Ryanair fiasco: More proof that United kingdom airlines are becoming worse?

It’s been professing within the last couple of many years to be ‘Always Getting Better’ however it hasn’t been a great handful of days for Ryanair regardless of its slogan.

A mismanagement of pilots’ annual leave allocation because of a choice to maneuver the vacation period to some twelve months from the financial one, might cost it €20m (£17.6m) in compensation, along with a further €5m in costs, if it’s forced to spend to passengers whose flights were cancelled.

A vital element in the problem continues to be their agreement with pilots to allow them maintain their continuous four-week block of holiday, something common in the market. This has meant a bulge of leave demands because of the truncated holiday year, which ends up in December instead of March, departing the air travel lacking the necessary crews to pay for its flights.

The air travel attempted to obtain back on the leading feet, highlighting that just about 2pc of their 2,500 daily flights could be cancelled every day for six days. Additionally, it claimed that this could improve punctuality. Leader Michael O’Leary apologised to passengers affected but reiterated 98pc of passengers wouldn’t be hit.

The combative leader accepted the debacle had broken their status. However, he think it is easier to cancel a small amount of flights than attempting to conserve a full schedule after which suffer large figures of delays.

Various additional factors were also blamed for exacerbating its woes – all the way in which from thunder towards the equally foreseeable phenomena of French air traffic control strikes. Both easyJet and Vueling came unstuck this past year due to strikes over the Funnel and thus it’s arguable this will happen to be predicted and mitigated.

RBC transport analyst Damian Maker ignored the claim concerning the cancellations being designed to improve punctuality like a “football manager excuse”.

“These appear like compounding issues to too little staff planning – that risks over-buying and selling when there is little slack in the system for that unpredictable, or…lack of flight deck crew with other low-cost carriers like Norwegian,” he stated.

Norwegian states have hired 140 pilots from Ryanair previously year

The Scandinavian rival, that has introduced the reduced-cost model towards the lengthy-haul market, claims it’s hired 140 pilots from Ryanair this season alone, possibly take into consideration which has brought to issues for that Irish company. Mr O’Leary recommended the particular figure was under 100 and predicted a number of individuals would go back to the Irish carrier soon.

Mr Maker stated there might be “reputation damage past the direct cost” with the opportunity of future bookings to become deferred.

“History is not kind to low-cost carriers that can’t deliver – for example we still discover that Vuelling maintains its low skytrax ratings  and we feel it must discount hardest where it faces competition to be able to sell its product,” he added.

The United kingdom air travel industry continues to be beset by questions of declining quality. British Airways has removed food on its short-haul flights, citing customer demand but cost-cutting can also be a problem because it fights to compete with low-cost rivals. Meanwhile, the ability surge which caused a significant IT meltdown and grounded a large number of passengers is anticipated to cost it roughly €65m.

Major travel disruption was caused at Heathrow after British Airways’ systems unsuccessful in May

Airhelp, an internet business that helps air travel passengers to get compensation to acquire part of the payment, rated Ryanair 83rd from 87 airlines in the global winter 2016/2017 rankings. United kingdom-based rival Monarch Airlines came in one location below. Norwegian and easyJet were placed 71st and 73rd correspondingly, dragging lower britain’s overall rankings.

One of the reasons Airhelp rated Ryanair so low was since it considered it the worst in the 87 airlines with regards to processing compensation claims. Again Monarch was directly on its tail with scoring just .8 from 10.

Within the last annual study through which? of United kingdom customer preferences for brief- and lengthy-haul airlines, Turkish Airlines and Singapore Airlines came top within the particular groups.

Ryanair was third from bottom by having an overall score of 50pc, with simply IAG-owned Iberia and Vueling behind it on 49pc and 41pc.

The shake-on the continent where both Alitalia and Air Berlin have collapsed into administration could create ripple effects within the United kingdom. Across Europe, there is excess seat capacity meaning airlines frequently need to use affordable prices to draw in customers, which squeezes profits.

Monarch Airlines is reviewing its strategy. Reports have recommended it might seek some pot venture deal for its short-haul operations, departing the carrier to target more fully on its more profitable long-haul offering.

The move comes roughly annually following the air travel guaranteed a £165m save package brought by its controlling shareholder Greybull Capital and plane maker Boeing.

How you can interact with us Telegraph Business on social networking

Ryanair: 30,000 more passengers grounded in next 72 hours

Ryanair has revealed it will cancel 164 flights within the next 72 hours, potentially affecting 30,000 passengers.

The Irish air travel has cancelled greater than 160 flights over the past weekend because of what it really calls ruining “in the look of pilot holidays”.

Undoubtedly the worst affected airport terminal is Stansted, its leading base. On Monday alone, 22 Boeing 737 flights back and forth from the Kent airport terminal happen to be cancelled, including links to Barcelona, Budapest, Oslo and Prague.

Six domestic flights back and forth from Stansted happen to be cancelled: four serving Edinburgh, and 2 serving Glasgow.

Other United kingdom airports are less badly affected. Manchester has cancellations to Dublin, Hamburg and Krakow, using the corresponding return flights also grounded.

Dublin flights back and forth from Gatwick and Bristol are cancelled, in addition to Birmingham-Madrid.

On Tuesday, the amount of Stansted cancellations falls to 18, but casualties start adding some relatively long flights: back and forth from Riga in Latvia, plus services to Rome and Bari. Faro in southern Portugal loses its links with Luton and Manchester.

Stansted’s worst day because the cancellations started is Wednesday, when 26 flights are axed, including services to Ancona, Basel, Perfume, Madrid, Strasbourg and Toulouse. 

Ryanair’s marketing director, Kenny Jacobs, stated: “Cancellation notices for flights cancelled up to Wednesday 20 September happen to be delivered to affected customers and published around the Ryanair.com website.

“We continuously send regular updates and publish flight info on our website, using the next group of cancellations to become issued on Monday. We apologise sincerely to any or all affected customers of these cancellations.”

Among passengers, there have been many complaints the notifications were non-existent or wrong. David Bawden tweeted: “Got email to state my Tuesday @Ryanair flight cancelled. Altered plans. Flight no longer proven on listing of cancellations. What??”

Julia Cutts, a passenger booked around the cancelled Ancona to Stansted flight on Wednesday, stated she didn’t have an email notification from the cancellation but rather discovered it when she attempted to check on in. She told The Independent: “Then, when attemping to acquire a refund while using ‘change flight/refund’ tabs, the first page states flight is definitely cancelled but further in to the refund process the machine states it can’t process reimbursement because the flight isn’t cancelled.

