The World Bank has warned that the Middle East conflict could slow global economic growth to 2.5% in 2026, down from 2.9%, due to surging energy prices and inflation. Developing countries are particularly at risk, with the bank pledging up to $100bn in support.
The World Bank forecasts global economic growth to slow to 2.5% this year, citing the Middle East war, rising inflation, and borrowing costs. The report highlights potential disruptions to oil flows, increased fertilizer prices, and a widening gap between developed and developing nations.
The ongoing war may continue to affect consumer and business sentiment in the Asia-Pacific region due to higher energy prices and supply chain disruptions, despite CFOs remaining cautiously optimistic about business prospects.
Bank of England Governor Andrew Bailey indicates no immediate interest rate hike due to uncertainty over the Iran war and weak UK growth, tolerating temporary above-target inflation but warns of action if second-round effects emerge.
U.S. Treasury yields rose across the curve as oil prices climbed and investors refocused on inflation risks. The move followed a rebound after Wednesday’s sharp decline, with Fed minutes adding to rate-hike concerns.
G7 finance ministers and central bank governors meet in Paris to discuss rising debt pressures, the risk of recession, and the economic impact of the Iran war. Meanwhile, Putin visits Beijing, and Ryanair reports a 40% profit jump.
G7 finance ministers convene in Paris amid concerns over global economic exposure to external shocks, particularly from the Middle East. Rising oil prices and bond yields in several G7 nations highlight the interconnectedness of the global economy.
The pound dropped 2% to a 5-week low at $1.336 amid expectations of a leadership challenge to UK PM Keir Starmer by Manchester Mayor Andy Burnham, sparking concerns over potential loosening of fiscal rules and increased borrowing.
UK 10-year bond yields surge to 5.168%, a high since June 2008, amid potential leadership challenge to PM Sir Keir Starmer by Andy Burnham, exacerbating investor concerns over debt repayment and policy uncertainty.
UK borrowing costs spike and the pound falls as markets react to Andy Burnham's potential Labour leadership bid, signaling concerns over increased borrowing under his leadership.
UK government borrowing costs surge to an 18-year high and the pound falls amid market concerns over Andy Burnham's potential Labour leadership, citing fears of increased borrowing under his leadership.
UK government bond yields have surged and the pound has fallen to a five-week low as markets react to Andy Burnham's potential bid for the Labour leadership, signaling investor concern over political instability and future fiscal policy.
UK government borrowing costs and 10-year bond yields have increased, while the pound has fallen against the dollar, amid market concerns over Andy Burnham's Labour leadership bid, which is perceived as potentially leading to increased borrowing and a shift to the left.
Housing Secretary Steve Reed defends Keir Starmer amid popularity concerns, urging Labour to focus on national change over internal conflicts, as Andy Burnham is tipped for a potential leadership bid.
The UK bond market sees sharp sell-off as Keir Starmer's leadership is challenged, fearing political instability and higher borrowing, reminiscent of Liz Truss's tenure.
UK long-term bond yields hit 28-year highs amid Labour leadership uncertainty and Reform party's electoral gains, sparking investor concerns over potential leftward shift and looser fiscal policies.
UK long-term bond yields hit 28-year highs amid Labour leadership uncertainty and Reform party's election gains, triggering investor concerns over potential leftward shift, higher borrowing, and spending.
The UK bond market is experiencing significant volatility, with long-term yields hitting 28-year highs. Investor jitters stem from potential Labour leadership changes and the rising influence of the Reform Party, signaling concerns over future fiscal policy.
Bond yields soar and pound falls against dollar as investors brace for potential Labour leadership changeBusiness live – latest updatesUK politics live – latest updatesLong-term UK borrowing costs soared to the highest level in almost three decades on Tuesday as fears about a change of Labour leadership triggered investor jitters and warnings of further bond market turmoil.With investors worried about potential changes to Labour’s tax and spending plans, the yield – in effect the interest rate – on 30-year government bonds, or gilts hit a high on Tuesday of 5.81%, a rise of 14 basis points and the highest since 1998. Continue reading...
The possibility of a change of leadership in the UK has unsettled some investors and sent bond yields higher.
UK bond yields hit highest since 1998 this morning, before easing back as some cabinet ministers voiced support for Keir StarmerPolitics live: Keir Starmer tells cabinet he is not resigning amid growing pressure to stand downStarmer on the brink as cabinet ministers urge him to quitChris Beauchamp, chief market analyst at investing and trading platform IG, says:There is no clear plan for what comes next, but markets are already pricing in a new PM who will open the floodgates on spending despite the UK’s dangerous fiscal situation.Faced with hordes of Labour MPs worried about their re-election chances as Reform surges, a new PM will find it very hard to resist calls to spend more money in order to shore up their embattled party.We could see a blowout in longer-dated gilts if this turns into a dogfight– political, fiscal and inflationary risks will rise.Markets tend to dislike a lack of certainty over who runs a government; the fiscal position is already fragile and likely to become worse should a left-leaning ticket prioritise spending; and that this makes inflation stickier. Continue reading...
The possibility of a change of leadership in the UK has unsettled some investors and sent bond yields higher.
The possibility of a change of leadership in the UK has unsettled some investors and sent bond yields higher.
More than 70 Labour MPs have called on Keir Starmer to resign.
