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Tag: economy

Hot summer gives boost to UK economy

Hot summer gives boost to UK economy

Business
The UK economy grew by 0.7% in the three months to August, buoyed by the hot summer, the Office for National Statistics said.But the ONS said that in August, GDP growth was flat. Economists had predicted 0.1% growth.The three-month measure was the fastest pace of growth since February 2017, economists said.The ONS's head of GDP, Rob Kent-Smith, said the economy had "continued to rebound strongly after a weak spring".He said "retail, food and drink production and house building all performing particularly well during the hot summer months"."However, long-term growth continues to lag behind its historical trend," Mr Kent-Smith added. The ONS has introduced monthly measures of GDP and provides three-month rolling growth figu...
Stocks Get Burned by Hot Economy

Stocks Get Burned by Hot Economy

Finance
Shutterstock photo Rising rates have been on the market's mind for several sessions now, but it was on Thursday when fears really took a bite out of stocks. While the major indices came off their lows by the closing bell, each of the Big 3 still took a healthy step backward. The NASDAQ suffered through the steepest drop with a plunge of 1.81% to 7879.51. The FANGs got shellacked led by a 3.55% drop in Netflix (NFLX). The rest of them were down by more than 2%, except for Apple (AAPL, -1.76%). In addition to the general malaise caused by rising rates, this index also got hit by a news report claiming that Chinese microchips were found in equipment from t...
No-deal Brexit would hit UK economy, says IMF

No-deal Brexit would hit UK economy, says IMF

Business
The International Monetary Fund has warned that a "no-deal" Brexit on World Trade Organization terms would entail "substantial costs" for the UK economy. Such an outcome would affect "to a lesser extent" other EU economies. It said challenges in getting a deal done were "daunting" and warned against further UK interest rate rises. The IMF said it expected Britain's economy would grow by about 1.5% a year in 2018 and 2019 if a broad Brexit agreement was struck.Christine Lagarde, the IMF's managing director, added: "Those projections assume a timely deal with the EU on a broad free trade agreement and a relatively orderly Brexit process after that."The IMF said that all likely Brexit scenarios would "entail costs for the UK economy...
The US economy needs seniors to work longer. Here's how to make that happen

The US economy needs seniors to work longer. Here's how to make that happen

Finance
These teachers work extra jobs to pay the bills When she retired from her job as a legal secretary for the federal government at age 62, Linda Spencer thought retirement would be a blast. Then the Great Recession blew a hole in her savings, and free time wasn't much fun without cash to travel and buy the nice clothes she'd gotten a taste for while working at Saks Fifth Avenue decades earlier. "I had nothing to do and I got bored and I needed money," says Spencer, 68, who laughs loudly and wears red lipstick. Jobs were scarce when she went out looking a couple of years ago, and so she found the federally-funded Senior Community Service Employment Program, which helps low-income seniors find employment in Northern Virginia. It pays minimum wage, or $ 7.25 an hour, for he...
Muted bounce-back after freeze hits economy

Muted bounce-back after freeze hits economy

Business
Britain's dominant services sector managed only a muted recovery last month after snow disruption in March - leaving the wider economy on course to extend its weak growth spell.Figures from the sector - taken together with monthly surveys from the manufacturing and construction industries - pointed to a quarterly GDP growth rate of about 0.25% at the start of the second quarter.The pound briefly slipped below $ 1.36 against the US dollar on the report, which comes after official data last week showed first quarter growth at 0.1%, its slowest pace since 2012.Disappointing economic figures over recent days have sharply reduced earlier expectations that the Bank of England's Monetary Policy Committee (MPC) would hike interest rates next week.The latest services sector figures, from the IHS Ma...