“Clearly the machine cannot deal with issues.”

Ms Cutts has rebooked in the town of Bologna, 145 miles from Ancona, via Perfume on Eurowings.

For passengers whose flights are cancelled and who choose to fly later, European passengers’ legal rights are obvious. Ryanair must provide meals and accommodation as appropriate, along with cash compensation of €250 (£220m) or €400 for journeys of just one,000 miles or more.

Boeing, Boeing gone: a few of the worst-hit Ryanair routes

Analysis by The Independent from the next 72 hours of grounded Ryanair flights, along with the weekend experience, implies that certain routes have experienced cancellations on several day between 16 and 20 September. This might indicate some elevated probability of future flights on a single route being axed.

From Stansted, services to Barcelona, Budapest, Dinard, Madrid, Pisa and Porto happen to be grounded more often than once. Domestic services to Edinburgh and Glasgow also look vulnerable. 

Going places? A few of the Ryanair cancellations from Stansted on Monday 20 September (Stansted Airport terminal)

All other United kingdom airports, the primary casualty may be the path to Dublin, with multiple cancellations from Bristol and Manchester. Additionally Birmingham has witnessed several Spanish links cancelled and Manchester-Faro continues to be grounded two times.

The only real cancellation at Luton is Wednesday’s flight to Faro and back. Sunday’s Newcastle-Wroclaw service seemed to be axed.

No services between your United kingdom and also the Canary Islands happen to be cancelled to date, but that’s no be certain that Tenerife, Fuerteventura and Lanzarote will not feature once the next swathe of grounded flights is revealed on Monday.

Reuse content

With this company, online surveillance results in profit in Washington’s suburbs

In a tiny office in Ashburn, Veterans administration., ensconced one of the government contractors that comprise the Dulles Technology Corridor, a start-up known as Babel Street is getting government-style surveillance for an entirely new market.

Their Web crawlers, offered within subscription known as Babel X, trawl some 40 online sources, scooping up data from popular sites for example Instagram along with a Korean social networking platform in addition to inside “dark Web” forums where cybercriminals lurk.

Public safety officers investigating a criminal offense would use the plan to scan posts associated with a certainneighborhood more than a number of months. Stadium managers utilize it to search for security threats according to electronic chatter.

The Department of Homeland Security, county governments, police force agencies and also the FBI utilize it to monitor harmful individuals, even when they’re communicating in a single in excess of 200 languages, including emoji.

The firm, staffed by former government intelligence veterans, belongs to an insular but thriving cottage industry of information aggregators that operate outdoors of military and intelligence agencies. The 100-person company stated it’s lucrative, something which is rare for any tech start-in its third year. (It declined, though, to produce financial details.) It lately required on $2.25 million from investors, getting its total capital elevated from investors to simply over $5 million.

A U.S. subsidiary from the European software giant SAP is its largest institutional investor.

Companies like Babel Street need to tread a moral line to prevent igniting privacy concerns, although the data they access is usually openly available online. Groups like the American Civil Liberties Union (ACLU) regard the industry’s growth like a worrying proliferation of internet surveillance.

“These products can offer a really detailed picture of the person’s private existence,” stated Matt Cagle, an ACLU lawyer who studies the problem.

This past year, Chicago-based social networking aggregator Geofeedia was thrust in to the national spotlight once the ACLU printed a study alleging it’d helped public safety officers track racially billed protests in Baltimore and Ferguson, Mo.

The report motivated Twitter, Facebook and Instagram to chop ties with Geofeedia, eliminating important data sources. The organization let go 1 / 2 of its employees soon afterward among a wider restructuring.

Possibly consequently, Babel Street doesn’t access individuals’ people’s Facebook profiles, although the company’s executives say they’ve “a close relationship with Facebook.”

Babel Street’s executives say they’ve prevented debate by carefully sticking to privacy standards and restricting police force officers’ accessibility social networking information they collect.

“If someone has arrest forces, they get less accessibility data than some other clients,Inches stated Shaun Chapman, an old Navy intelligence officer who founded Babel Street in 2014.

The Government was Babel Street’s first customer. Agencies centered on counterterrorism would make use of the company’s technology to watch terrorists’ online chatter to calculate attacks. Public safety officers and also the FBI soon began registering for the service, public contract documents reviewed through the Washington Post show.

The Department of Homeland Security will pay for the merchandise through “fusion centers” that gather and pass data to condition and native first-responders, showing them the electronic footprint of the emergency event instantly.

“They’ve got the opportunity to use and check out the whole spectrum of social networking platforms,” stated Lee Smithson, executive director from the Mississippi Emergency Management Agency, which coordinates the state’s disaster response activities.

“They’ll search for keywords like ‘rescue’ or ‘dire situation’ . . . that sort of factor. And they’ll pass individuals messages to all of us,Inches he stated.

In the past couple of years, Babel Street is doing increasingly more work with private industry.

Chapman states word spread concerning the business when government chief security officials left their posts for lucrative private-sector gigs, getting Babel Street business along the way.

Guiding the organization being an investor and board member is Arthur Money, an old chief information officer in the Government who later grew to become active in the business side of presidency intelligence work.

Cash is the previous chairman from the FBI’s Science Advisory Board and it is a board member for independently held intelligence contractor Keyw, a Maryland-based cybersecurity company.

Money also offers ties to numerous defense and intelligence companies including Kestrel Enterprises, an intelligence analytics company of defense giant Boeing.

Today about 50 % of Babel Street’s users hail in the private sector, Chapman states. The shift continues to be great for business: Chapman states the organization includes a couple of 1000 users, a number of them having to pay greater than $20,000 annually for a subscription.

As the web has changed, Babel Street’s intelligence work has changed by using it. Emoji happen to be challenging for Chapman’s group of technologists recently, for example.

“We are seeing emoji more and more accustomed to circumvent text analysis,” Chapman stated. “Guys that wish to be dubious within their activities uses such things as emoji to talk with each other.”

Brand management is becoming an essential profession, as corporations face the more and more difficult challenge of tracking their digital reputations. Some companies pay Babel Street to discover whether their ip has been used without permission.

The organization is even involved in hurricane response. The firm has trained its Web crawlers to consider people stranded in Houston’s floodwaters or waiting out Hurricane Irma in Florida. They’re tracking online scammers that may attempt to make money from the disaster.

Chapman states Babel Street’s make of public metadata collection will eventually be just like vital that you first responders as 9-1-1 phone lines.

“There are vast amounts of smartphones in the world,Inches Chapman states. “All you need to do is listen to them.”

