Ear to the Ground
There was good news for the UK economy this week, which grew faster than expected in May. Although a lagging indicator, it was good all the same to see an expansion of 0.4% posted, double the consensus forecast of 0.2%.
Ear to the Ground
In the UK there has been one focus only this week and that is on the General Election. The result is now in and is very much in line with expectations
Ear to the Ground
This was a much quieter week in terms of economic data being released. In the US the focus was on the PCE (personal consumption expenditures) index, being the US Federal Reserve’s (the Fed) preferred measure for inflation
Ear to the Ground
Ready, steady, not quite yet. This week saw the Bank of England meet to set interest rates. Unlike the European Central Bank, Canadians or Danes, they weren’t quite ready to cut interest rates, and held at 5.25% as forecast.
Ear to the Ground
This week we saw two western central banks take the plunge and cut their interest rate. First up we had the Bank of Canada, who beat their southern neighbours to the table and reduced by 0.25% to 4.75%.
Ear to the Ground
There can be little doubt that the story of the week was the decision to call a UK general election for the 4th July. Between now and then we will hear from each party their stance regarding policy.
Ear to the Ground
All eyes were on UK jobs data last week, as forecasters looked for hints that the tightness in the market could be wearing off. It wasn’t to be however.
Ear to the Ground
It was a big week for the UK in terms of economic data being released. Although a lagging indicator, it was good to see the UK economy exit recession in the first quarter of 2024.
Ear to the Ground
Very little economic data from the UK this week to attract the attention. Perhaps the most headline grabbing release was the Nationwide Housing Prices survey to April which showed month on month values fell 0.4%
Ear to the Ground
Focus was on the Bank of Japan this week as they met to discuss interest rate and monetary policy. As expected, they decided to keep their short term interest rate unchanged at 0%-1%.
