Recession on business

Dogs Trust, which currently has 692 dogs needing homes in 21 centres across the country, said the last time it had seen anything like this was in the wake of the 2008 financial crash. (Representative image) Standing on her hind legs to greet any prospective owner who might approach her glass-doored kennel, Harriet is a black English cocker spaniel abandoned as a deepening cost-of-living crisis pushes growing numbers of Britons to part with their pets. She was found running along a busy road in London after witnesses saw her pushed out of a car and is one of 206 dogs and 164 cats currently being looked after at rehoming centres run by the Battersea animal charity. It is a similar story at other centres across the country – with some seeing record inquiries for dog and cat returns – as the tightest squeeze on living standards since at least the 1960s forces many owners to decide the additional cost of food plus hundreds of pounds in vet bills is no longer manageable. "We … [Read more...] about Cash-strapped Britons give up pets as country faces a long recession

Share to Twitter Share to Linkedin Topline Consumer price inflation in the U.K. soared past 10% in July—the highest it has been in 40 years—the U.K.’s statistics office reported on Wednesday, a figure the nation’s central bank expects will rise further later this year and deepen economic pain for households. Key Facts According to the Office of National Statistics (ONS), the U.K.’s consumer prices index (CPI) rose 10.1% in the year to July 2022, up from 9.4% in June, which is the highest it has been since the current statistical model went into effect in 1997. Estimates by the ONS suggest the last time the country’s CPI rate was higher was back in 1982. Rising costs of energy and fuel remain the largest contributor to the rise in the annual inflation rate according to the report as Europe continues to reel from Russia’s reduction in energy supply to the continent. The ONS also noted that rising food prices were the biggest factor … [Read more...] about U.K. Inflation Hits 40-Year High Of 10% As It Bucks G7 Trend—And It’s Expected To Get Worse

- A + A (Aug 18): Oil rose for a second day as a bullish US stockpile report eased fears of an economic slowdown. West Texas Intermediate climbed as much as 2.2% to over US$90 a barrel on Thursday. This week’s Energy Information Administration report offset some of the gloom over a potential recession. US crude stockpiles sank by 7.06 million barrels last week, exports rose to a record and gasoline demand climbed to the highest this year. The report surprised markets by signaling “the fundamentals may not be as negative to crude as thought just a week ago,” said Dennis Kissler, senior vice president of trading at BOK Financial. “However, traders are still worried about the overall economic outlook going forward, it’s keeping a very nervous trade to the futures market” Prices are fluctuating partially because of declining market liquidity. Aggregate open interest over WTI contracts yesterday was the lowest since January 2015 at 1.54 million contracts. Crude is … [Read more...] about Oil rises as strong US demand eases fears of economic slowdown

- A + A (Aug 18): If Wall Street is right, the big revival in value investing in the post-lockdown era is in danger of falling apart all thanks to the resurgent bond market. Strategists from JPMorgan Chase & Co to Wells Fargo & Co warn that the best days may now be over for cheap-looking stocks as investors dump the likes of oil producers and banks on the conviction that inflation has peaked. With traders wagering that an economic slowdown will cool historic price pressures, a long-short value trade has dropped 13% since the mid-June high point in bond yields. At the same time, companies touted for their above-average potential to expand profits, known as growth stocks, outperformed their value counterparts by the most in 22 years in July, MSCI indexes show, after Big Tech names from Apple Inc to Amazon.com Inc rebounded. And for the first time in two years, a majority of investors polled by Bank of America Corp in early August said value will trail … [Read more...] about Value trade crumbles on Wall Street, putting quant funds at risk

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,508.05 points on Thursday, down 8.42 points, or 0.33 percent, from the previous trading day. [YONHAP] Shares closed lower Thursday as investors digested Federal Reserve minutes that hinted at more aggressive interest rate hikes to temper inflation. The won fell against the dollar. The Kospi fell 8.42 points, or 0.33 percent, to close at 2,508.05 points. Trading volume was moderate at about 370.84 million shares worth 6.98 trillion won ($5.3 billion), with losers outnumbering gainers 542 to 301. Institutions sold a net 446 billion won worth of stocks, offsetting foreigner and individual combined purchases valued at 440 billion won. In the minutes released Wednesday, Fed policymakers projected the economy to expand in the second half of 2022 and made it clear that they intend to continue raising rates enough to cool the economy and combat inflation. The Fed raised its benchmark interest rate … [Read more...] about Stocks retreat as Fed minutes suggest more rate rises

Make that four weeks in a row of gains for the U.S. stock market, as the rally has become undeniable. The S&P 500 and the Nasdaq both climbed more than 3% last week, with the the Dow up 2.9%. The S&P 500 has now climbed 15% from its lows in mid-June, while the Nasdaq has clawed back 20% since then. That could technically be described as a new bull market for the index. A 20% retracement from a recent low fits the bill—or the bull—but there are a lot of opinions about that. But we can't deny the strength of the rally, especially when we dig into the charts. The average stock in the Nasdaq Composite index is up 34% from its lows. Remember, just a few months ago, we were talking about the average Nasdaq stock being down 50% from its highs. The pendulum has swung back in a big way. Across the market, the breadth thrust has been pretty impressive. And no, that's not a swimming stroke. The breath trust indicator is a technical indicator used to ascertain market momentum … [Read more...] about Going Back to School with Stock Market Fundamentals