Amazon . com needs a house because of its HQ2, a $5 billion second headquarters somewhere in The United States

needs proposals from local, condition and provincial government leaders, and states it is focusing on urban centers using more than a million people. It’s also searching for areas that may attract and retain technical workers and “a stable and business-friendly atmosphere.”

News from the search has unleashed a wave of speculation about in which the world’s largest online store could setup shop. But experts repeat the company’s decision will probably be just as much about politics because it is about logistics and incentives. Bezos is a vocal opponent of President Trump’s immigration bans, and the 2009 week was among countless tech leaders who advised him to reconsider his stance around the “dreamers” immigration program.

“The proven fact that Amazon . com is even thinking about Canada and Mexico shows how important politics is becoming within the site-buying process,Inches stated John Boyd, a Princeton, N.J.-based location consultant whose clients include Boeing, Chevron and JPMorgan Chase. “This is really a high-profile search, and Amazon . com comes with an large number of lack of ability to influence condition and federal legislation.”

Toronto, where it’s simpler to employ foreign workers compared to the U . s . States, might be a top contender for Amazon’s new headquarters, based on Boyd. (Other locations he thinks are most likely: Nj, Florida, Northern Virginia, Atlanta.)

“This is easily the most conveted headquarters project in the united states, and Amazon . com uses it in an effort to grow even faster,” Boyd stated. “New infrastructure investments, workforce training programs, tax incentives — all individuals can help Amazon . com lower the road.Inches

One of the criteria it’ll consider, Amazon . com states, are tax exemptions along with other incentives, including moving grants and fee reductions. “The initial cost and continuing price of conducting business are critical decision motorists,” the organization stated in the request proposals.

It added the location doesn’t need to maintain a metropolitan or downtown location, or perhaps a development-prepped site. The site should, however, be within two miles of the major highway and get access to mass transit. Amazon . com stated it’ll give priority to existing structures which are a minimum of 500,000 square ft and undeveloped websites that measure about 100 acres.

“We wish to encourage states and communities to consider creatively for viable property options, whilst not negatively affecting our preferred timeline,” the organization stated.

The announcement comes per week after Amazon . com completed its $13.7 billion takeover of Whole-foods Market, leading some lawmakers to boost anti-trust concerns concerning the company’s growth. However, many say opening a sprawling new headquarters may help the tech giant make an impression on local lawmakers.

Amazon . com has acquired Whole-foods inside a record-setting $13.7 billion deal. In the overview of the offer, the Federal trade commission is searching into allegations against Amazon . com of tampering with comparison prices. (Amazon . com founder and Chief executive officer Jeffrey P. Bezos owns The Washington Publish). (Jhaan Elker/The Washington Publish)

“It would produce a very favorable political atmosphere wherever they located, so that the congressmen and senators where they locate could be supportive of the organization if issues emerged in Congress with antitrust,” stated David Kass, a professor of finance in the College of Maryland. He added when Amazon . com would select a location symbolized by Democrats and Republicans, “they could be creating buddies in Congress both in parties.”

Trump has additionally belittled Amazon . com previously, including incorrectly claiming that the organization doesn’t pay taxes. “Amazon does great harm to tax having to pay retailers,” he authored on Twitter this month. “Towns, metropolitan areas and states through the U.S. are now being hurt — many jobs being lost!”

Amazon . com, which employs 380,000 people, is expanding quickly. It’s while opening numerous new facilities and recently attempted to hire 50,000 workers in a dozen locations across the nation.

Hamza Shaban led to this report.

Find out more:
At Amazon’s Whole-foods, lower food prices along with a tower of discounted Amazon . com Echoes

Walmart and Google are plotting to modify your shopping habits

‘Not one drop’ of Belgium Spring canned water comes from a spring, suit claims

British Airways&apos lengthy-haul passenger squeeze from Gatwick starts in May

Passengers flying British Airways to Orlando next summer time who value their space should avoid flying on Fridays or the first flight from the day on Saturdays. Individuals would be the services that will feature BA’s new “densified” jets, with 52 more seats squeezed in to the same planes.

The Independent revealed in November that the airline plans to include an additional seat to every row of economy on Gatwick-based Boeing 777 aircraft. They’ll be 10 abreast, as opposed to the current nine across, that will carry on 777s based at Heathrow.

This news first emerged from the Capital Markets Day, where Willie Walsh, leader of BA’s parent company IAG, told investors the move allows British Airways to “lower the typical cost per seat, charge a lesser cost and stimulate demand”. 

In the same event, BA’s leader and chairman, Alex Cruz, stated the densification from the 777 will bring seat costs below Norwegian’s 787. 

The summer time 2018 agenda for the densified fleet has become on purchase. The very first planned departure while using high-density plane is 7 May, from Gatwick to Kingston.

With the summer time, Monday and Wednesday flights back and forth from the Jamaican capital uses the densified 777s. For additional elbow room, vacationers ought to decide the Friday departure.

Beginning the very next day, the 3 weekly departures from Gatwick to Punta Cana in tobago is going to be on high-density aircraft – and so will all flights to Cancun in Mexico from 20 June 2018.

Vacationers towards the Florida metropolitan areas of Fort Lauderdale and Tampa can steer clear of the densified aircraft by not flying on Thursdays (and, for Tampa, Sundays too). But from 8 This summer 2018, every departure from Gatwick to New You are able to uses the brand new configuration.

An evaluation booking to Orlando made on ba.com revealed no improvement in economy fare from a “densified” 777, and also the current configuration – even though passengers around the latter will love extra space.

A spokesperson for British Airways stated: “We are flying more customers than in the past to the expanding network of destinations.

“To meet this demand, we’re updating our 777 cabins to create us into line with lots of our competitors and let us offer much more low fares.”

One consolation for passengers around the high-density planes would be that the refit includes fitting new entertainment systems with bigger screens.

British Airways provides a more generous hands-baggage allowance than its low-cost rivals, in addition to complimentary drink and food on lengthy-haul services.

Other airlines having a 10-abreast economy class configuration around the Boeing 777 include Air Nz and Emirates. 

Air France includes a special high-density fleet of 777s dedicated to Caribbean and Indian Sea services, with 10 seats in every row.

On Thursday, BA’s sister air travel, Aer Lingus, stated it might start charging extra for blankets and earphones on its least expensive transatlantic fares from Dublin. 

Reuse content

Blankets and earphones are latest casualties in transatlantic fares war

In-flight blankets and earphones would be the latest casualties within the transatlantic budget air travel war. 

30 days from today, Aer Lingus will remove these frills from passengers around the least expensive fares from Dublin to United States destinations. 

