Straticator
MetaTrader 4
Vertex FX 10

The UK Will Miss Both Growth And Debt Targets

On Wednesday George Osborne admitted that the UK government had failed to meet both its growth and debt forecasts that it had set. This was an embarrassing moment for the Chancellor , as previous austerity measures laid out in “plan A,” were set in order to gain control over the spiralling UK national debt. Further austerity measures were introduce as Osborne attempts to balance the books, which notably have been considerably impacted by global crisis in the US and Europe.  During his speech Sterling and Gilts slowly weakened, but the majority of what was announced had already been leaked or expected. Unsurprisingly Fitch ratings said that missing the self-imposed debt targets “weakens the credibility of the UK’s fiscal framework.” In short the prized AAA credit rating that enables the UK to borrow at low rates could be under threat, with a review expected in 2013.

According to a report release by the University of California, Los Angeles (UCLA) the US economy will grow at less than an annualised rate of 2% through the middle of 2013. The economist whose thoughts are detailed, it said to have looked beyond the imminent “fiscal cliff,” assuming an agreement would be made. The report also explained that if no agreement is made on the issue of the fiscal cliff, the US economy will be plunged back into recession, and an unemployment rate of above 9%.  

Headlines

Rivals protestors clash in Egypt

Overnight S&P cuts Greece rating to selective default

Tesco US chief quits retailer, following the likely  closure of the loss making US division

Deutsche Bank failed to recognize up to $12bn of paper losses during the financial crisi, helping the bank avoid a government bailout -Financial Times

Kodak gets $500m bid for a trove of digital patents – WSJ

Britain could lose its AAA credit rating after George Osborne admitted he will miss his target to reduce Britain’s debts and have to borrow an extra £100 billion – Daily Telegraph

Thai tycoon snaps up HSBC’s $5.8bn slice of insurer Ping An – CityAM

HSBC might pay $1.8 billion money laundering fine (sources) – Reuters

Rivals protestors clash outside the Egyptian Presidential Mohamed Mursi’s palace

Australia's unemployment rate falls to 5.2% in November

comments powered by Disqus
Request callback

Back to Top