Inflation falling (still) as the April numbers show negative inflation (-0.1%), for the first time in more than half a century. Negative inflation is the reflection of underlying weakness in the economic recovery! Some inflation is necessary in an economy, deflation raises the prospects of negative interest rates and funds chasing returns and potentially sidelining risk as the most important consideration from investment decision making process.
Tag: economy
The Day After the Night Before
Well so much for the polls, they all showed a dismal ability to get anywhere near the actual result. Back to the drawing board we would hope for the polling companies. How fast can their leaders resign? I doubt as quickly as the leaders of the defeated political parties.
Day of Election
Good weather today so should be a good turnout, but who knows which party will benefit the most from that… just got to decide how long to stay up watching the results, (and who is doing the school run in the morning!).
One Day to go Before the UK Election
Whatever your political views, the opposition parties Economic plans are not getting good press comment, and some commentators views of their abilities and agendas for the business community are less than complimentary to say the least.
The UK Parliamentary Elections
Looks like a hung parliament and another election in 12 months or less. The uncertainty is not good for decision making, either by Government, the BofE (Bank of England), companies or individuals. That has got to be negative for the British economy.
UK Economy: How Robust is the UK Recovery?
The services sector is as usual the primary driver of the economic recovery however the recovery is still exposed to downside risks such as geopolitical unrest in the Middle East and risks emanating from the Eurozone. There are potential upside benefits from the lower oil price, falling unemployment and real wage growth that should boost household spending and boost the economic recovery.
The UK Economy – The Impact of Lower Oil Prices
Lower oil prices are positive for the UK economy, with most sectors benefiting, consumers seeing an actual difference in the prices they pay, expect an effect on the UK inflation rate. This reduction is viewed as temporary and oil prices are expected to gradually rise over the months ahead.
Solutions Edge 