Passengers who buy the Irish airline’s new “Saver” tickets may also the lose the authority to pick a seat ahead of time and appearance inside a bag totally free. Just one 10kg bit of cabin baggage is permitted. But they’ll save €40 (£36.80) each way around the next-cheapest fares, referred to as “Smart”.

Aer Lingus, that is a sister air travel to British Airways, states: “Designed to satisfy the varied requirements of today’s traveller, Saver is here now to provide more choice and versatility.”

Passengers selecting the least expensive option are told: “We’ll allocate you among the remaining seats at check-in, totally free.Inches They’ll still get an inflight meal. Utilization of a blanket will definitely cost €3 on every flight, with earphones on purchase for €5. 

The move reflects the brilliant competition between budget airlines over the Atlantic. From Manchester, Thomas Prepare has produced a substantial American network. Norwegian is offering a variety of US links using wide-bodied aircraft from Gatwick and smaller sized jets from Edinburgh and Belfast.

The 2 Icelandic international carriers, Icelandair and Wow Air, are competing via Reykjavik for an expanding quantity of US and Canadian metropolitan areas. A Danish carrier, Primera Air, aims to produce links to Boston and New You are able to from Birmingham and Stansted. 

Meanwhile, British Airways is cutting seat costs by “densifying” its number of Gatwick-based Boeing 777 aircraft. BA is squeezing an additional 52 passengers on every plane, largely by adding an additional seat to each row in economy, with 10 rather of nine abreast.

Dublin is definitely an more and more popular choice among British vacationers at risk of the united states and Canada. It’s the only major airport terminal in Europe to provide pre-clearance of yankee passport and customs formalities. Around Customs and Border Protection checks conducted before departure, passengers are treated as domestic vacationers once they touch lower.

If passengers are ready to tolerate a little amount of risk, they may also reduce their Air Passenger Duty liability by purchasing separate tickets.

Travelling from Manchester via Dublin to New You are able to on 1 October for any week, a Manchester-Dublin-New You are able to ticket costs £475 return. Buying an Aer Lingus go back to Dublin along with a Saver forward to JFK airport terminal cuts around £50 in the through fare.

Around the selected dates, however, Thomas Prepare is providing a non-stop Manchester-New You are able to return of £360, including 23kg of bags, blankets and earphones.

Reuse content

BA strikes: Talks prone to begin after two several weeks of cabin crew protests

The ultimate casualty from the latest strike by a few British Airways cabin crew is flight BA122. The Boeing 777 was scheduled to consider removed from Doha around 7am on 31 August. The strike by people from the Unite union employed by BA’s Mixed Fleet operation at Heathrow is a result of finish seven hrs earlier. But Wednesday’s outbound flight was cancelled and also the return leg is consequently axed.

There’ll, though, be lots of flying within the other direction, from Heathrow to Doha. The planes and crews that British Airways continues to be borrowing from Qatar Airways are coming back for their base. They’ve covered about 3 percent from the airline’s schedule in This summer and August.

An believed 1,400 Unite people have been receiving strike almost continuously through This summer and August inside a dispute over exactly what the union calls “poverty pay” and “punishing workers” who required part in earlier stoppages. They represent around one out of 12 of BA’s cabin crew.

Mixed Fleet was placed in 2010 included in the settlement from the last big cabin crew dispute at British Airways. Staff have inferior employment terms to longer-serving cabin crew.

Unite estimates that Mixed Fleet cabin crew earn £16,000 yearly, including allowances. BA states it doesn’t recognise this figure, which the cheapest-compensated full-time person in Mixed Fleet earned over £21,000 this past year. 

After 60 strike days, Unite has become calling a “pause for peace” and looking further negotiations using the air travel.

The union’s national officer, Oliver Richardson, told The Independent: “Our people have proven great determination to focus on poverty pay, corporate avarice and also the bullying conduct of British Airways.

“The action brought to flights being cancelled and British Airways having to spend millions on wet leasing aircraft to pay for the operational disruption.

“British Airways should make use of this ‘pause for peace’ in industrial action to achieve funds for this lengthy running dispute therefore it can rebuild its tarnished brand.”

Star-studded cast come in British Airways’ new safety video

The impact from the strike continues to be limited, due mainly towards the accessibility to the Qatar Airways aircraft the geo-political rift within the Gulf implies that these short-haul Airbus jets as well as their crews would certainly be standing idle. Qatar Airways also transpires with own one-fifth of BA’s parent company, IAG. 

A design of cancellations has emerged, using the Heathrow-Doha round-trip cancelled every single day, and passengers re-booked around the frequent Qatar Airways flights. BA’s Gatwick-New You are able to JFK departure has additionally been frequently grounded, with crews deployed on Mixed Fleet routes and passengers switched to Heathrow.

Other transatlantic flights and services towards the Gulf and Africa happen to be tactically cancelled throughout the strikes.

The air travel states its “detailed contingency planning” brought to less than a single in 100 of its overall This summer-August schedule being cancelled through the strikes.

Unite’s general secretary, Len McCluskey, has known as for additional talks. He authored to BA’s leader and chairman, Alex Cruz, saying: “Given the character and entire dispute I’m willing to involve myself in almost any future talks along with you and would ask that the organization examines numerous dates from 31 August onwards.”

BA has stated it’ll discuss plans to satisfy once the strike has ended.

Reuse content

Trump’s corporate tax plan will prove to add trillions to all of us debt, report finds

Jesse Trump’s intends to lessen the corporate tax rate from 35% to twentyPercent can lead to an income lack of $3tn to $7tn for the us government more than a decade and therefore are unlikely to produce the guaranteed boom in jobs, according to a different report in the non-partisan Committee for any Responsible Federal Budget.

Trump and Paul Ryan, Speaker of the home of Representatives, happen to be pushing challenging for the program. Obama travels to Missouri on Wednesday to advertise the program and Ryan has had to the direction to venues including Boeing’s headquarters, where Ryan promised to help make the cuts through the finish of the season.

discovered that their effective tax rate was 21.2%. In a minumum of one year, 100 compensated compensated no tax whatsoever. From 2008 until 2015, 30 companies compensated a highly effective rate of 6.9%, and eight compensated next to nothing. Individuals in specific industries (retailing) fared considerably worse than the others (utilities), although some companies (McDonald’s) compensated vastly greater than their rivals. It’s fair to state the corporate tax code is really a mess.

The studies claim that the tax rates are not associated with job creation. While researchers in the Institute for Policy Studies didn’t read the fate of tax savings on the dollar-for-dollar basis, “we recognized that these companies had huge sums of cash which were entering stock buybacks,” states Sarah Anderson, director from the Global Economy Project in the institute and also the report’s author.

