It’s never good when a Friday feels more complex than a Tuesday. Markets are flat after struggling to interpret yesterday’s news from the Bank of England (BoE). There’s a lot to unpack, but here’s a taster. There will be an extra £100bn of bond-buying, but at a slower pace. It is concerned about the economy’s recovery, but April’s GDP plunge was milder than expected. However, the Institute for Fiscal Studies and Citi think it will actually take longer to recover than the BoE says. Ah. A lot is hanging on whether EU countries can agree over the €750bn bailout, too.
So, what do we know? UK debt is now more than 100% of GDP for the first time since the 1960s, and the government has ditched its own contact tracing app for a Google/Apple solution. But at least we can all get behind an extra £1bn for schools.
With today’s ‘Juneteenth’ carrying extra significance this year, the BoE is taking down portraits of governors linked to the slave trade and Caribbean states say ‘sorry’ isn’t enough from UK financial institutions.
And as confirmed cases on the John Hopkins ‘Dashboard of Death’ close in on 8.5 million, it’s confusing to discover that Europe’s newest export to China is an evolved strain of the virus. Hyve Group are also China bound. And no one’s saying who’s hacking Australia…
So, where is the actual certainty? CCTV shows the Ilford spice heist was easy to pull off – £50,000 of saffron only weighs 10kg. That’s more valuable than gold. And Edison’s Charlie Gibson has been talking to the LSE about his certainty that gold prices could still rise higher if the Fed keeps injecting funds. Science can now also explain a classic optical illusion. And as the Wirecard drama continues to unfold, one UK fund manager is feeling certain enough – he has dumped his entire holding.
The Stream Team