Continued policy of the latest economic and monetary news as investors cool down with European stocks and oil futures
Britain’s strict new blocking measures have undermined customer confidence and cut spending to the levels noted since last spring, according to two separate polls, reports our economy editor Larry Elliott.
The British Retail Consortium and Barclaycard said January spending at its lowest point since May, as the burgeoning online business failed to fully compensate for store closures.
Barclaycard reported that customer spending last month fell more than 16% year-on-year, while BRC/KPMP’s monthly retail sales monitor showed that 63% of all non-food purchases were made online in January, a 31% doubling. seen a year ago.
Helen Dickinson, EXECUTIVE Director of BRC, said:
In January, the expansion of retail sales fell to its lowest point since May last year. The existing blockade has affected secondary stores that in November, with the new variant hindering customer confidence and causing customers to restrict their expenses, mainly in clothing and footwear.
Raheel Ahmed, Barclaycard’s chief customer, added:
As the effect of the latest blockade begins to wreak havoc, we have noticed that specific spaces are fighting because physical facilities across the UK have been forced to close. stricter border controls have led to a decline in reserves.
Neil Wilson, a leading marketplaceplace analyst for Markets. com, raises a number of issues related to Tesla’s investment in bitcoin, adding possible questions about marketplaceplace manipulation and the use of government tax exemptions to invest in cryptography:
There are so many elements to this story that deserve attention. The first is the possible manipulation of the market to Musk’s recent tweet.
Second, it is appealing to note that the investment is the same as that obtained by Tesla in regulatory tax credits in the United States last year: taxpayer cash spent on speculative cryptocurrency investment is one way to do so.
Third, given the volatility of the asset, what do investors think about absorbing this threat on the balance sheet?
Fourth, on a more positive note, does Tesla lead other giant corporations to invest in Bitcoin on a large scale?Will Apple and Facebook follow you? Support for such corporations is for wider acceptance.
And finally:
If Tesla settles for Bitcoin as a payment, will the costs be dynamic, and will they remain linked to the price of the dollar, or will they pose an even greater exchange rate threat by keeping the costs in bitcoin?
The value in Bitcoin is fine if you sell pizzas; the maximum you can lose is $10, but if Bitcoin doubles, Tesla margins would erode without a corresponding value increase.
The FTSE 100 reversed the timed losses at the start of trading, and has now risen by approximately 0. 2% to 6534 points.
The world-class index is driven by major powers such as Royal Dutch Shell (RDS in market data) and BP, which are leveraging the value of oil in thirteen months.
Miners also benefited from rising steel prices: gold rose 0. 7% lately to $1,843 an ounce and silver rose 1. 1% to $27. 53 an ounce.
David Madden, analyst at CMC Markets, said:
Metals recovered due to talks on the US spending programme. But it’s not the first time Lately, there have been progressive considerations about upper inflation for all cash that has been injected into monetary systems through central banks and governments.
Gold has been a cover, for popular inflation. Traders kept yellow steel for fear of higher inflation on the horizon. Industrial steels, such as copper, silver and platinum, also increased, and economic activity is expected to increase as a result of the $1. 9 trillion aid program.
Tui hopes to return to the holidays this summer, thanks to the UK vaccination programme and immediate testing in other countries, reports our journalist Julia Kollewe.
The world’s largest tour operator said it won 2. 8 million summer vacation bookings, just over part of the 2019 levels, and presented 80% of the holiday through 2019.
The German company said more than part of the bookings were made through UK customers.
Average vacation costs are higher by up to 20%, Tui said, partly reflecting a higher number of vacation packages. Its bookings in January were 70% higher than in December, and the company expects the peak booking era to come.
Tui managing director Fritz Joussen said:
A review of the traditionally higher savings rate in the EU also shows that customers are likely to spend the best. The significant increase in reserve spending is a clear indication of this. Tourists are catching up and are willing to pay more for their vacation.
He hoped that the UK would lead a resumption through its immediate deployment of vaccines, and that other European countries would push their programmes after a slower start. Tui expects three-quarters of the UK’s population to be empused in mid-July. .
Tui’s stock remains stable around 331p this morning.
While the value of bitcoin has increased thanks to Tesla’s $1. 5 billion investment, the electric car manufacturer has not gained momentum.
Tesla shares closed rising from 1. 3 per cent last night to $863. 42 and have now dropped 0. 5 per cent after trading hours to $858. 60.
Although the acceptance of bitcoin is a futuristic step and adapts to the vision of its founder Elon Musk, Ipek Ozkardeskaya, senior analyst at Swissquote says two disorders are emerging around the use of bitcoin in transactions:
First, bitcoin is an incredibly volatile asset and history shows that volatility is only one-sided, if the value of bitcoin is almost five times higher in the following year, that means it will be crushed.
