Blog With Tag ecb
UK GDP increased by 0.3% quarter-on-quarter in Q2, matching the second quarter estimate and the consensus however, the y-o-y growth rate was revised down to 1.5%, from 1.7%. In addition, the latest PMI survey showed a modest deceleration in the rates of expansion in UK manufacturing production and new orders. Exports remain a bright spot and are still rising at one of the strongest rates over the past six-and-a-half years however, manufacturing is also increasingly being impacted by rising cost inflationary pressures due to rising commodity prices and higher import costs from the historically weak sterling exchange rate.
PegasusCapital - Wed 4th Oct
A new year and a new political landscape is dawning. The consequences of electing Donald Trump as President, voting for Brexit and the elections in Europe will undoubtedly take centre stage this year. As usual we will try and avoid the “fake news” and the spin doctors and concentrate on the fiscal reality!
PegasusCapital - Fri 10th Feb
As one European country (Iceland) phases out capital controls as it emerges from the 2007/2008 financial crisis and the failure of its banking system, another imposes capital controls and faces the prospect of one or more of its banks failing depending on the decisions to be taken by the ECB.
PegasusCapital - Wed 1st Jul
“The secret of change is to focus all of your energy not on fighting the old, but on building the new” said Socrates some 2,500 years ago. The voters of modern Greece have had enough of fighting the old EU imposed austerity and have voted for change in the form of a new force in Greek politics. With Greece’s debt at 175% of GDP and unemployment at 26%, the Greek government is looking to a new agreement with its creditors that would tie its repayment obligations to growth rather than austerity. This may avoid a loss of face for either side but may take time to negotiate; with 3 year bond yields climbing above 19% and Greek bank shares falling 25% a stand-off between Athens and the ECB will only exacerbate the situation.
PegasusCapital - Mon 2nd Feb
They think it’s all over…..well it is now for Quantative Easing in the US! In one of the biggest experiments ever in monetary policy management, the Federal Reserve has confirmed an end to its bond buying programme. On the face of it, this has been an undoubted success in saving the financial system from meltdown and giving corporate America time to recover and create new jobs. With unemployment dropping to 5.9% and the GDP for Q3 growing at more than 3%, its mission accomplished, so far. That said, the markets have changed their tune recently and investors interest rate rise expectations have moved out from Q2 to Q3 as the global economic outlook deteriorates, oil prices fall further and inflation is predicted to reduce in the coming months.
PegasusCapital - Mon 3rd Nov