UK government quietly axes more than two dozen new road schemes
Cost-saving move raises questions about commitment to regional growth just as Andy Burnham pushes devolution as way to kick-start economy
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Cost-saving move raises questions about commitment to regional growth just as Andy Burnham pushes devolution as way to kick-start economy
Slowing margin-debt growth could signal growing risks for stocks.
Our message to Chancellor John Healey: "We need a Budget that fans the embers of economic growth, and that creates jobs for the near one million Neets and older workers alike"
Amazon, Microsoft and Alphabet are expected to report accelerating cloud growth this week, but turbulence in global markets and mounting concerns over the cost of financing AI investments are clouding the outlook. Investors are pressing for evidence that the AI boom can deliver swift returns to justify its enormous price tag.
Rising bond yields at AI cloud providers such as CoreWeave and record costs to insure Meta Platform's debt have amplified concerns about how the massive AI infrastructure buildout is being funded, particularly as higher U.S. interest rates loom. Market turmoil has rekindled warnings of an AI bubble from investors, including hedge fund Citadel's founder Ken Griffin, and pushed companies to delay their IPOs.
An expected Democratic sweep of the U.S. midterm elections could spell more trouble for data centers that are already a target of protests over their impact on power grids, electricity bills and the environment. China's tech-stock boom has unravelled, wiping out about $480 billion in market value in less than four months as concerns over AI demand and spending an
The Korean won edged down against the U.S. dollar Tuesday, as traders have kept a close watch on a Federal Reserve meeting this week. The won was quoted at 1,323.7 won per dollar at 3:30 p.m., down 0.6 won from the close of the previous stock trading session.
At one point in morning trading, the won advanced to a high of 1,322.8 won per dollar, helped by stronger-than-expected economic growth in the third quarter. The nation's economy grew 1 percent in the July-September period, thanks to semiconductor-led exports and investment. Foreign investors purchased a net 592.9 billion won ($447 million) worth of local shares during the latest regular stock trading session, with the benchmark Korea Composite Stock Price Index gaining 3.09 percent to close at 5,638.34.
Removing tariffs on more than 100 products, including gherkins and baked beans, was one of five measures announced this morning before tomorrow’s budgetIt is not just gherkins where the Treasury is cutting import tariffs. (See 9.07am.) Here is the lists from the Treasury of mostly food imports where tariffs are being cut.Garlic (8% + £100 per 100 kg)Gherkins (12%)Yes, I do.
We certainly stand taller in the world. The terrible projections of doom as to what would happen to our financial sector etc haven’t happened. Our growth rates are higher than our European competitors. Our exports, particularly of services to the European Union, have actually rocketed.
And we’ve now got more trade deals and more options around the rest of the world.Five months ago, Andy Burnham says … I’m not going to reopen these arguments.Two-and-a-half years ago, a Labour government got a massive majority in parliament saying we will not be re-entering the single market, the customs union, or opening up a debate on the free movement of people.
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Korea's economy is growing on the back of a semiconductor export boom, but consumers aren't feeling the benefits. Private consumption fell 0.2 percent in the third quarter from the previous quarter, marking its first decline since the second quarter of 2023, according to preliminary data on third quarter economic growth from the Bank of Korea (BOK), Tuesday.
Private spending growth had already slowed from 0.6 percent in the first quarter to 0.4 percent in the second before turning negative in the third. Spending declined for both goods, including cars and home appliances, and services, such as financial and dining services. The decline came even as the economy expanded 1 percent in the third quarter from the previous quarter, exceeding the central bank's forecast of 0.3 percent.
Weak private spending stood in contrast to stronger headline growth driven by robust semiconductor exports. While the export boom has lifted overall economic growth, its benefits have yet to result in a stronger recovery in domestic consumption. The BOK attributed the decline in private consumption partly to a drop
Rolling coverage of the latest economic and financial newsUK shop price inflation ‘highest since 2024’ as retailers struggle to limit price risesThe City is not impressed with HSBC’s financial results, having expected even higher profits.Shares in HSBC are down 6.7% in early trading, and appears to be pulling the rest of the banking sector down too.“You don’t usually get fireworks from HSBC results, and these are no exception.
There are signs of some improvement overall, and a boost to the buyback is welcome, but it’s clear why the market wasn’t really inspired by these numbers.HSBC seems to be doing ok, but ok doesn’t really cut it in a world where inflation is back on the menu and growth may start to slow.
At least it’s not exactly rolling in profits this time around, providing some useful air cover ahead of a UK budget that will may include another raid on banks.” Continue reading...
Asia's fourth-largest economy grows 3.4 percent year-on-year amid strong semiconductor demand.
