Economic Update 16 Dec 2024 7 minute read
Fed expected to cut rates whilst BoE poised to hold
This morning saw the release of UK PMIs, with Manufacturing coming in below forecasts at 47.3, while Services continued to show expansion and exceed forecasts at 51.4. UK jobs data is due at 7am on Tuesday. Although markets expect the unemployment rate to...
Economic Update 09 Dec 2024 6 minute read
Weaker forecasts posted for UK GDP growth and consumer spending
In its October 2024 Economic and fiscal outlook, the Office for Budget Responsibility's (OBR) GDP growth forecast was 1.1% in 2024 and 2.0% in 2025. By contrast, the Treasury's November 2024 survey of independent forecasts showed an average forecast of 0.9% for...
Economic Update 02 Dec 2024 7 minute read
GBP recovers against the USD, after hitting six-month lows
The pound has weakened against the dollar and other currencies following the release of the UK Gross domestic product for Q3 on 15 November. GDP for the period July to September showed growth of only 0.1%, significantly lower than the 0.5% figure in...
Economic Update 25 Nov 2024 7 minute read
USD at six-month high against sterling and two-year high against the euro
The pound has weakened against the dollar and other currencies following the release of the UK Gross domestic product for Q3 on 15 November. GDP for the period July to September showed growth of only 0.1%, significantly lower than the 0.5% figure in...
Economic Update 18 Nov 2024 5 minute read
GBP/USD hits a four-month low and EUR/USD a one-year low as the dollar continues to make gains
In a widely expected move, the Bank of England cut interest rates by 25 basis points to 4.75% on Thursday. It is this year’s second cut in the base rate, which came down from 5.25% to 5% in August. With the US Dollar bolstered by the prospect of a Donald Trump presidency, the GBP/USD exchange rate had initially dipped by around...