Last week, the UK economy experienced high macroeconomic volatility as stagflation fears intensified after the Iran conflict disrupted global supply chains. March’s Purchasing Managers' Index (PMI) fell to a six-month low, while consumer expectations also dropped as households faced increases in energy prices. Initial panic over Bank of England (BoE) rate hikes, driven by the energy crisis, faded as BoE officials dampened inflation fears. They argued that the domestic economy lacks the momentum to sustain a 2022-style price spiral where costs drove wages and prices higher. Downing Street remains in active crisis management; Prime Minister Starmer is set to meet business leaders to navigate the fallout and discuss how the government and private sector can collaborate. Chancellor Reeves is attempting to avoid Truss-era panic by delaying unfunded universal bailouts, with broad energy support postponed until at least the autumn...

Stocks featured:

BP, Endeavour Mining and 3i Group

To find out more about the investment management services offered by Walker Crips, please visit our website:

https://www.walkercrips.co.uk/

This podcast is intended to be Walker Crips Investment Management’s own commentary on markets. It is not investment research and should not be construed as an offer or solicitation to buy, sell or trade in any of the investments, sectors or asset classes mentioned. The value of any investment and the income arising from it is not guaranteed and can fall as well as rise, so that you may not get back the amount you originally invested. Past performance is not a reliable indicator of future results. Movements in exchange rates can have an adverse effect on the value, price or income of any non-sterling denominated investment. Nothing in this podcast constitutes advice to undertake a transaction, and if you require professional advice you should contact your financial adviser or your usual contact at Walker Crips. Walker Crips Investment Management Limited is authorised and regulated by the Financial Conduct Authority (FRN: 226344) and is a member of the London Stock Exc

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Last week, Bank of England ("BoE") Governor Andrew Bailey warned markets against getting excited on rate rises after the Monetary Policy Committee ("MPC") voted unanimously for a steady hand, keeping rates at 3.75%. A conflict-driven energy price surge has caused markets to factor in an interest rate hike by September, with up to three rises anticipated this year due to inflation fears. The UK labour market is concerning: jobless claims rose by 24,700 in February, and wage growth hit a five-year low of 3.9%. Rising energy costs could trigger a new price shock; Cornwall Insight forecasts the price cap will rise by £332 annually in July. Political uncertainty is high as PM Keir Starmer's government faces internal pressure, with former deputy PM Angela Rayner warning that time is running out before the May local elections...

Stocks featured:

Diploma, BP and Endeavour Mining

To find out more about the investment management services offered by Walker Crips, please visit our website:

https://www.walkercrips.co.uk/

This podcast is intended to be Walker Crips Investment Management’s own commentary on markets. It is not investment research and should not be construed as an offer or solicitation to buy, sell or trade in any of the investments, sectors or asset classes mentioned. The value of any investment and the income arising from it is not guaranteed and can fall as well as rise, so that you may not get back the amount you originally invested. Past performance is not a reliable indicator of future results. Movements in exchange rates can have an adverse effect on the value, price or income of any non-sterling denominated investment. Nothing in this podcast constitutes advice to undertake a transaction, and if you require professional advice you should contact your financial adviser or your usual contact at Walker Crips. Walker Crips Investment Management Limited is authorised and regulated by the Financial Conduct Authority (FRN: 226344) and is a member of the London Stock Exc

Hosted on Acast. See acast.com/privacy for more information.

The UK economy was hit by a stagflationary shock this week as Brent crude breached $100 a barrel. Even before the Strait of Hormuz crisis, official data showed Gross Domestoc Product (“GDP”) flatlined in January, missing the 0.2% growth forecast, leaving the country vulnerable to the energy supply squeeze. The Office for Budget Responsibility (“OBR”) warned the conflict could drive inflation up to 5% by year-end, wiping out recent progress. Consequently, the Bank of England (“BoE”) is effectively cornered as Money markets are now expecting a 70% chance of a 0.25% hike to 4% by late 2026, abandoning near-term cut hopes. With manufacturing orders collapsing under soaring costs, and households delaying purchases due to inflation fears, the Monetary Policy Committee (“MPC”) must now weigh the risk of cementing a recession against a spiralling, supply-driven price shock...

Stocks featured:

Centrica, Rentokil Initial and Smiths Group

To find out more about the investment management services offered by Walker Crips, please visit our website:

https://www.walkercrips.co.uk/

This podcast is intended to be Walker Crips Investment Management’s own commentary on markets. It is not investment research and should not be construed as an offer or solicitation to buy, sell or trade in any of the investments, sectors or asset classes mentioned. The value of any investment and the income arising from it is not guaranteed and can fall as well as rise, so that you may not get back the amount you originally invested. Past performance is not a reliable indicator of future results. Movements in exchange rates can have an adverse effect on the value, price or income of any non-sterling denominated investment. Nothing in this podcast constitutes advice to undertake a transaction, and if you require professional advice you should contact your financial adviser or your usual contact at Walker Crips. Walker Crips Investment Management Limited is authorised and regulated by the Financial Conduct Authority (FRN: 226344) and is a member of the London Stock Exc

Hosted on Acast. See acast.com/privacy for more information.