Interactive maps give a picture of how economic fortunes in Britain have varied wildly over a stagnant decade
Somewhat unexpectedly, the global economy has weathered the challenges of the past few years extraordinarily well. Following the pandemic, shock followed shock — Russia’s war on Ukraine, Washington’s rejection of rule-based liberal trade, then most recently the war with Iran. Any one of these might’ve led you to expect a severe economic setback, let alone all three combined.
Yet global output kept on growing. The International Monetary Fund’s new World Economic Outlook grapples with this puzzle — and sounds a warning that governments would be wise to heed. The system’s resilience has indeed been impressive, but there are limits. Steady growth against the odds has surprised the IMF’s economists as much as anyone: They’ve underestimated year-ahead global growth in every annual forecast since 2023. They currently expect output to expand by a respectable 3.1 percent this year and 3.4 percent in 2027, noting that some countries are doing better than others.
The pattern has shifted in favor of those, like the U.S., with two key characteristics: limited exposure to the energ
Korean stocks traded higher late Tuesday morning, led by gains in technology shares, as renewed optimism over artificial intelligence (AI) and falling oil prices boosted risk appetite. After opening 3.46 percent higher, the benchmark Korea Composite Stock Price Index (KOSPI) extended its earlier gains to trade up 213.1 points, or 3.9 percent, to 5,682.6 as of 11:20 a.m.
Amid a rally driven by foreign buying, the Korea Exchange activated a buy-side sidecar at 10:13 a.m., suspending buy orders in program trading for KOSPI-listed shares for five minutes. The measure is triggered when KOSPI 200 futures rise at least 5 percent and remain at that level for one minute or longer.
Overnight, the Dow Jones Industrial Average gained 0.28 percent, while the S&P 500 advanced 0.7 percent and the tech-heavy Nasdaq Composite climbed 0.82 percent. Investor sentiment improved after AI startup Anthropic disclosed strong revenue growth in its U.S. initial public offering (IPO) filing, reigniting enthusiasm for AI-related stocks ahead of major tech earnings and the Federal Reserve's interest rate decision.
Oil
President Lee Jae Myung said Tuesday that Korea should learn from growing public protests in Europe, citing low growth as a potential reason for the unrest and stressing the importance of ensuring sustained growth at home. The president made the remarks at a Cabinet meeting, as a wave of protests and mass demonstrations over rising living costs and economic inequality has swept across European nations, including France, Spain and Italy.
"As large-scale protests have occurred recently in many European countries, social confusion and conflict have ensued," Lee said. "We should take the European situation as an example of what not to do." Lee said many experts pointed to high energy and living costs, a stagnant economy and accumulated inequality as factors gripping Europe, adding, "The biggest and most fundamental reason might be low growth."
"Prolonged low growth has worsened youth unemployment and (economic) polarization and weakened fiscal status, shaking social stability from the root," the president said of the European situation. Despite recent "impressive results" in Korea's economic
Samsung Electronics Executive Chairman Lee Jae-yong on Tuesday marked his 4th anniversary at the helm of Korea’s largest conglomerate. With Samsung Electronics set to become one of the world’s most profitable companies with over 100 trillion won in operating profit in the third quarter, Lee’s efforts to restore the company’s competitiveness in semiconductor and foster future growth businesses are becoming increasingly evident.
According to Samsung Electronics, the company will not hold an official ceremony to celebrate the anniversary, and Lee will also not issue a separate statement. Lee was promoted from vice chairman to executive chairman on Oct. 27, 2022, but both before and after his promotion, he has generally refrained from making public statements about the company at formal events, focusing instead on visiting business sites and meeting employees.
When Lee has spoken publicly, it has generally been at times when the company faced a crisis. Upon taking on the chairmanship, he wrote a message calling for investments in technologies that did not yet exist. In March last ye
Korea is "almost certain" to reach a gross national income (GNI) per capita of $40,000 this year, the finance ministry said Tuesday, as Asia's No. 4 economy grew 1 percent in the third quarter from the previous three-month period, driven by strong exports and investment.
The Ministry of Finance and Economy made the assessment following the release of advance third-quarter data from the Bank of Korea (BOK), which would mark a new milestone after the country's per capita GNI, a gauge of the population's purchasing power, first surpassed the $30,000 mark in 2014. "Korea maintained solid growth despite a high base effect from the first half, raising the possibility of growth in the mid-3 percent range this year," the finance ministry said.
Finance Minister Lee Hyoung-il said this month Korea's economic growth for 2026 could range from 3.4 percent to 3.6 percent. "The GNI per capita is almost certain to hit $40,000 for the first time ever," it added. The International Monetary Fund also recently projected Korea's per capita GNI would reach the $40,000 level in 2026 and $50,000 in 2028. The fina
Korean stocks opened higher Tuesday, tracking overnight gains on Wall Street, as renewed optimism over artificial intelligence (AI) and easing oil prices lifted investor sentiment. The benchmark Korea Composite Stock Price Index (KOSPI) rose 189.18 points, or 3.46 percent, to 5,658.65 as of 9:15 a.m.