Jesse J. Trump (@realDonaldTrump)

The huge TAX CUTS/REFORM which i have posted is moving along along the way perfectly, really in front of schedule. Big advantages to all!

May 29, 2017

She and her colleagues calculated, according to openly disclosed data, the 10 firms that cut probably the most jobs each spent $45bn during the last nine many years to repurchase their stock. That reduces the amount of shares outstanding, growing the income per share calculation and therefore the need for every individual share. Theoretically, the stock exchange should recognize this by delivering the stock cost greater. Clearly, the beneficiaries were shareholders, instead of employees or potential employees.

The report’s authors also learned that companies with lower-than-average tax rates rewarded their CEOs with greater than average paychecks and raises. The typical Chief executive officer of those 92 firms saw their pay rise 18% between 2008 and 2016, that can be a of individuals in most companies within the Standard & Poor’s 500 Index rose 13%. (The typical worker, meanwhile, had a 4% wage hike between 2008 and 2016.) The greater they did at cutting jobs, the greater the CEO’s earning power, the Institute for Policy Studies calculated. The 48 CEOs who eliminated probably the most jobs earned typically $14.9m, 14% greater than the typical Chief executive officer.

Boeing may be the beneficiary of among the greatest regulations and tax breaks seen within the country’s history, an offer it struck using the condition of Washington after threatening to construct its new plant outdoors the condition. Meanwhile, its average federal tax rate during the last ten years continues to be only 3.2%, also it compensated only 23% – by its very own calculation – this past year.

Soon after the offer using the condition – which unsuccessful to insist upon employment guarantees – was brokered, Boeing started to announce massive job cuts, quarrelling it must depend more about automation to be able to contend with Airbus. Greater than 15% of their Washington workforce continues to be let go because the big condition tax deal was announced in 2013.

Transatlantic fares war will warm up next summer time

Cheaper flights over the Atlantic take presctiption them for next summer time, with competition becoming ferocious to key destinations in Canada and also the US.  

British Airways is walking up its reaction to lengthy-haul budget airlines by launching flights from Gatwick to Toronto. It’s also reinstating the hyperlink in the Sussex airport terminal to Vegas.

The Toronto service starts on 1 May 2018. It’ll increase the choice presently provided by Air Canada Rouge, Air Transat and WestJet on a single route. BA states fares will begin at £453 return, but outdoors the This summer and August summer time peak they might come down fares for many dates in September are presently under £350 return on WestJet.

Vegas is offered from Gatwick by BA’s key rival, Virgin Atlantic, and also the quickly expanding low-cost air travel, Norwegian. British Airways flights towards the Nevada city re-commence at the beginning of the summer time schedules on 27 March. 

Both routes is going to be offered three occasions per week. British Airways is “densifying” its number of Gatwick-based Boeing 777s to enhance its competitive position against low-cost rivals.

Transatlantic competition in the United kingdom next summer time is going to be at record levels. Norwegian launches a brand new year-round link from Gatwick to Denver the following month, as the Danish low-cost air travel Primera Air plans links from Stansted and Birmingham to Boston and New York’s Newark airport terminal in 2018.

BA’s expansion at Gatwick will cheer the airport’s proprietors. Gatwick lost to Heathrow within the contest for the following runway within the London area. 

As the Government states it supports expansion at Heathrow, progress on the third runway is presently stalled because of the precarious parliamentary conditions and concentrate on Brexit. Work has elevated doubts about whether Heathrow can stick to key ecological limits.

A spokesperson for Heathrow stated: “We’re obvious on air quality targets we have to meet and we’re confident we are able to meet all individuals conditions. We’ve strong support, not only inside the Work Party but additionally among Conservatives, more events and trade unions to provide an important national project.”

Gatwick, meanwhile is, set on removing just as much capacity as it can certainly from the single runway.

Reuse content

Pound rallies against dollar on tight-lipped Yellen speech; oil prices climb ahead of Hurricane Harvey

Drillers battening down the hatches in the US ahead of Hurricane Harvey pushed up crude prices and the UK’s blue-chip oil producers in London yesterday to stop the FTSE 100 sinking into the red as the pound rallied against the dollar late on.

Rigs in key US oil producing hubs were abandoned as the category two hurricane, which could become the most powerful storm to hit the US coast since 2005, approached the mainland. Brent crude, the UK benchmark oil price, climbed as high as $52.68 per barrel as oil majors in Texas and the US Gulf of Mexico curbed production.

The FTSE 100’s oil giants moved in lockstep with the price increase with BP gaining 2.35p to 445.5p and Royal Dutch Shell ‘B’, the more commonly held type of the company’s shares in the UK, pushing up 10.5p to £21.73.

Robust metal prices on expectations of tightening supply in China helped blue-chip miners dominate the FTSE 100 leaderboard. BHP Billiton advanced 20p to £14.37 while rival Rio Tinto climbed 15.5p to £36.61.

The commodity stocks’ huge weighting stopped the wider FTSE 100 from reversing all of its gains as US Federal Reserve chair Janet Yellen’s speech at the Jackson Hole central banking conference disappointed news-hungry traders to send the dollar sliding against the pound.

Sterling’s afternoon bounce towards the $1.29 mark lampooned blue-chip companies’ solid early gains with the UK’s benchmark index closing 5.6 points lower at 7401.46.

Hopes that the merger of Standard Life and Aberdeen Asset Management will breathe new life into newly-formed Standard Life Aberdeen helped it climb 5.3p higher to 441.6p. Upgrading it to “buy”, Citi analyst Haley Tam said that the company could benefit from synergy savings and a recovery in its Asia Pacific and emerging market franchises.

Amazon announcing that it will begin slashing food prices at newly-acquired Whole Foods stoked expectations of a new player in the supermarket price war to pull down London-listed grocers. Tesco slumped towards the bottom of the FTSE 100 leaderboard, shedding 3.3p to 184.2p, while J Sainsbury dipped 1.1p to 236.1p.

On the FTSE 250, engineer Weir Group inched up 24p to £18.13 after broker Peel Hunt bumped up the Scottish firm to its “buy” list, citing improved “book-to-bill” figures in its minerals and oil and gas departments.

Analyst Harry Philips said that the two business were driving Weir’s momentum and that the revival of the shale industry in the US as the price of crude rises had proven that Weir can generate “substantial” profit growth in the $50 per barrel oil price environment.

