Weekend Reading
In case you missed it… 18th August 2023
Our pick of industry shaping news within financial services and articles we found interesting that we think you’ll love too from Rosely Group’s Global Head of Content, Liam Thomson.
What we are reading in the UK
Total Washout?: The UK’s damp summer has also dampened economic growth, according to Bloomberg, with consumers in the UK having opted to stay home and dry. Spending was also dampened by concerns about the ongoing cost-of-living crisis, and more expensive borrowing. Read more.
Bank of England: Inflation data posted this week in the UK showed a significant dip on the previous month to 6.8%. The question that now stands before the Bank of England then is, is it safe to defer any further rises in the base rate, and could the base rate even be lowered? Mortgage lenders have already reduced their interest rates, but might the Bank be more cautious? Traders in the City expect further rate hikes which will heap further pressure on the embattled Bank. In this article from the Financial Times, one economist asks, how the Bank of England can improve its forecasting abilities. Read more.
The “Doom Loop”: In this thought provoking but pessimistic article, The Critic magazine argues that the UK economy is caught in a ‘doom loop’ of low growth and high welfare. With an aging population and declining birth rate, the UK faces a problem faced by many advanced economies, how to support a growing cohort of retirees with a shrinking cohort of workers. Fundamental change is needed, but what does that look like? Read more
What we are reading about it the US
The AI Boost: In this article for Bloomberg, one analyst takes a cool look at claims AI could give the US economy 30% growth. AI will have an impact and lead to growth, the author argues, but it’ll be more slow burn than supernova. Read more.
More Rate Raises: Despite fears of recession, many indicators point to a growing economy in the US. In this article, Axios asks why the gap between expectation and reality, and summarizes some of the key details. Will the Fed continue to raise rates? This article is a useful insight into the information that’ll be feeding into that decision. Read more.
Bitcoin Rollercoaster: Following another crash in the value of Bitcoin, Coinshare asks what has led to the most recent plummet and provides a useful overview of this volatile market. Read more.
For more content like this and our Weekend Reading, Comms industry recommendations and articles from our team direct to your inbox sign up below.