Overnight, the Dow Jones Industrial Average gained 0.28 percent, while the S&P 500 advanced 0.7 percent and the tech-heavy Nasdaq Composite climbed 0.82 percent. Investor sentiment improved after AI startup Anthropic disclosed strong revenue growth in its U.S. initial public offering (IPO) filing, reigniting enthusiasm for AI-related stocks ahead of major tech earnings and the Federal Reserve's interest rate decision.
Oil prices also retreated on hopes of easing tensions in the Middle East, following reports of Qatari mediation efforts involving Iran and the United States. KOSPI heavyweights rose across the board. Market bellwether Samsung Electronics gained 4.69 percent, and chip giant SK hynix increased 7.14 percent.
SK Square, the parent firm of SK hynix, jumped 10.4 percent, and Samsung Ele
Korea's economy expanded 1 percent in the third quarter from the previous quarter, extending its stronger-than-expected recovery on the back of booming semiconductor exports, the Bank of Korea (BOK) said Tuesday. Preliminary data from the central bank showed that real gross domestic product (GDP) rose 1 percent in the July-September period, exceeding the BOK's own projection of 0.3 percent for the quarter.
Facilities investment rose 4.1 percent, mainly on increased investment in machinery, including semiconductor manufacturing equipment. Investment in intellectual property products grew 2.3 percent as spending on research and development and software increased. Exports grew 2.3 percent, driven mainly by semiconductors and machinery and electrical equipment.
Imports rose 2.4 percent, led by increases in crude oil and semiconductor manufacturing equipment. The stronger-than-expected growth puts the economy on a firmer footing to meet the BOK's growth forecast of 3.3 percent for this year, released in August. The country's quarterly growth rebounded sharply from a 0.1 percent contraction in
The AI giant behind Claude has filed its plans to float on the share market. Wall Street has rallied, led by tech stocks. Follow the day's events and insights from our business reporters on the ABC News live markets blog.
Samsung Electronics Executive Chairman Lee Jae-yong on Tuesday marked his 4th anniversary at the helm of Korea’s largest conglomerate. With Samsung Electronics set to become one of the world’s most profitable companies with over 100 trillion won in operating profit in the third quarter, Lee’s efforts to restore the company’s competitiveness in semiconductor and foster future growth businesses are becoming increasingly evident.
According to Samsung Electronics, the company will not hold an official ceremony to celebrate the anniversary, and Lee will also not issue a separate statement. Lee was promoted from vice chairman to executive chairman on Oct. 27, 2022, but both before and after his promotion, he has generally refrained from making public statements about the company at formal events, focusing instead on visiting business sites and meeting employees.
When Lee has spoken publicly, it has generally been at times when the company faced a crisis. Upon taking on the chairmanship, he wrote a message calling for investments in technologies that did not yet exist. In March last ye
Exclusive: Ahead of Wednesday’s Budget an influential group of female Labour MPs will publish a collection of essays telling the chancellor that he needs to make the economy work better for women if they want economic growth
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PM says talking about changing the relationship with the bloc would not be divisive but ‘can start to bring people together’Good morning. Andy Burnham started budget week with an interview on ITV’s Good Morning Britain with Susanna Reid and Richard Madeley. There were plenty of decent lines in it, but some of his most intriguing comments were about Brexit.
Yesterday opposition parties (and even in private some Labour MPs) were criticising the PM for saying in a Sunday Times interview that he would be willing to consider going into the next election proposing accepting EU free movement rules. This was treated as if it was a novel outrage – even though at Labour conference Burnham announced that rejoining the EU could end up as the best option to emerge from his proposed renegotiation of the Brexit settlement, which of course would automatically involve accepting free movement.Neil Kinnock said recently he thought Burnham was determined to take Britain back in the EU, but in his interview this morning Burnham insisted that he was not dogmatic in that way.
When Madeley asked him if he saw himself as someone “destined” to be the PM would take Britain back in, Burnham replied:Honestly, I don’t.I see it as my job to be pragmatic about the whole situation. Can I make it work better? Can I add growth to the British economy?I’ve said – I’m going to be honest – in my lifetime I would like to see that happen, but I am not going to move ahead of the public.
I am not going to dictate in terms of my own opinions here. You have to make sure that the British public are the bosses here.And [to] go back to Brexit, by just talking about it in a more practical way, by being honest about it … that can start to bring people together who voted in different ways.The divides that we’ve lived through in the last decade really do need to end, and we need to pull people together …My mind is not on that [an early election].
I don’t know if that is coming over here, but it genuinely is not on that. There is no election coming anytime soon. People may as well just put that out of their mind. Continue reading...
Cashbuild expects trading conditions to remain challenging into 2027 as weak economic growth, high unemployment and rising living…