Finally elsewhere on the mid-cap index, IT services provider Computacenter soared 137p to £10.18, a 16pc surge, after upping its full-year earnings guidance as it posted a 66pc rise in pre-tax profit. Bucking the industry’s gloomy outlook, the company’s chief executive Mike Norris said that he had “never been more optimistic about the market’s potential”.


Markets wrap: US Fed chair Janet Yellen speech at Jackson Hole disappoints; ECB’s Mario Draghi up next 

Mario Draghi is due to speak this evening at the Jackson Hole conference

The dollar weakening following Janet Yellen’s disappointing speech at the Jackson Hole central banking conference has pulled down equity markets in Europe this afternoon. Weakened by the euro and pound’s renewed strength against the greenback, the big exporters pared early gains with stock markets across Europe slipping into the red.

The FTSE 100’s fall was softened by the oil and mining giants gaining on robust commodity prices with Brent crude rising to as much as $52.68 per barrel as production is curbed in Texas and the US Gulf of Mexico ahead of Hurricane Harvey.

ECB president Mario Draghi is up next at Jackson Hole but again few hints over the central bank’s next moves on monetary policy are expected to be teased out of the Italian. Traders will hang onto to every word nonetheless and, as has been seen from Ms Yellen’s speech this afternoon, markets will move on what’s not said as well as what is.

IG’s chief market analyst Chris Beauchamp said this on today’s action at Jackson Hole

“As the week winds down in London, it’s one down and one to go in terms of today’s big central bank speeches. Janet Yellen has given the dollar a shove lower in her speech, but a lack of hawkish commentary and no excursions into the realms of monetary policy will leave dollar bulls disappointed.

“Little is exactly what we expect from Mr Draghi too, especially given that he, arguably, faces an even more divided committee of policymakers than Ms Yellen.”


Yellen speech sinks European equities

The FTSE 100 sunk as the pound rallied against the dollar

While equities in Europe held up for a little while against the effects of the pound and euro rallying on the dollar, they have since plunged as Janet Yellen’s speech ripples through the markets.

The FTSE 100 has now nearly pared all of today’s gains. After rising as much as 0.4pc in today’s session, the blue-chip index has now sunk into flat territory.

Has that speech ruined Janet Yellen’s chances of a second term?

Ms Yellen’s defence today of the post-financial crisis regulation, which Donald Trump has vowed to rip up, could have scuppered her chances of a second term but the US president may have nowhere else to turn.

His chief economic advisor Gary Cohn has been favourite to take the role but tensions between him and Mr Trump have risen since the events in Charlottesville. It has been reported this afternoon that Mr Cohn had drafted but never delivered a resignation letter due to Mr Trump’s limp criticism of the white supremacists behind the violence.

Here’s Capital Economics’ chief US economist Paul Ashworth’s take on what this means for Ms Yellen’s future.

“It is still possible that Trump could choose a third candidate. But he has already made plain his preference for someone who will keep interest rates low, so that would seem to rule out many of the more conservative Republican candidates.

“Most of the debate surrounding Yellen versus Cohn focuses on how they would differ on monetary policy. But, to be honest, we suspect that the differences between the two would be minor, not least because the Chair only has one vote on the FOMC. Arguably the much bigger difference is between their attitudes to regulation.”


Dollar sinks following Yellen speech; Hurricane Harvey shuts down US oil production

Stocks in the US has largely dismissed Janet Yellen’s quite dull speech at Jackson Hole with the Dow Jones climbing 0.4pc and S&P 500 jumping 0.6pc early on. As in Europe, oil and gas stocks are leading the way as the price is pulled up by the production shutdown in Texas with Hurricane Harvey on it way to the US coast.

The dollar has been the main loser from the Fed chair’s speech with the pound now heading towards the $1.29 mark against the greenback, a 0.7pc rise today.

Was that the final hurrah from Ms Yellen with Donald Trump soon deciding her future?

Here’s a little snippet from her speech:

“We can never be sure that new crises will not occur, but if we keep this lesson fresh in our memories–along with the painful cost that was exacted by the recent crisis–and act accordingly, we have reason to hope that the financial system and economy will experience fewer crises and recover from any future crisis more quickly, sparing households and businesses some of the pain they endured during the crisis that struck a decade ago.”


British supermarkets knocked after Amazon slashes prices at Whole Foods

Amazon’s takeover of Whole Foods was approved last night

Fresh fears about Amazon’s assault on the grocery landscape has knocked shares in Britain’s food retailers after the online giant announced that it would start slashing prices at Whole Foods as soon as next week.

Just two months ago Amazon announced its biggest ever takeoverwith an audacious £10.7bn swoop on upmarket grocery chain Whole Foods and the online giant is wasting no time in using the deal to propel its near-decade long push into groceries.

Whole Foods, which is known for its organic produce and fresh, natural produce, has more than 460 shops with the bulk of stores in the US and Canada and seven in the UK. 

Amazon has announced that upon closing its takeover on Monday it will start lowering prices of Whole Foods’ staple groceries. Industry experts say the move will broaden Whole Foods’ appeal to more customers and threaten supermarket rivals. 

Read Ashley Armstrong’s full report here


Yellen speech at Jackson Hole disappoints; dollar sinks

Janet Yellen gave little away in her speech at Jackson Hole

Janet Yellen’s speech has just been released to the press and it has largely disappointed traders on the currency markets. Nothing much in there on monetary policy. Her speech entitled ‘Financial Stability a Decade after the Onset of the Crisis’ was about, well, financial stability.

The main message coming out of the speech is that any changes to financial regulations should be “modest”.

Tight-lipped Yellen has sunk the dollar on the forex markets with the pound rising 0.5pc to $1.2857 against the greenback, its highest level in three days, in response to the disappointment.

I’ll try and pick out some highlights from the speech for you all. That’s if I can find any.


US durable goods orders distorted by Boeing figures

Boeing’s huge haul in June distorted the overall figures

There’s a tiny bit of economic news eking out of the United States ahead of Janet Yellen’s speech but it comes with a large caveat.

Durable goods orders in the US dived by 6.8pc in July, a sharp drop from the 6.4pc increase the previous month. Analysts have been quick to point out, however, that Boeing’s bumper 184 aircraft order haul in June thanks to the annual airshow in Paris has completely distorted the figures.

Excluding the transportation sector, orders actually rose above expectations to 0.5pc from 0.1pc in June.


Samsung heir jailed for five years on corruption charges in bribery scandal

Lee Jae-yong, pictured on Friday, has been detained since February

A South Korean court has sentenced the billionaire Samsung heir Lee Jae-yong to five years in prison after finding him guilty of offering bribes to the country’s former president and other crimes.

It said Lee was also guilty of embezzlement, hiding assets overseas, concealing profit from criminal acts and perjury.

