FTSE 250 approaches pre-referendum highs as equities bounce continues July 20, 2016 Stock markets have surged again today on the back of strong employment data, as the closely-watched FTSE 250 hits a new post-referendum high. The mid-cap index, which is seen as a better gauge of the UK economy than the larger FTSE 100, climbed back above the 17,000 mark this afternoon, and is now down by [...]
BHP shares fall as iron ore output disappoints due to Samarco shutdown July 20, 2016 Shares in BHP Billiton fell today, after iron ore output from the world's biggest miner came in below expectations. Iron ore output fell 2.58 per cent on an annual basis to 227m metric tonnes in the year ended 30 June, below its original estimate of 247m metric tonnes. Read more: Industry veteran to head firm formed from Tata's [...]
Turn that frown upside down: Seven reasons Brexit is a good news story July 20, 2016 Brexit is not going to be a bed of roses but I’m not entirely convinced by the doom-mongers. In my view, and that of many others, Brexit came just in time. Europe is going down – fast Since the result, I’ve spoken to a number of economists and City figures. A growing number believe a [...]
Four European hidden gem stocks for your portfolio July 20, 2016 Europe's investment markets are wallowing in an unprecedented level of support from the European Central Bank (ECB). They are being cossetted by a massive €1.7 trillion QE programme, much of which is likely to find its way into stock markets and raise share prices. Negative interest rates are also encouraging banks to invest and the ECB [...]
Anglo American shares slip as bad weather takes shine off copper target July 20, 2016 Anglo American cut its annual target for copper output today, after severe winter weather chilled the miner’s operation in Chile. Its full-year guidance for copper output was slashed to between 570,000 and 600,000 tonnes for 2016, down from as much as 630,000 tonnes. The 2017 target was also revised lower. This year's output target for [...]
Pound jumps as unemployment falls to 2005 low – but economists warn on Brexit effects July 20, 2016 Finally, some relief for currency traders, after the pound jumped this morning on new figures showing unemployment has reached its lowest since 2005. The Office for National Statistics (ONS) said the unemployment rate ell to 4.9 per cent in the three months between February and May this year, down from 5.6 per cent a year [...]
Bank of England: “No clear evidence” of business slowdown since Brexit vote (yet) July 20, 2016 The Bank of England has said there is "no clear evidence" yet of a slowdown in business activity since the Brexit vote. But it also noted that "business uncertainty had risen markedly" after the referendum. In its monthly agents' summary of business conditions, the Bank said: "As yet, there was no clear evidence of a [...]
Why the UK will need more than rate cuts to offset Brexit shock July 20, 2016 Although growth has been less vigorous than in previous recoveries, the UK economy has made real progress since the Lehman-crisis — the private sector has deleveraged, household balance sheets have strengthened and labour market participation has reached a record high. The near-term Brexit-induced confidence shock promises to reverse some of these positive trends. Uncertainty will reign [...]
Rio Tinto sinks to bottom of the FTSE 100 as output misses estimates July 19, 2016 Rio Tinto tumbled yesterday, as the miner's second quarter production results came in below expectations. Rio continued to feed the global glut of iron ore, as production in Australia swelled eight per cent annually to 80.9m metric tonnes in the second quarter. Meanwhile, the group's global copper output rose five per cent to 141,000 tonnes. Read more: Rio Tinto lowers 2017 iron ore [...]
The end of austerity is nigh – but not for the Eurozone July 19, 2016 Governments around the world could be nearing the end of austerity, as stable borrowing and low interest rates reduce the need to hack into spending or hike taxes. According to Capital Economics' public finance tracker, "fiscal policy in advanced economies is looser this year than last, and may well be eased further in the years ahead. [...]
