Salient to Investors: Capital Economics says Britain could grow at a 4 percent annual rate in the second half of the decade as the recession has done little permanent damage and the economy’s supply potential recovers. Manufacturing, energy and construction will lead. Just last month, Capital projected 2013 UK growth of 0.2 percent,
READ MORE... →Salient to Investors: The UK said fields of shale gas in northern England are twice as large as previously estimated. A recovery rate of 10 percent, similar to fields in the US, would give the U.K. enough gas to meet demand for about 47 years. Lawrence Carter at Greenpeace said
READ MORE... →Salient to Investors: Fareed Zakaria said: The data is increasingly convincing that the Keynesians have been right, cutting spending in the kind of recession we have gone through will only hurt growth not help it. But spending on its own is not enough. For sustained growth in the long-term, countries
READ MORE... →Salient to Investors: Jim O’Neill writes: The rising success of German soccer clubs seems to say something about backbone and deep strength. Germany’s economic resilience owes much to the diffusion of its strength across a strikingly diverse range of big cities, uncommon in the rest of Europe. German soccer clubs have
READ MORE... →Salient to Investors: Colin Mayer at Harvard writes: British capitalism is the textbook description of how to organize capital markets and corporate sectors. Yet the performance of the British economy has been mediocre, with much of the population dissatisfied with economic and social conditions, large-scale manufacturing that has been decimated, decades of underinvestment
READ MORE... →Salient to Investors: The IMF says Britain’s failure to grow means it should ease its deficit-cutting plan. Bill Gross at Pimco said the UK and much of Europe are wrong to pursue fiscal austerity because it won’t deliver growth – a reversal of his 2010 view that the UK should tighten policy. Gross said that long-term
READ MORE... →Salient to Investors: Arne Rasmussen at Danske Bank said the outlook for the UK economy and the pound are bad and today’s jobs data is disappointing. Rasmussen says investors should not underestimate the possibility the BOE will act aggressively to support growth, and expects the pound to fall much further. Mike Amey
READ MORE... →Salient to Investors: Alan Higgins at Coutts said Osborne is limited and has to take from one hand to give to the other, and today’s statement is a small opening of the door for more monetary stimulus, though mainly a confirmation of business as usual. Higgins said the bigger news is
READ MORE... →Salient to Investors: Knight Frank said English rural land produced some of the best investment returns in Europe since 2007, appreciating by 51 percent versus a 19 percent rise got millionaires’ mansions in London and a loss for rest of the U.K. housing market. Tim Atkinson at J.H. Walter is not expecting an alteration in the
READ MORE... →Salient to Investors: Neil Jones at Mizuho Corporate Bank said people are looking to buy the dollar against the most vulnerable currencies, currently the pound and yen. Jones cited much uncertainty about the U.K. economic outlook. Scott Thiel at BlackRock said it sold the Pound after the Bank of England left
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