What war in Ukraine could mean for you on the home front
2 years, 9 months ago

What war in Ukraine could mean for you on the home front

The Telegraph  

Oil prices have already been pushed to a seven-year high of $97 a barrel, as investors fear that Russia will tighten its supply on the commodity. Mortgage rate rises The Bank of England has already put interest rates up twice in three months in a bid to rein in these building inflationary pressures, but economists warn Threadneedle Street’s rate-setters could need to go faster and further on hiking borrowing costs if Russia launched an invasion. City forecasters at Capital Economics believe it would keep “inflation higher for longer” through climbing fuel costs and likely mean faster rate rises at the Bank of England. Financial markets are already pricing in five more Bank of England hikes this year, taking interest rates from 0.5 per cent currently to 1.75 per cent and levels last seen in 2008. The average mortgage rate on new lending would double to an eight-year high of 3.2 per cent if the Bank’s base rate went to 2 per cent by the end of 2023, according to Capital Economics.

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Fears Budget, Ukraine war and global trade tensions could spark fresh cost of living crisis after inflation spikes to 2.3% in October - more than expected and above BoE's target
1 month ago

Fears Budget, Ukraine war and global trade tensions could spark fresh cost of living crisis after inflation spikes to 2.3% in October - more than expected and above BoE's target

Daily Mail  

Inflation spiked to 2.3 per cent in October as fears grow over the impact of the Budget, Ukraine war and global trade tensions. Inflation spiked to 2.3 per cent in October as fears grow over the impact of the Budget and global trade tensions The effects of the huge borrowing and spending splurge by Rachel Reeves have also yet to …

Why the rise in inflation might actually be... good news
4 months, 1 week ago

Why the rise in inflation might actually be... good news

The Independent  

Inflation is up… and that’s, erm, good news. A small cut in the Bank rate from the current 5 per cent to, say, 4.75 per cent in September, October or November is slightly more likely now than it seemed yesterday. Prices overall on this definition rose by 3.3 per cent in the year to July 2024 – down from 3.5 …

The world economy will slow next year because of inflation, high rates and war, OECD says
1 year ago

The world economy will slow next year because of inflation, high rates and war, OECD says

Associated Press  

WASHINGTON — The global economy, which has proved surprisingly resilient this year, is expected to falter next year under the strain of wars, still-elevated inflation and continued high interest rates. China’s “consumption growth will likely remain subdued due to increased precautionary savings, gloomier prospects for employment creation and heightened uncertainty,″ the OECD said. The world economy has endured one shock …

Europe inflation slips to 5.5% — but that won’t stop central bank rate hikes
1 year, 5 months ago

Europe inflation slips to 5.5% — but that won’t stop central bank rate hikes

Associated Press  

FRANKFURT, Germany — Inflation in Europe slid again in June but fell too slowly to offer much relief to shoppers grumbling over price tags or to stop more interest rate hikes that will raise the cost of borrowing across the economy. While that is a big drop from the peak of 10.6% in October, persistently high prices in the U.S., …

Inflation in Europe drops to lowest level since Russia invaded Ukraine
1 year, 6 months ago

Inflation in Europe drops to lowest level since Russia invaded Ukraine

CNN  

London CNN — Inflation in Europe has fallen to its slowest pace since Russia invaded Ukraine, bolstering the case for the region’s central bank to bring interest rate hikes to an end soon. That’s the lowest rate of inflation since February 2022, when Moscow launched a full-scale invasion of its neighbor, sending global energy prices soaring. That could give the …

Europe’s economic outlook brightens a little after avoiding recession. But inflation still squeezes
1 year, 7 months ago

Europe’s economic outlook brightens a little after avoiding recession. But inflation still squeezes

Associated Press  

FRANKFURT, Germany — The European Union’s executive body raised its economic growth forecast, saying Europe had dodged a winter recession that was feared amid an energy crisis but warning that stubbornly high inflation is likely to keep hurting the economy by sapping people’s ability to spend. The outlook for the 20 countries using the euro currency improved to growth of …

Bank of England rate hike says ‘too soon to declare victory’
1 year, 10 months ago

Bank of England rate hike says ‘too soon to declare victory’

Associated Press  

LONDON — The Bank of England announced another “forceful” increase in interest rates Thursday, saying it was too soon to declare victory against inflation that has slowed slightly but is still fueling a cost-of-living crisis, public-sector strikes and fears of recession. The British central bank has approved four straight increases of a half-point or more since Russia’s invasion of Ukraine …

As inflation rises, could European support for Ukraine wobble?
2 years, 1 month ago

As inflation rises, could European support for Ukraine wobble?

