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Economics

  • Markets mauled: FTSE 100 crashes and officially enters bear market territory

    January 21, 2016

    The FTSE 100 officially entered bear market territory yesterday for the first time since 2009, as the New Year sell-off sent panic through trading floors and stoked fears of a broader economic slowdown. London’s main market closed at 5,673.58, more than 20 per cent down from its intra-day peak of 7,122 in April last year. A drop [...]

  • Impending tax increase sparks buy-to-let rush – Royal Institution of Chartered Surveyors

    January 21, 2016

    A higher tax rate on house purchases due to start in April has caused a surge in demand from buy-to-let investors, new figures show this morning. From April, buy-to-let investors will have to pay three per cent more in stamp duty land tax (SDLT) than residential buyers. In December, 10 per cent more chartered surveyors in [...]

  • UK housing shortage hits mortgage lending in December

    January 21, 2016

    Mortgage lending fell in December as a shortage of new homes, higher prices and recent government measures such as stamp duty reforms weighed on the property market. Figures from e.surv chartered surveyors today showed there were 68,218 house purchase approvals in December, down 3.1 per cent from 70,410 in November. E.surv director Richard Sexton, said. [...]

  • Wall Street closes down after volatile day which saw S&P 500 reach new year lows

    January 20, 2016

    The Nasdaq, Dow Jones and the S&P 500 all closed down in New York after a rollercoaster ride today. Wall Street was heading for record losses but managed a late (sort of) rally before the close.  The S&P 500 was at its lowest in over a year, losing 21.92 points, or 1.17 per cent, to 1,859.41. The Dow Jones staged [...]

  • Market volatility takes its toll on hedge funds, as returns slip to lowest levels since 2011

    January 20, 2016

    Hedge funds had their worst performing year last year since 2011, posting returns of 2.02 per cent, according to the latest data from Preqin. December was a tough month, with the funds on Preqin's all strategies benchmark posting negative returns of 0.4 per cent on average, bringing the total to five months with negative returns last year. [...]

  • Investor optimism on world economy drops to four-year low – Bank of America Merrill Lynch fund manager survey

    January 20, 2016

    Investors are at their most bearish on the global economy since 2012, according to survey data published by Bank of America Merrill Lynch today. The difference between the percentage of fund managers who said the economy would strengthen over the next 12 months and those that said it would not was eight per cent. The net balance [...]

  • US WTI crude oil below $27 as MSCI’s benchmark global stock index enters bear market territory

    January 20, 2016

    US crude oil dipped below $27 per barrel today, while the MSCI's benchmark global stock index fell into a bear market. West Texas Intermediate crude, the US benchmark, slumped 5.73 per cent to $26.83 per barrel. And Brent, the global benchmark, shed 4.35 per cent to $27.51. Concern over lower for even longer oil prices have dominated Davos, an annual meeting [...]

  • BP boss Bob Dudley: Oil prices falling to $10 “not impossible”

    January 20, 2016

    BP's chief executive, Bob Dudley, has said it's "not impossible" oil prices will fall as low as $10 per barrel, as some analysts have predicted. Standard Chartered previously warned a worse-case scenario could see oil fall to this level, because its being moved by changes in other assets prices such as the US dollar and stocks, rather [...]

  • Canadian dollar jumps as Bank of Canada holds fire on interest rates despite further fall in oil prices

    January 20, 2016

    The Bank of Canada kept interest rates on hold today despite widespread expectations of a cut.  The Canadian dollar, also called the loonie, rose 0.7 per cent against the US dollar. It now buys $0.6891.  Interest rates were kept at 0.5 per cent, with the Canadian central bank confident that the economy would quickly adjust [...]

  • UK house prices: Bexley, Cambridge, Bristol and Bedford among the UK’s hottest property spots, while Aberdeen, Stockton-on-Tees and Bradford are “coldest”

    January 20, 2016

    Cambridge, Bristol and Bedford are among the regional cities vying with Greater London as the top 10 hottest property spots in the country – but Aberdeen, Stockton-on-Tees and Bradford are where demand is weakest.  That's according to online estate agent Emoov, which puts the London Borough of Bexley at the top of its index for the last [...]

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