Sterling slides as nervy traders cash in August 19, 2016 The pound has tumbled against both the dollar and the euro this afternoon, dampening an otherwise strong week for the currency. After strong post-referendum inflation and retail sales figures had put some steam behind sterling on Wednesday and Thursday, traders started to reassess the dizzying heights of $1.31 and €1.16. Against the US dollar, the pound lost [...]
Top ONS economist: Brexit recession still possible August 19, 2016 The top economist at the Office for National Statistics (ONS) has warned it is too early to rule out the prospect of a recession, despite a flurry of strong post-referendum indicators. Joe Grice, ONS chief economist told Bloomberg this morning there were still too many pieces of the puzzle to put together and would not like to [...]
Public finances falter following EU referendum August 19, 2016 Government income shrunk in July with tax receipts missing expectations in the first sign of a post-referendum hit to the public finances. The government ran a surplus of £977m in July, according to figures published this morning by the Office for National Statistics (ONS), though this was down on predictions for a £1.9bn windfall and [...]
Oil bulls spooked as Brent Crude touches $51 a barrel August 19, 2016 The black stuff bull run has edged back in early morning trading, after oil prices hit a two-month high at the end of an impressive winning streak for the commodity. Brent Crude, the international benchmark, tipped past $51 a barrel overnight, before easing back to stand at $50.56 as the London markets opened and profit-taking kicked in. The [...]
Oil re-enters bull market as it shrugs off rising Saudi exports August 18, 2016 Oil thundered back into bull market territory today, despite rising exports from de facto Opec leader Saudi Arabia. Brent crude, the global benchmark, swelled 0.92 per cent to $50.31 per barrel on London's ICE Futures Exchange this afternoon. Its US counterpart, West Texas Intermediate crude, rose 1.75 per cent to $47.61. Both benchmarks are now up [...]
US Fed logs on to Facebook to boost visibility August 18, 2016 The US Federal Reserve has created a Facebook page, adding to its existing Twitter, YouTube, Flickr and LinkedIn pages. The Fed, often criticised for its communication methods, said in a statement it aims to “increase the accessibility and availability” of its “news and educational content” using Facebook’s likes, comments and shares. But will the opportunity to [...]
After retail sales rose strongly in July, did the Bank of England jump the gun by cutting interest rates? August 18, 2016 Tim Price, manager of the VT Price Value Portfolio, says Yes. Brexit hasn’t even happened yet, but Bank of England governor Mark Carney went out on such a limb on behalf of Project Fear that he had no alternative but to cut interest rates, irrespective of our economic condition and the already sharp decline in sterling. [...]
Kaz Minerals shares jump as new copper mines progress August 18, 2016 Shares in Kaz Minerals closed up 9.90 per cent to 179.90p this afternoon, on a jump in pre-tax profits and progress at its two key copper mines in Kazakhstan. The figures The Kazakhstan-focused firm's revenue fell 11 per cent to $302m (£229.7m) in the six months ended 30 June, down from $341m in the first half of 2016. [...]
Premier Oil shares rise as the weaker pound helps it swing to profit August 18, 2016 Shares in Premier Oil rose as much 3.59 per cent to 79.25p in opening trading after the independent oil and gas producer returned to profit in the first half of the year. The figures Premier Oil reported pre-tax profit of $110m (£83.57m) in the six months to June, up from a loss of $214.6m in the same period [...]
Standard and Poor’s attacks negative interest rates as desperate and damaging August 18, 2016 Central banks’ experiment with negative interest rates risks backfiring in spectacular fashion, top ratings agency Standard and Poor’s (S&P) has warned. In a new report assessing the impact of sub-zero borrowing costs on economies and industries around the world, the ratings agency concluded: “Moving to a negative rate environment, in every circumstance that we’ve looked at, [...]
