Inflation to rise 4 percent next year
UK inflation may “accelerate rapidly” in 2017, a leading think tank has warned.
The National Institute for Economic and Social Research forecast inflation rising to 4 percent by the end of 2017, nearly four times its current rate, due to the weakening of the pound. It also warned that the economy faces “significant risks” in the upcoming months.
In August, the NIESR forecast a rise to 3 percent next year. CPI inflation rose to 1 percent in September, according to the Office for National Statistics.
Standard Chartered results hit FTSE
Standard Chartered shares fell on Wednesday, despite increasing pre-tax profits by over $500 million.
The bank reported profits of $458m, compared with a $139m loss last year. However investors remained unimpressed by the figures, sending shares down nearly 4 percent in early trading.
Chief executive Bill Winters said “income and profit levels are not yet acceptable”, and warned that the bank may be facing legal action from Hong Kong’s financial regulator.
Standard Chartered (LON:STAN) shares are currently trading down 3.85 percent at 646.80 (0936GMT).
House price growth stagnates in October
British house prices stagnated in October for the first time in 15 months.
Mortgage lender Nationwide, who compiled the figures, said it was evident of a slowing housing market in the wake of Brexit.
House prices were flat last month, compared to a 0.3 percent rise in September and a 4.6 percent rise in October last year. Reuters economists had estimated a 0.2 percent price rise.
02/11/2016