The court said Lee hoped bribes for Park Geun-hye at the time she was president and her close friend Choi Soon-sil would secure government support for a merger that strengthened Lee’s control over the Samsung empire and its flagship Samsung Electronics at a crucial time. Park and Choi also have trials under way.

Read the full report here


US Fed chair Janet Yellen to speak soon; Trump to decide her fate soon

Janet Yellen is not expected to give much away regarding monetary policy

With US Federal Reserve chair Janet Yellen due to speak at 3pm, let’s have a quick look at what we can expect.

One’s suspects given the title of the speech, ‘Financial Stability’, that the hype building around today’s two appearances from central bank heads might end up being much ado about nothing.

But the surprise split at the Federal Reserve in its latest policy minutes over whether inflation is strong enough to withstand another rate hike before the end of the year gives a slight edge to proceedings. 

Reports that US president Donald Trump will soon decide whether Ms Yellen will have a second term as chair (they don’t get on famously) has added a little more intrigue to the speech.

UBS’ US chief economist Seth Carpenter commented, however, that there was “really no need to skip lunch” over Ms Yellen’s speech.

He commented:

“We suspect that Chair Yellen will take this opportunity to discuss the distinction between financial stability considerations and financial conditions more broadly. She will take stock of the signal from historically low interest rates and the forces that determine those rates.

“She will likely reiterate that post-recession regulation has made banks safer. She will allow for some adjustment of that regulation, but she will push back against the idea of wholesale financial deregulation. She will likely avoid discussion of monetary policy, as she will see no need to further communicate the FOMC’s intentions at this point.” 

Derek Halpenny, European head of global markets research at MUFG, is a little more optimistic that something a little more substantial on monetary policy can be teased out of Ms Yellen:

“Yellen’s speech is on financial market stability and given the reference to asset valuations in the minutes from the July meeting, which Fed Staff concluded had increased from “notable to elevated”, Chair Yellen may expand on this.

“Yellen may believe the markets need reminding that the Fed remains on course to raise the federal funds rate one further time this year. This would merely be a repeat of current Fed communication and hence is unlikely to prompt any major lift for the US dollar.”


Germany achieves near record budget surplus of €18.3bn

The figures are a boost for Angela Merkel, who is seeking a fourth term as chancellor

Germany achieved a near record budget surplus of €18.3bn (£16.8bn) in the first half of 2017, according to government figures released on Friday.

The timing of the figures could not be better for Angela Merkel, who is seeking a fourth term as chancellor in elections next month.

The surplus is the second largest Germany has recorded since reunification in 1990. The country recorded an even bigger surplus of  €28.8bn in the second half of 2000, but that was boosted by a government windall from the sale of mobile phone licenses.

By contrast, the surplus for the first half of 2017 was fuelled by higher tax revenues than expected, as the German economy continues perform strongly.

Read Justin Huggler’s full report here


Lunchtime update: Rising oil and metal prices lift FTSE 100

Hurricane Harvey approaching the coast of Texas has prompted US drillers to shut off production, raising oil prices

Investors have thrown caution to the wind ahead of the Jackson Hole central banking conference with European stocks rising into positive territory after a hesitant start to trading.

Ahead of the key speeches by US Federal Reserve chair Janet Yellen and ECB president Mario Draghi, the FTSE 100 has pushed up 0.4pc with troubled doorstep lender Provident Financial clawing back another 19pc after announcing a shake-up in its struggling home credit division.

Tightening supply lifting oil and base metal prices has helped the FTSE’s oil majors, BP and Shell, and mining giants, BHP Billiton and Rio Tinto, rise towards the top of the index. 

Brent crude has risen 0.6pc today to $52.37 per barrel as drillers in Texas shut off production ahead of Hurricane Harvey.

With little economics data to move currency markets, the pound is taking advantage of a nervy dollar and euro ahead of Jackson Hole, rising to $1.2837 and €1.0862 against the two currencies.

Here’s Spreadex analyst Connor Campbell’s take on today’s currency markets:

“As for the forex markets, the pound continued to be the main beneficiary from the euro and dollar’s pre-Jackson Hole reticence, rising 0.2% against both. To be fair to those currencies, they can afford such a meagre decline – against the euro sterling is still loitering near 8 year lows, while cable has seen its early summer growth rapidly unravel across August.”

Here’s the current state of play in Europe: 

FTSE 100: +0.39pc

DAX: +0.38pc

CAC 40: +0.28pc

IBEX: +0.38pc


Fiat Chrylser tries to again kill speculation of Chinese takeover

Fiat Chrysler shares have surged despite denials of a deal

Fiat Chrysler has again attempted to end speculation that it could sell part of its portfolio with a statement made at the behest of the Italian financial regulator in the wake of a surge in the Italian-American car manufacturer’s share price. 

Milan-listed FCA’s shares have risen almost 20pc in the past week as rumours swirled that Chinese car company Great Wall Motors wanted to buy the Italian-American group’s Jeep brand.

On Monday Great Wall said it had “an intention to make the purchase”, but soon reversed away from the statement, adding it had “not generated concrete progress as of now”.

FCA, headed by Sergio Marchionne, released a statement later that day saying it “had not been approached by Great Wall relating to Jeep or any matter relating to its business”, adding it was “fully committed” to its long-term business plan.

However, FCA’s shares have continued to rise despite the denials of a prospective deal, prompting the release of this latest statement.

Read Alan Tovey’s full report here


The effects of the ECB tapering its quantitative easing programme

Mario Draghi defended the central bank’s QE programme at his speech in Lindau, Germany, earlier this week

ECB president Mario Draghi has been heavily criticised for the central bank’s huge monthly asset purchases to boost growth but the central bank head vehemently defended quantitative easing at a speech in Lindau, Germany, on Wednesday. 

But how would Mr Draghi and the ECB signalling the winding down of its €60 billion-a-month quantitative easing programme affect stocks and companies?

Central banks snapping up government bonds from investors through QE has the effect of forcing them to put their money into riskier assets such as corporate bonds and stocks.

Buying large amounts of government bonds also has the effect of lowering interest rates, making borrowing cheaper and stimulating the economy, which should boost companies’ growth and thus push up their share prices.

The central bank is now beginning to believe that the currency bloc’s economic performance is strong enough to withstand removing this stimulus although Mr Draghi will likely steadily unwind the programme to avoid shocking the market, trimming purchases of bonds rather than selling off any of the existing stock of assets bought under the QE scheme.

There is also the unknown effect of removing such stimulus on market confidence, hence Mr Draghi’s very cautious approach which is expected to continue today.