Maximum volatility in bitcoin will inevitably inject some volatility into Tesla’s revenue and minimize the predictability of the company’s performance.
Secondly, buying a Tesla car in exchange for Bitcoin necessarily bets that the value of Bitcoin will stabilize or fall.
No one would bury their bitcoins in a car, predicting that their value would triple in the coming years.
Well, the opposite can happen too, but it’s a casino bet. Unless the value of bitcoin stabilizes, or the value of Bitcoin falls dramatically and you end up winning a Tesla in the lottery, or its triple value and end up paying. your Tesla too much.
The foreign team of experts from the World Health Organization in China investigating the onset of the coronavirus outbreak is expected to speak to the media in Wuhan in the near future.
Follow our Coronavirus blog for updates:
Ocado is the worst-performing inventory in the FTSE 100, down 3. 3% despite the boom in sales, such as its online grocery service, which benefited from a massive shift to home delivery facilities during the pandemic.
As reported by our retail correspondent Zoe Wood, Ocado Retail Sales, who now delivers Marks groceries
However, the organization as a whole, which includes its primary generation business, Ocado Solutions, recorded a slight loss of 44 million pounds, at a previous tax loss of 214. 5 million pounds in 2019.
Tim Steiner, Ocado’s executive leader, said the coronavirus had caused a “dramatic” replacement in food retail and that the landscape was “changing forever. “
Many consumers who have tried to buy groceries online for the first time have noticed the benefits and say they should return to pre-crisis grocery shopping habits.
The fitness crisis has noted that demand for grocery deliveries exploded to account for 14% of the market; however, Ocado limited himself in his ability to take advantage of the merits of mass construction as his robot warehouses soon began to operate completely.
The company said the expansion of sales over the next year would depend “largely” on the duration of Covid-19 restrictions.
However, there will be more delivery spaces in the UK in the coming months, as 3 new high-tech warehouses are expected to open, as well as investing around 700 million pounds in new projects for their generation customers.
European markets are open to trade, here are the impressions:
Oil costs are at their point in thirteen months, and Brent, the global benchmark, and WTI have been on their longest winning streak since January 2019.
Brent futures are in their seventh round of earnings, with costs that have lately risen about 0. 9% to about $ 61. 10.
The increase was attributed, in part, to Saudi Arabia’s supply cuts scheduled for February and March, as well as relief agreed through OPEC members and allies.
Both movements restrict the amount of oil being dragged at a time when Covid’s constraints are affecting demand.
But hopes that US President Joe Biden’s stimulus plans will also raise prices. David Madden, market analyst at CMC Markets UK, says:
Should biden-led government boost the spending program that is expected to generate higher energy demand in the coming months?
Hello and welcome to our ongoing policy of the global economy, money markets, the euro and businesses.
Bitcoin enthusiasts are celebrating a new jump in the price of cryptocurrency, which re-uploaded overnight after an initial increase on Monday, when Tesla revealed its own $1. 5 billion investment in bitcoin and said it will most likely start accepting it as payment for its cars in the future.
Bitcoin now comfortably trades above $47,000 and reached $48,000 this morning, setting a new record. Lately it is quoted at around $47,700.
Some analysts now patiently expect the next big boost above $50,000, which can be driven by other giant corporations to obtain election assets that can offset still-low interest rates.
Naeem Aslam, AvaTrade’s market-leading analyst, says Tesla’s bitcoin investment may be just the beginning of a broader corporate trend.
Companies have huge piles of money in their bank accounts, which doesn’t pay them much. These money-rich corporations don’t know what they’re doing with their money flow. A new trend may emerge, which has been set in motion through Tesla.
It is true that Tesla’s investment in Bitcoin is minimal compared to its market capitalization or balance sheet, but the vital point here is whether other cash-rich corporations like Apple, Microsoft, Facebook are also starting to invest their cash in Bitcoin as an investment of choice.
Even less than one% of your bitcoin coins will be a massive amount. If this strategy becomes the main street, we may see serious purchases of Bitcoin coins, which can take the source equation out of your position; After all, there is a limited source of Bitcoin.
In stock markets, Wall Street closed Monday at new all-time highs, with the Nasdaq finishing nearly 1% and the Dow and S
But Asian stocks mixed: Australia’s ASX fell by 1. 2%, Shanghai Compound up 2% and Japan’s Nikkei fell by 0. 4%.
In the absence of a main occasion today, European actions are expected to be opened in flat or negative territory at the beginning of the negotiation:
(Correction: Tesla’s bitcoin investment is worth $1. 5 billion and not $1. 5 million as written in this article)
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