Thanks for joining me. Britain’s economy flatlined in the third quarter, according to the Office for National Statistics.

Gross domestic product was unchanged in a blow to the Chancellor ahead of the Budget later this month.

5 things to start your day 

1) Central Asian drug money is being washed through the City of London, MPs warn | Law enforcement agencies lack the resources to enforce measures against oligarchs in question

2) Sorrell’s revenge dream is dead. He needs to find a way out | As S4 Capital goes from bad to worse, only a swift exit can save Sir Martin’s reputation from irreparable damage

3) Europe is slowly destroying itself as it heads for another lost decade | The Continent is doomed to struggle on with its own deformed creation

4) How unpredictable weather is squeezing the arteries of global trade | Shipping costs are climbing as the world grapples with the effects of climate change

5) Nimbys’ ‘green belt theology’ blamed for blocking digital growth | Critics say Britain’s digital ambitions are at risk due to anti-development dogma

What happened overnight 

Asian shares retreated after rising bond market yields once again weighed on Wall Street, ending a lull in wider swings in prices during a brief respite from market moving data releases.

Investors in Asia are facing steady declines following a warning by US Federal Reserve chairman Jerome Powell that interest rates, already at their highest level in more than two decades, might need to climb further. Benchmarks dropped more than 1pc in Hong Kong and South Korea.

The Hang Seng in Hong Kong dropped 1.7pc to 17,211.76 and the Shanghai Composite index slipped 0.6pc to 3,033.73.

A financial services business of China’s biggest bank, ICBC, said it was it by a ransomware attack that reportedly disrupted trading in the US Treasury market.

New York-based Industrial and Commercial Bank of China Financial Services handles trades and other services for financial institutions. It said it had isolated affected systems and that trades had cleared by Thursday. It was unclear how much of an impact the attack had on Treasury market trading.

Australia’s S&P/ASX 200 fell 0.6pc to 6,976.50. Tokyo’s Nikkei 225 index dropped 0.4pc to 32,533.12. Taiwan’s Taiex lost 0.4pc, and the SET in Bangkok dropped 0.6pc.

US stock markets dropped yesterday after the US Federal Reserve Chairman, Jerome Powell, said the bank “will not hesitate” to raise interest rates “if it becomes appropriate to tighten policy further”. 

The Dow Jones Industrial Average dropped 0.7pc, the S&P 500 Index fell 0.8pc and the Nasdaq Composite Index lost 0.9pc.

Treasury yields rose after Mr Powell’s comments, with 10-year bonds advancing 14 basis points.

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