Draghi boxed into a corner for Jackson Hole speech

Mario Draghi is expected to be tight-lipped over monetary policy

Expectations that today’s speeches at Jackson Hole will be game-changing are low but central banking figures have thrown a few surprises to the market this summer.

ECB president Mario Draghi is, however, boxed into a corner over signalling any changes. To do so would lift the euro and thus would then weigh on inflation to hold back the ECB’s plans to tighten monetary policy.

Despite buoyant growth in the eurozone of late, inflation has remained persistently weaker than the central bank’s target rate and the figures picking up is considered a key prerequisite to tapering the ECB’s quantitative easing programme.


Miners rise as base metals head for strongest week of gains in 11 years

Miners have been lifted as base metals head for their best week of gains in over a decade

London’s global miners are taking up many of the top spots on the FTSE 100 leaderboard with dual-listed BHP Billiton jumping 2.2pc and Anglo-Australian rival Rio Tinto following just behind, rising 1.7pc early on.

The miners have been lifted by base metals being on course for their strongest run of weekly gains in 11 years underpinned by strong demand and incoming supply curbs in China.

Troubled doorstep lender Provident Financial has continued to rally with this morning’s shakeup in its home credit division being cheered by investors. Shares have jumped 21pc, propelling it to the top of the FTSE 100 for a third consecutive day. 

That still leaves it 48pc lower than its closing price on Monday, however, just before its profit warning.


Spotify moves closer to listing as it strikes deal with Warner Music

Daniel Ek, chief executive officer and co-founder of Spotify

Spotify has taken a major step towards a public listing after agreeing a long-term licensing deal with Warner Music Group.

The music streaming service’s agreement with Warner, one of the world’s biggest record labels, follows more than two years of negotiations.

“It has taken a while to get here,” said Warner’s chief digital officer Ole Obermann. “But it has been worth it, as we have arrived at a balanced set of future-focused deal terms”.

Spotify has now struck deals with leading record labels Sony, Universal and Warner, and could float on the New York Stock Exchange by the end of the year. It has been reported that the company will not have an initial public offering when it does go public.

Spotify continues to grow ahead of rivals Amazon and Apple, and last month reached 60m paying customers.

Read Sam Dean’s full report here


German GDP confirmed at 0.6pc; consumer spending grows at joint-fastest since 2011

Strong economic growth is key for chancellor Angela Merkel ahead of next month’s federal elections 

The highlight of a very light economics schedule this morning was final German GDP figures, which confirmed that Europe’s engine room grew at 0.6pc in the second quarter.

One of the more interesting takeaways from this morning’s data is that Germany’s quarter-on-quarter consumer spending grew at 0.8pc, its joint-fastest since 2011 and a stark contrast to the UK’s measly 0.1pc spending growth shown in yesterday’s ONS release.

Pantheon Macro’s eurozone economist Claus Vistesen provided this analysis of this morning’s figures:

“Leading indicators suggest that domestic demand will continue perform strongly in the second half of the year, but we think the quarter-on-quarter run-rate in headline GDP growth will slow to 0.4%-to-0.5% quarter-on-quarter. Full year growth of above 2.0%, however, is a very good bet. “


Provident Financial shares bounce back after management shake-up

Provident Financial chief executive Peter Crook quit following the profit warning

Shares in Provident Financial jumped by more than 17pc in early trading as the troubled FTSE 100 company announced a shake-up in management and the return of a former managing director.

Chris Gillespie, who stepped down from the company in 2013, has been appointed as the managing director of the Provident home credit business, replacing Andy Parkinson.

Provident said it has begun a business review as it looks to “stabilise” after shares plunged more than 66pc earlier this week.

The fall, which followed a fresh profit warning, the scrapping of its dividend and the departure of chief executive Peter Crook, wiped around £1.7bn off Provident’s value.

Read Sam Dean’s full report here


Yellen vs Draghi better than Mayweather vs McGregor?

Will Yellen vs Draghi be as explosive as Mayweather vs McGregor 

Traders have locked onto speeches by US Federal Reserve chair Janet Yellen and ECB president Mario Draghi as the big market movers of the day. Unfortunately for European markets, Mr Draghi’s speech at Jackson Hole comes long after the closing bell on stock markets over here.

Reports last week indicated that Mr Draghi will not signal a major shift in policy at the central banking conference even though it was initially thought that he would use the event to announce the winding down of the ECB’s €60bn-a-month asset purchasing programme. 

Mr Draghi gave little away at a speech in Lindau, Germany, earlier this week but his tight-lipped dovish press conference following the latest ECB policy decision still managed to stir currency markets. Traders on the forex markets will latch onto to any hints from the ECB president.

For Henry Croft, research analyst at Accendo Markets, today’s dual for market attention between the two heads of central banks is even more tantalising than Mayweather vs McGregor.

He said:

“Key speeches from Federal Reserve Chair Yellen and ECB President Draghi will likely drive sentiment heading into the elongated weekend for UK traders, with markets looking for clarity on both central banks’ efforts to reduce accommodative policy. The US dollar and Euro be subject to increased price movement as a result.”

I agree Henry but I’m not sure today’s Jackson Hole conference will be quite as big a box office hit.


Agenda: Markets turn their attention to Draghi and Yellen speeches at Jackson Hole

US Federal Reserve chair Janet Yellen is due to speak at 3pm (BST) at Jackson Hole

A mixture of August inertia and investors turning their attention to the Jackson Hole central banking conference held stock markets roughly in flat territory yesterday. The FTSE 100 was an exception, climbing 0.3pc, and this morning it has inched up a little further with Provident Financial rising 6.4pc after reorganising its troubled home credit unit.

The markets’ tunnel vision has narrowed even further today with US Federal Reserve chair Janet Yellen due to speak at 3pm (BST) and the much awaited appearance by ECB president Mario Draghi a little later at 8pm. 

Neither are expected to hint at major policy shifts, despite early indications that the latter speaker would lay out the ECB’s plans to wind down its quantitative easing programme. Nonetheless, traders will be hanging onto their every word for any subtle deviations in the rhetoric. It is August after all.

Traders’ obsession with the central banks isn’t being helped this morning by a dearth of economics data. Nonetheless, sterling has moved higher against the euro, nudging up to €1.0868, while against the dollar, the pound has held its position at just over $1.28 overnight.

Interim results: Henry Boot

AGM: Sysgroup

Economics: Durable goods orders m/m (US), Revised UoM consumer sentiment (US), Revised UoM inflation expectations (US), Final GDP q/q (GER), Ifo business climate (GER)