The infoshot to help kick-start your week
FTX, one of the world’s largest cryptocurrency platforms has collapsed, filing for bankruptcy protection, unleashing another bout of volatility on the highly speculative digital asset market. A related firm, Alameda, was found to be trading with (and lost) over $8 billion of customer funds. The collapse provides evidence that government regulations on finance remain important, and that the crypto market has not yet bridged the gap.
Wednesday saw UK inflation come in at 11.1%, a new 41 year high, driven largely by growing food and energy costs. Despite the previous introduction of the government’s Energy Price Guarantee program, the ONS states that the biggest contributors to inflation remain as gas, oil, and other fuels. As such, there remains further potential interest rate rises on the horizon, providing evidence against the BoE’s statement that only modestly higher interest rates would suffice.
On Thursday, Jeremy Hunt unveiled the anticipated Autumn Statement, detailing his broad economic plans for the next few years. Alongside a number of changes to personal taxes and government spending, he announced an increase in windfall tax on oil & gas profits, from 25% to 35%, as well as a 45% tax on companies that generate electricity. The measures are welcome given the current energy crisis battering the UK.
- US Initial Jobless Claims released November 23rd, predicted to be 225K.
- US FOMC Meeting minutes released November 23rd.
- UK Composite, Manufacturing and Services PMI data released November 23rd.
The performance of each asset class is represented by certain Exchange Traded Funds available to UK investors and expressed in GBP terms selected by Copia Capital Management to represent that asset class, as reported at previous Thursday 4:30pm UK close. Reference to a particular asset class does not represent a recommendation to seek exposure to that asset class. This information is included for comparison purposes for the period stated, but is not an indicator of potential maximum loss for other periods or in the future.Open document settingsOpen publish panel