amid inflation concerns. Inflation has never really been away. It’s been a central theme that has dominated conversations among economists, analysts and bankers over the past few months, and more specifically, the possibility that it is about to take off. [...]
Myth-Busting: Money printing must create inflation May 11, 2021 | City Talk London ranks ninth on the UBS Global Real Estate Bubble Index for residential properties. Like in many other countries, property prices in the United Kingdom reached an all-time high in 2020. A global pandemic with sudden mass unemployment should have forced UK citizens to sell their homes, but the furlough policies, stamp duty holidays, and record-low interest rates [...]
Collision of Covid-19 and Brexit fuels a £700bn blow to economic output May 11, 2021 The UK economy has been forecast to suffer an over £700bn blow to output due to the collision of Covid-19 and Brexit, the National Institute of Economic and Social Research warned today. The bruising figure was made worse by the government’s “poor Covid-19 response”, the think tank said, adding that it has left the UK [...]
Before the Bell: The Fed will not pull away the punch bowl just yet May 10, 2021 Friday’s historical non-farm payrolls miss has been a sigh of relief for global markets, because it means the Federal Reserve won’t pull away the punch bowl just yet. The excess liquidity is here to stay, the historically low funding costs as well. Therefore, “we will most probably see a strong investor appetite for both growth [...]
Growth narrative may shift as pre-pandemic challenges reappear May 10, 2021 Two major events took place in the world’s two largest economies recently that have the potential to directly impact us here in the UK. The first is the passage of President Biden’s $1.9trn stimulus bill in the US last month. The second is the recent meeting of the National People’s Congress in Beijing. Taken together, [...]
US job growth crashes below expectations amid labour shortages May 7, 2021 US job growth was far slower than expected in April as labour shortages left employers scrambling to meet booming demand as coronavirus restrictions ease. Non-farm payrolls increased by just 266,000 jobs last month, well below estimates of 1m, according to figures from the Labor Department. It also marks a significant slowdown from the 770,000 jobs [...]
Markets today: China sells, Britain builds and the US employ May 7, 2021 European markets saw another day of gains yesterday, though for most of the day it was a bit of a struggle, with the turnaround only happening in the last hour of trading, as US markets shrugged off their early day malaise to turn higher, with the Dow once again posting another record high. The likes [...]
The recovery is in full swing: UK set for best growth since Second World War May 6, 2021 The economy will grow this year at its fastest pace since the Second World War as Britain stages a vaccine-fuelled recovery. Gross domestic product will rebound by 7.25 per cent in 2021, up from its previous prediction of 5 per cent and the best year of growth since 1941, according to the Bank of England [...]
US jobless claims fall to 13-month lows as reopening continues apace May 6, 2021 The fewest Americans applied for unemployment benefits as have done so in 13 months last week, new data from the US Labor Department shows. Initial claims fell from 590,000 to 498,000 in the week ending 1 May, the figures show, below economists’ forecasts. The number was one of several pieces of economic data that suggested [...]
