9th August 2013
1) We know that the Bank of England is to target unemployment at 7% though it is not quite calling it a target. Interest rates are very likely to stay low for the next three years. The Telegraph suggested ways to make the most of the low rates.
2) PIMCO’s Bill Gross says the world’s largest bond fund manager will rely on currency strategies, credit spreads and volatility to generate returns in this difficult market for bonds as trade website Investment Week reports.
3) Rio Tinto returned to profit. Those profits of £1.7bn were 71% down on the same period last year, but that was much better than a $3bn loss for the full year in 2012, with many analysts now favouring the stock.
4) One to consider for your asset allocation. The International Business Times reports that South Africa is one of the five slowest growing economies on the continent according to the African Development Bank. Libya grew fastest then Sierra Leone. How times have changed.
5) The UK recovery is firming up according to the OECD and, as the Guardian reports, things are finally looking up in the Eurozone too, led by an unlikely economic champion in Italy.