Al Jazeera  

Europe’s solidarity and commitment towards Kyiv will be tested this winter, and the US midterms might also have an effect, according to analysts. “If Russia succeeds in fomenting social unrest through the energy war, a migration crisis and its disinformation campaign … these could translate in the European support diminishing, which is Russia’s goal,” Loss said, adding though that so …

Inflation hits new record in Europe, slowing economy
2 years, 1 month ago

Inflation hits new record in Europe, slowing economy

The Hindu  

Inflation hit a new record in the 19 countries that use the euro currency, fueled by out-of-control prices for natural gas and electricity due to Russia's war in Ukraine. While liquid gas succeeded in filling Europe's storage for the winter, the higher prices have made some industrial products such as steel or fertilizer expensive or simply unprofitable to make. Natural …

OECD: War in Ukraine to drag on global economy into 2023
2 years, 2 months ago

OECD: War in Ukraine to drag on global economy into 2023

Associated Press  

PARIS — Russia’s war in Ukraine and the lingering effects of the COVID-19 pandemic are dragging down global economic growth more than expected and driving up inflation that will stay high into next year, the Organization for Economic Cooperation and Development said Monday in a darkening outlook. The inflation and energy supply shock led the OECD to project annual economic …

Inflation hits record 8.9% in euro area, but economy grows
54 years, 11 months ago

Inflation hits record 8.9% in euro area, but economy grows

Associated Press  

LONDON — Inflation in the European countries using the euro currency shot up to another record in July, pushed by higher energy prices fueled by Russia’s war in Ukraine, but the economy managed better-than-expected, if meager, growth in the second quarter. Analysts say the economic growth tied to a rebound in tourism could be the last glimmer of upbeat news, …

Russia’s war to keep hitting EU economy, push up inflation
2 years, 5 months ago

Russia’s war to keep hitting EU economy, push up inflation

Associated Press  

BRUSSELS — Russia’s war in Ukraine is expected to wreak havoc with the European Union’s economic recovery for the foreseeable future with lower annual growth and record-high inflation, the bloc’s economic forecast showed Thursday. “Russia’s war against Ukraine continues to cast a long shadow over Europe and our economy,” EU Vice President Valdis Dombrovskis said. Further reductions in gas supply …

UK inflation rate hits new 40-year high of 9.1%
2 years, 6 months ago

UK inflation rate hits new 40-year high of 9.1%

Associated Press  

LONDON — Britain’s inflation rate hit a new 40-year high of 9.1% in the 12 months to May, figures showed Wednesday, as Russia’s war in Ukraine drove food and fuel prices ever higher. Chief economist Grant Fitzner said “continued steep food price rises and record high petrol prices were offset by clothing costs rising by less than this time last …

Russia-Ukraine war threatens prolonged effect on global economy
2 years, 6 months ago

Russia-Ukraine war threatens prolonged effect on global economy

Al Jazeera  

The OECD has slashed its outlook for global growth and doubled inflation projection, warning fallout from war could worsen. The world economy will pay a “hefty price” for the war in Ukraine encompassing weaker growth, stronger inflation and potentially long-lasting damage to supply chains, the OECD said. While the OECD said it’s warranted for all monetary authorities to pare back …

UK inflation hits 40-year high amid Russia’s war in Ukraine
2 years, 7 months ago

UK inflation hits 40-year high amid Russia’s war in Ukraine

Associated Press  

LONDON — Britain’s inflation rate rose to the highest level in 40 years last month as Russia’s war in Ukraine fueled further increases in food and fuel prices. Millions of households across Britain were hit with a 54% jump in gas and electricity bills last month after regulators boosted the energy price cap to reflect increases in wholesale prices. Inflation …

Bank of England raises rates as Ukraine war boosts inflation
2 years, 9 months ago

Bank of England raises rates as Ukraine war boosts inflation

Associated Press  

LONDON — The Bank of England raised its key interest rate Thursday for the third time since December as it pushes ahead faster than other central banks in combating a global wave of inflation that is set to accelerate following Russia’s invasion of Ukraine. The Bank of England began raising rates in December amid concern about rising consumer prices as …

War in Ukraine could lead to recession, government forecaster says
2 years, 9 months ago

War in Ukraine could lead to recession, government forecaster says

Dutch News  

The CPB macro-economic forecasting agency has updated its spring economic forecasts to reflect the war in Ukraine and now says the Netherlands could end up in a short recession. The new scenario assumes that the war will lead to long-term high energy and commodity prices and lower spending in various European economies. Dutch employers’ organisation VNO-NCW has also warned against …

War in Ukraine could lead to recession, government forecaster says
2 years, 9 months ago

War in Ukraine could lead to recession, government forecaster says

Dutch News  

The CPB macro-economic forecasting agency has updated its spring economic forecasts to reflect the war in Ukraine and now says the Netherlands could end up in a short recession. The new scenario assumes that the war will lead to long-term high energy and commodity prices and lower spending in various European economies. Dutch employers’ organisation VNO-NCW has also warned against …

Commodity prices are soaring and inflation is rising. Should interest rates start increasing too?
2 years, 9 months ago

Commodity prices are soaring and inflation is rising. Should interest rates start increasing too?

ABC  

There’s more inflation coming. Russia-Ukraine war will lift inflation: RBA Photo shows groceries Reserve Bank governor Philip Lowe says the Russia-Ukraine war could change everything and send prices soaring once again. However, the governor of Australia's Reserve Bank, Philip Lowe, says soaring commodity prices will send a new wave of inflation across the globe. So, to prevent that occurring, some …

Janet Yellen Predicts Year Of ‘Uncomfortably High’ Inflation After Ukraine Invasion
2 years, 9 months ago

Janet Yellen Predicts Year Of ‘Uncomfortably High’ Inflation After Ukraine Invasion

Huff Post  

“You know, we’re likely to see another year in which 12-month inflation numbers remain very uncomfortably high," Treasury Secretary Janet Yellen said. Associated Press Treasury Secretary Janet Yellen said Americans should prepare for a year of “uncomfortably high” inflation amid surging gas and commodity prices linked, in part, to Russia’s invasion of Ukraine. “We’ve seen a very meaningful increase in …

RBA warns Russia-Ukraine war will trigger new wave of inflation and possible interest rate rises
2 years, 9 months ago

RBA warns Russia-Ukraine war will trigger new wave of inflation and possible interest rate rises

ABC  

Reserve Bank governor Philip Lowe has warned Russia's invasion of Ukraine will send a new wave of inflation around the world. He said this was a "critical issue" because, if people started to believe that prices would keep rising, it could challenge the ability for central banks to keep inflation under control. Dr Lowe said, at the moment, financial market …

Economic dangers from Russia’s invasion ripple across globe
2 years, 9 months ago

Economic dangers from Russia’s invasion ripple across globe

Associated Press  

WASHINGTON — Moscow’s war on Ukraine and the ferocious financial backlash it’s unleashed are not only inflicting an economic catastrophe on President Vladimir Putin’s Russia. “We know there are consequences that we cannot predict.’’ For now at least, the damage to the overall global economy appears to be relatively slight, if only because Russia and Ukraine are not economic powerhouses. …

Inflation in 19 nations using euro sets record for 4th month
2 years, 9 months ago

Inflation in 19 nations using euro sets record for 4th month

Associated Press  

LONDON — Surging energy costs have driven inflation in Europe to another record high, raising questions about when the central bank should step in to ease the pain to people’s wallets while Russia’s invasion of Ukraine rattles the global economy. The latest numbers underscore continuing pain for the continent’s consumers and pile more pressure on the European Central Bank as …

How The War In Ukraine Could Hurt The U.S. Economy
2 years, 9 months ago

How The War In Ukraine Could Hurt The U.S. Economy

Huff Post  

LOADING ERROR LOADING WASHINGTON ― Russia’s war on Ukraine could spike gasoline prices in the U.S., increasing overall inflation as well as the odds of a layoff-inducing slowdown. “Landing the economic plane on the tarmac was already going to be difficult for the Fed because of the pandemic and high inflation, but Russia’s invasion makes it more likely the economic …

Russia Ukraine War: Key inflation gauge hit 6.1% in January, highest since 1982
2 years, 9 months ago

Russia Ukraine War: Key inflation gauge hit 6.1% in January, highest since 1982

India TV News  

Highlights An inflation gauge that is closely monitored by the Federal Reserve jumped 6.1% in January The figure reported by the Commerce Department was the largest year-over-year rise since 1982. I will do everything I can to keep gas prices in check: US president Joe Biden An inflation gauge that is closely monitored by the Federal Reserve jumped 6.1% in …

Key inflation gauge hit 6.1% in January, highest in 40 years
2 years, 9 months ago

Key inflation gauge hit 6.1% in January, highest in 40 years

Al Jazeera  

Americans are enduring sharp price increases that will likely worsen after Russia’s invasion of Ukraine. An inflation gauge that is closely monitored by the Federal Reserve jumped 6.1 percent in January compared with a year ago, the latest evidence that Americans are enduring sharp price increases that will likely worsen after Russia’s invasion of Ukraine. At the same time, consumers …

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