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02/10/12--03:22: UK Trade Deficit Declines at Its Lowest Since 2003 (chan 1464032)

The trade deficit of the United Kingdom on seasonally adjusted products and services was recorded to be at £1.1 billion during the month of December 2011. According to the Office for National Statistics, this is the smallest trade gap since April 2003 when it was only recorded at £0.9 billion. During the month of November 2011, the trade deficit was high at £2.8 billion. On the other hand, the industrial output was more than what was predicted for the month of December which has calmed down analysts and economists away from their thoughts that the country is about to get negative figures for economic growth. The industrial sector comprises about 15 percent of the country’s economy was up by 0.5 percent during the month of December which is over the 0.2 percent predictions by economists.






02/13/12--03:49: Barclays Profits Decline by 3% to £5.9B (chan 1464032)

Barclays has released an announcement that the bank’s profits have declined by 3 percent to £5.9 billion for the year 2011, as the financial institution was affected by the slowdown of its investment bank arm. In the same light, Barclays also reported that the bonus funds from its investment banking division declined by 32 percent to £1.5 billion last year. Bob Diamond, the chief executive of Barclays refused to talk about the bonus allotted for him during a press conference. However, senior executives of the bank will have bonus cuts up to 48 percent. According to the business editor of BBC Robert Peston, this will probably show that Mr. Diamond will have about £3 million.The total bonus funds of the bank for the year will be £2.15 billion which is a quarter less than the previous year. Cash bonuses amount up to £65,000.






02/15/12--02:39: Inflation Rate of the UK Down to 3.6% in January (chan 1464032)

Inflation has decline during the month of January as the effect of 2011’s value added tax increase was not revealed in the reports. The Consumer Prices Index measure of inflation in the United Kingdom has declined to 3.6 percent during the month of January, which is a big jump from its previous record of 4.2 percent in December, according to the report released by the Office for National Statistics. The Retail Prices Index inflation declined to 3.9 percent from its previous record of 4.8 percent. The RPI includes mortgage interest payments. Value added tax increased from 17.5 percent to 20 percent which in effect also affected annual inflation rates. According to the UK Prime Minister David Cameron, “Inflation is coming down and that is good news, as the cost of living is the most important issue facing families up and down the country.”






02/17/12--07:14: Moody’s Will Probably Cut Credit Ratings of 17 Banks (chan 1464032)

The ratings agency Moody’s has issued a warning that it may cut down the credit ratings of 17 financial institutions that the firm is now evaluating. Moody’s has said that Morgan Stanley, UBS, and Credit Suisse may probably have their ratings cut down by up to three levels. Moody’s also said that the current credit ratings of the financial institutions are not a very good representation of how they are actually doing in the market. Nine out of the 17 banks that Moody’s is looking over include Barclays, HSBC and RBS. The ones that are most probably going to get a two level cut are Baclays, BNP Paribas, Credit Agricole, Deutsche Bank, HSBC Holdings and Goldman Sachs. The ones that may be downgraded by just one notch are Bank of America and Nomura. According to Alexander Potter who is a banking specialist at Berenberg Bank, “This follows a similar review by S&P and credit spreads highlight the fact the market is already, in most cases, well ahead of the slow-moving ratings agencies.






02/17/12--09:30: Top 10 Things You Need To Know About Unsecured Loans (chan 1464032)

Taking out an unsecured loan is something at least worth considering if you have a stable history of well-managed finances, including always paying your bills in full and on time. There are several important differences between secured and unsecured loans that should be carefully considered by potential borrowers, with advantages and disadvantages that will affect the repayments. Your signature is the only security provided to the lender for an unsecured loan. This is in contrast to the assets such as your house that are given as security for a secured loan. In the latter case, if the lender is not repaid in full they may lawfully seize your assets as a last resort and sell them to recover their money, and there is nothing you will be able to do about it. With an unsecured loan the amount you borrow will be determined mainly by your credit rating. The lender may also look into your employment history and annual income.