It is the first market update of the trading month, and in the UK the countdown to Christmas begins. If the shorter hours of day light hadn’t reminded people that is now winter, then the freezing temperatures over the last few days have. The shops on the UK seem to be attempting a first mover advantage, with many slashing prices prior to their busiest period. I briefly ventured into a few shops at the weekend and was amazed to see how many retailers were offering discounts! Many chains are currently thought of as “business-zombies” barely staying afloat, if it wasn’t for the low-interest rates. The early aggressive reductions and likely lower consumer spending, highlight further retail collapses in the coming quarters.
Over the weekend Chancellor of the Exchequer George Osborne, has admitted that the UK is struggling to pay down its debt at the rates forecast. The government will need to extend their targets, and increase cuts to enable Britain to manoeuvre out of this debt-ridden recession. Unsurprisingly the opposition were quick to highlight Osborne’s admissions as a Conservative failure.
The CityAM is stating that today will be the biggest day of online spending in British history, as shoppers attempt to organise their Christmas purchases.
HSBC to sell £25bn of toxic US debt -The Daily Telegraph
RBS unveils its 10-year plan to fully return the government backed bank to the private sector – The Times
Politicians across Europe are urging their governments to demand a crackdown on alleged Russian money-laundering in Cyprus as a condition of the bailout -The Daily Telegraph
Economic Data: A raft of European PMI before 9am (London) and UK PMI at 9:30am