Following the EU referendum, financial markets initially expected the worst, with the weakness of the pound the clearest indication of deteriorating sentiment. And yet, many saw the depreciation as an opportunity for the economy to rebalance away from consumer spending and towards more trade. With this in mind, how successful has the UK been?
“We trust that the government will take all the appropriate actions” – Jean-Claude Trichet. Mario Draghi. That was the sign-off for the now infamous ECB letter sent to Silvio Berlusconi’s government during the height of the European sovereign debt crisis. Nearly seven years on, Italy has once again experienced financial market turmoil and the ECB this week will no doubt be asked many questions about the situation.
I'm not sure exactly why Queen's "Don't stop me now" has been stuck in my head...something to do with football and wishing not to get knocked out maybe...we were having such a good time! Anyway, as I say in this Sky News interview on the Ian King Show, only a big shock would stop the Bank of England from hiking in August. I also discuss the merits of the new monthly GDP data.
For a small economy, Greece has kept European economists like me very busy, particularly at times of economic and political stress. Here are my key takeaways from a recent trip meeting policymakers, investors and analysts.
Here’s my take on the latest UK GDP numbers, the economic outlook and what that means for the Bank of England’s reaction function on CNBC.
Here’s my take from CNBC on the sizeable tail risks in the Italian market, including the prospect of early elections.
Fears over Italian debt levels have risen sharply following the announcement of the country’s three-year fiscal plan. Should investors be worried?