It’s the final trading session of the week in Europe and if you are one of the Apple faithful then you might have been queuing outside an Apple store overnight awaiting the iPhone 5 release. With pre orders topping $2 million, Apple has already released a statement stating that some clients will be unable to purchase the new smart phone until the end of October. It is a problem, that many companies would love to have, being unable to meet the demand upon release of a new product, with an estimated profit margin of $400 per unit.
Governor of the Bank of England Mervyn King, did his first televised interview yesterday evening on the British Channel 4 news. King was interviewed by veteran journalist Jon Snow, but stay calm and collected throughout. Some commentators said that Snow had been too easy on King and hadn’t pressed him further on certain questions. King did say that he expects modest growth in Q3, and that contingent plans had rightfully been put in place in case of a Eurozone demise. A key line from the interview was that King:
“If it's because the world economy has grown slowly, it would be acceptable [to miss the debt target].”
The clear facts from the interview were already known, the Eurozone crisis has had a direct impact on the UK, and the potential fallout of a breakup would be difficult but not unmanageable. There was some interesting comments on the #4King on Twitter, as everything from
Tougher Volcker rule said to be aim of Senate probe into JPMorgan trades - Bloomberg
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Brazils finance chief attacks US over QE3-Financial Times
Italy cut its 2012 GDP forecast to -2.4% from -1.2% and for 2013 to -0.2% from 0.5%
UK public finances are released at 9:30am (London) and will be closely watched by traders.
In yesterday’s Evening Standard (London paper) there was an interesting feature on “The greatest spread bets in history” and is definitely worth a read: