Recession Financial News

Earnings per share is widely expected to drop across the continent (89%), with those viewing European equities as overvalued rising to a three-year high at net 29%.

shares of crypto-linked companies slumped as bitcoin fell more than 15% on Monday, after weak economic data last week triggered fears of a recession and set off a frenzied selling of risky assets. The plunge marks a stunning reversal for the sector that until recently was riding a wave of optimism sparked by the approval of exchange-traded funds (ETFs) tied to the spot prices of bitcoin and ether, the two biggest cryptocurrencies.

Over the past 24 hours, the BONK price has experienced a notable surge of 14.33%, contributing to an overall market growth with meme coins averaging a 12.92% increase. Market indicators currently suggest potential for further gains.

Digital asset investment products saw outflows amounting to $528 million last week, marking the first downturn in four weeks.

A surprise jump in the US employment rate to 4.3% from 4.1% in July has triggered a sharp drop in risk assets on Friday, with the Bitcoin (BTC) price plunging briefly back below $63,000 as US recession fears rise.

'What is required from our leaders are some genuine policies to be able to generate sustainable growth, which benefits the wider economy. Failing which, the image of the mammoth stuck in the La Brea Tar Pits creates the perfect analogy.'

The 0.3% fall in Q4 was fuelled by decreases in all three main sectors: 0.2% in services, 1% in production and 1.3% in construction output, the ONS said.

The risk is that mega-cap tech stocks may be used as a 'source of funds' if a hard landing is avoided.

Growth expectations among fund managers remained pessimistic, BofA found, although improved in the December survey from net 57% to 50% expecting a weaker economy.

Over a five-year horizon, 44% of fund managers said Information Technology would be the top performing sector.

'Today’s Autumn Statement demonstrates the pressure the government is under with an election imminent over the coming year.' Picture by Simon Dawson / No 10 Downing Street

Despite interest rate hikes from hawkish central banks, core inflation and labour markets pose major challenges for investors. Markets are coming to terms with what higher rates for longer means and just how much economic slack is necessary to bring inflation back to target.

One out of four investors expect that there will be no recession in the next 18 months, but the share of those expecting a recession in the first half of 2024 is rising.

Canada’s economic growth was “essentially unchanged” in July, Statistics Canada said Friday, but there were signs growth was returning later in the third quarter.

'The BoE has an incredibly difficult job to do, and with next year likely to see a general election at the same time, they will not want to overcorrect and tip the balance of power one way or another.'

'There is concern that the tightening we have seen so far could tip the UK into a recession.'

The UK economy shrank by 0.5% in July, worse than analysts had predicted and continuing a trend of weak economic growth in the UK.

A net 32% of managers thought the European economy will go into a recession over the next 12 months.

This year, September in Canada means two things: pressure ramping up on the Toronto Blue Jays as they chase an elusive wild card spot for a berth in the MLB postseason; and economists crunching numbers to revise their forecasts of how steep a decline the economy could soon face.

Statistics Canada said Friday.The economy contracted 0.2 per cent annually in the quarter, the agency said, which was enough for some economists to believe the Bank of Canada would keep its key interest rate on hold at its next decision Sept. 6.StatCan also revised down its earlier GDP figures for the first quarter to 2.6 per cent growth, down from 3.1 per cent.The pullback in the second quarter came as housing investment fell 2.1 per cent to post its fifth consecutive quarterly decrease.New construction dropped 8.2 per cent in the quarter, while renovation spending also fell 4.3 per cent.While Canadians spent more overall in the quarter, StatCan noted that on a per-capita basis, spending was down 0.7 per cent in Q2.An early estimate by the agency had estimated Q2 growth at an annualized rate of one per cent.

Exposure to REITs has dropped to its lowest since December 2008, leading to BofA describing it as one of the 'most fascinating' asset classes to watch.