The Global Month Ahead – An insight into June 2011

In our regular feature Seven Investment Management (7IM) look forward to what the month ahead might hold. United Kingdom - Fixed Income Outlook Key Issues The Monetary Policy Committee’s forecasts are for inflation to gradually rise through to the end of the year and then fall back to 2% by 2013. Given the gloom on the high street and government cuts this view seems pessimistic, but with oil prices high, an uptick in inflation does seem likely. To complicate the interest rate picture, wage growth data has surprised on the upside with growth faster than expected at 2.3% in May. The ...

The Global Month Ahead – An insight into March 2011

In our regular feature Seven Investment Management (7IM) look forward to what the month ahead might hold United Kingdom - Fixed Income Outlook Key Issues With inflation at 4% the Bank of England (BofE) is under pressure to raise rate despite the looming, anti-inflationary, government spending cuts The 0.5% was an emergency rate, but the Bank of England (BofE) could possibly raise rates as early as May to contain stubbornly high inflation The Monetary Policy Committee (MPC) does not generally like to shock the economy about interest rises, preferring to warn with nods and winks in official ...