Slumping economy, surging stock market– what’s going on? May 18, 2020 | City Talk While tens of millions of Americans were losing their jobs, the stock market in April produced its best monthly return in over 30 years. We look at what’s behind this apparent disconnect. 36 million Americans filed for unemployment claims over the past eight weeks. US GDP plunged by 4.8 per cent in the first quarter [...]
Oil prices surge past $30 for first time in two months May 18, 2020 Global oil prices jumped this morning on growing optimism as governments around the world continued to ease lockdown measures. Worldwide standard Brent crude rose 5.2 per cent to hit $34.20, its highest levels in a month. US benchmark West Texas Intermediate also surged 6.9 per cent to $31.47, levels which it has not seen since [...]
Asian shares make cautious gains even as Japan falls into recession May 18, 2020 Asian shares made cautious gains on the back of S&P 500 futures and a rise in oil prices, even as Japan slipped into recession. Japan has fallen into recession as the coronavirus outbreak continues to take its toll on the global economy. Japan’s economy shrank 3.4 per cent in the first three months of 2020 [...]
Global dividends set to plunge as much as 35 per cent this year May 18, 2020 Global dividends could fall as much as 35 per cent this year, as companies scramble to conserve cash amid the pandemic. The coronavirus pandemic and the hit to oil prices has had a profound impact on the cash position of a lot of companies. Businesses in the worst hit areas – such as hospitality, aviation [...]
Former LSE boss Rolet joins Shore Capital as non-exec chairman May 17, 2020 The former boss of the London Stock Exchange Xavier Rolet has joined brokerage firm Shore Capital as the chairman of its capital markets business. In his decade at the head of London’s bourse, Rolet transformed the LSE into one of the world’s largest indices by market capitalization. When he joined, its valuation stood at £800m, [...]
British Airways, Next and ITV at risk of credit rating downgrades May 15, 2020 Some of the UK’s biggest companies are at risk of having their credit ratings downgraded and becoming “fallen angels”, ratings agency S&P has said, raising the possibility of a sharp rise in borrowing costs in the midst of the worst downturn since the 1930s. Big names such as Next, British Airways and ITV are in [...]
FTSE 100 rises but US stocks stall after dire retail sales data May 15, 2020 US stocks have fallen in the wake of dire retail sales data, even as the FTSE 100 has risen on the final day of a choppy week of trading that has seen investors second-guess the recent stock market rally. The UK’s FTSE 100 index was up 1.5 per cent this afternoon at 5,785 points in [...]
FTSE 100 tumbles as investors doubt coronavirus recovery May 14, 2020 The FTSE 100 has fallen dramatically and US stocks have turned lower as doubts about the economic recovery set in following a gloomy speech by the governor of the US Federal Reserve. Britain’s FTSE 100 index dropped 2.8 per cent to finish at 5,741 points. That wiped out all of May’s gains. The mid-cap FTSE [...]
FTSE 100 and US stocks fall on fears of coronavirus second wave May 13, 2020 The FTSE 100 and US stocks have fallen as fears of a second wave of coronavirus infections spook traders and US-China tensions rise over the pandemic. The UK’s blue-chip stock index was 1.2 per cent lower in afternoon trading. This took the FTSE 100 below the 6,000 mark which it passed yesterday for only the [...]
Why staying close to your accountant matters more now May 13, 2020 | City Talk Accountants exist to ensure the accuracy of financial statements and advise how to save money or boost revenue. The coronavirus pandemic, then, with its profound and deepening impact on the economy has jolted the profession like all others. Depending on their role, accountants have been battling to keep on top of the unprecedented flurry of [...]
