Mark Carney may trigger a fresh devaluation of the pound in the face of soggy growth and a largely depleted policy arsenal, the world’s biggest bond fund predicted yesterday, reports The Times.
The incoming Bank of England Governor may attempt to depreciate sterling by as much as 15 per cent against a basket of currencies as he seeks to help British exporters to tap into foreign demand, Mike Amey, the head of sterling portfolios at Pimco, said.
Google prepares challenge to iPhone
Google is preparing an attack on Apple’s iPhone with a device that is more aware of its surroundings and smart enough to anticipate how it will be used next, according to the head of the internet company’s Motorola subsidiary, reports the Financial Times.
The gadget, called the MotoX, will also be made in the US and will be part of a campaign to drive down the cost of smartphones and end the high profit margins companies like Apple have enjoyed, said Dennis Woodside, the Google executive installed to run Motorola after it was acquired in late 2011.
UK retailers facing uphill struggle, says CBI
Britain’s retailers are facing their toughest trading conditions in almost 18 months as cash-poor consumers cut back on their spending, the CBI said, reports the Guardian.
The monthly healthcheck of the high street from the employers’ organisation recorded the steepest fall in sales since January 2012 – continuing the weakening trend over the past six months.
Government to end tax scheme as part of energy company crackdown
Fresh attempts to crack down on alleged abuse by energy companies were underway last night with the UK government announcing plans to end a £900m “windfall” tax scheme, and a further inquiry into BP over possible fuel price fixing in Spain, reports the Guardian.
In the middle of a series of existing investigations into alleged petrol and gas price manipulation by regulators, the chancellor, George Osborne accused gas and electricity distributors of trying to game the tax system.
European regulators clash with US over derivatives market reforms
European regulators have clashed with the US over the timing of reforms to the $633tn derivatives market in a letter urging further delays to guidelines that would extend Washington’s reach overseas, reports the Financial Times.
The letter sent on Tuesday is the latest sign of strain over how different countries should split the job of overseeing the global derivatives market. The US, stung by the 2008 bailout of AIG after losses at its London derivatives arm, is seeking broad authority to police foreign trading that puts domestic taxpayers at risk.
US tax dodgers targeted as Swiss ease secrecy
Switzerland has agreed to adopt new rules that would free its banks to reach settlements with the US authorities as they go after wealthy Americans suspected of using the European country’s financial secrecy regime to evade taxes, reports the Independent.
Following a meeting of the Swiss federal council, the government in Bern agreed to rush through legislation which would allow local lenders to share information with American authorities about employees involved in their US businesses, and relationships concerning US citizens.
