U.K. election date lifts fog over promising market recovery

  • 📰 globeandmail
  • ⏱ Reading Time:
  • 46 sec. here
  • 49 min. at publisher
  • 📊 Quality Score:
  • News: 186%
  • Publisher: 92%

Canadian News News

Canada News,Breaking News Video,Canadian Breaking News

Market focus likely to remain on inflation, rates

Britain's Prime Minister and Conservative Party leader Rishi Sunak speaks with brewery workers at Vale of Glamorgan Brewery, as part of a campaign event ahead of a general election on July 4, in Barry, south Wales, Britain, May 23.A surprise British general election in July has removed a layer of uncertainty for UK markets, leaving investors to focus on the outlook for interest rates and the economy as the dominant forces driving the pound, stocks and bonds.

A shared aim of Sunak and Starmer will be to avoid upsetting a tentative calm in markets with any major fiscal announcements, analysts say. Karimalis said investors will pay particular attention to Labour’s plans but will continue to be influenced by the domestic and global economy. “Basically markets just rallied straight through that . There wasn’t a lot of policy change on the table and there wasn’t a lot of election uncertainty,” he said.

Sterling has risen around 2% so far this month thanks in part to surprisingly strong British growth data, a welcome sign for Sunak. Yet it has also been driven by inflation remaining hotter at home and in the U.S. and markets pushing back their bets on Bank of England rate cuts.

Ed Hutchings, head of rates at Aviva Investors, said the firm’s preference is to hold gilts ahead of U.S. and European debt, although it is a relatively cautious wager.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 5. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

In the Market: Economic surprises are messing with the market's favorite recession predictorA bond market anomaly that has reliably predicted a U.S. recession in the past may normalize this year in a highly unusual manner. The market signal, called...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

In the Market: Economic surprises are messing with the market's favorite recession predictorExplore stories from Atlantic Canada.
Source: SaltWire Network - 🏆 45. / 63 Read more »

Record market highs, Cisco earnings: Market Domination OvertimeOn today's episode of Market Domination Overtime, Yahoo Finance Hosts Julie Hyman and Josh Lipton reflect on the trading day and break down what to watch on ...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Bull market 'still very young,' driven by strong earnings: market strategistOne market strategist says earnings are continuing to power recent gains in equity markets.
Source: BNNBloomberg - 🏆 83. / 50 Read more »

Financial market feud: Coinbase launches oil & gold futures, CME targets bitcoin spot marketThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Source: KitcoNewsNOW - 🏆 13. / 78 Read more »

Nvidia earnings, housing market outlook, BNPL regulatory pressure: Market DominationOn today's episode of Market Domination, Yahoo Finance hosts Julie Hyman and Josh Lipton break down the trading day's biggest stories and latest trends...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »