Mid Week Update Wednesday, 8 July 2015
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Update Wednesday, 8 July 2015
As well as the obvious big stories notably Greece China and Barclays other issues and events have figured in today’s focus.
Gulfstream managed magic today with orders from China and other emerging markets setting a new course for them to become the biggest business jet maker by revenue.
So it would appear that despite some kind of meltdown on the China stock market, The outlook of business leaders in China for one is positive and optimistic, giving rise to increased luxury business expenditure on the back of improving sales revenues going forward.
The shortlist for buying Tesco’s South Korean subsidiary grows by one more as buyout firm KKR reinforces its interest in purchasing, improves its offer and re-joins the group of bidders. The sale of the subsidiary Homeplus is part of a wider overhauled by Tesco’s following a pre-tax annual loss of £6 billion, the worst its near hundred-year has seen. South Korea remains Tescos largest international market.
The UK FTSE actuarial index for 15 year gilt yield as at 8 July 2015 is 2.32
The UK government 10 year bond sits at 100.39 with a coupon of 2.00 and yield of 1.96 as at 8 July 2015.
Yesterday marked the first day when commodities were traded completely electronically at the Chicago Mercantile Exchange after about 150 years and generations of traders and brokers dealing and setting prices by “open outcry”. Finally, it all goes quiet “bar the shouting”!
And of course, here in the UK – today is BUDGET DAY. More to follow.
Inflation Target expected to stay in place: 2.0% based on the Consumer Prices Index (CPI)
The Chancellor confirmed in his Budget Speech Wednesday 20th March 2013 that the 2% Inflation target for the Bank of England would stay in place.
The Government’s Inflation Target is announced each year by the Chancellor of the Exchequer in the annual Budget statement. The Bank of England Monetary Policy Committee has as one of its aims, the aim to set interest rates so that over- or under- inflation can be brought back to Inflation Target over a reasonable time period without creating undue instability in the economy. Inflation Target is not a permanently fixed level and may vary depending on prevailing economic and fiscal conditions.
KEY to Important Indeces:
RONIA – Repurchase Overnight Index Average Rate – Launched June 2011
Changes to Method of Calculating Inflation Measurement Index – March 2013
pmL Metal and Precious Metal Pricing used in Market Numbers
lme3 – London Metal Exchange 3 months
[}{] – Denotes a Stock or Share of a FT Global 500 company
xd – Denotes a Stock or Share price quoted as ex-dividend
xc – Denotes a Stock or Share price quoted as ex scrip dividend
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