FTSE 100 slumps 2pc as shock US inflation rise sparks global sell-off

GGood morning

A leading economic research group has pointed the finger at Rishi Sunak for wasting £11 billion of taxpayers’ money.

The National Institute of Economic and Social Research said the Chancellor was caught out for failing to insure against higher interest rates on £895 billion of money created by quantitative easing a year ago.

Jagjit Chadha, director of Niesr, said Mr Sunak’s decisions had left the UK with “a huge bill and a high level of ongoing interest rate risk”, adding it was the fault of the Treasury.

The losses reported by the Financial Times will be a new headache for the Chancellor as his response to the cost-of-living crisis is put to the test.

The Treasury said: “We have a clear funding strategy to meet government funding needs, which we set independently of the Bank of England’s monetary policy decisions.”

5 things to start the day off right

1) Steak shortages loom as fertilizer prices soar: Prices are already up 5 percent year-on-year, but are now predicted to go through the roof.

2) Asia’s richest man makes £5bn bid for Boots: Mukesh Ambani already owns English country club Stoke Park in Buckinghamshire and toy retailer Hamleys.

3) Christine Lagarde signals the end of the eurozone’s negative interest rate era: Europe’s interest rates will rise for the first time since 2011 from their current level of -0.5 percent.

4) Swedish sex toy maker abandons plans for £1bn float in London: Lelo will instead be looking for a buyer, blaming market volatility.

5) Deloitte denies not protecting ex-employees from bullying: Former worker says she now suffers from mental health issues after being ‘harassed’

what happened overnight

Hong Kong shares opened sharply lower this morning, with the Hang Seng Index falling 1.6 percent.

The Shanghai Composite Index fell 0.8 percent and the Shenzhen Composite Index on China’s second stock exchange fell 0.6 percent.

Tokyo stocks opened lower with the benchmark Nikkei 225 index falling 1 percent.

Comes today

  • Company: No scheduled updates
  • Business: Retail sales, PMI services (UNITED KINGDOM); factory orders (Germany); consumer credit (US) FTSE 100 slumps 2pc as shock US inflation rise sparks global sell-off

Russell Falcon is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – The content will be deleted within 24 hours.

Related Articles

Back to top button