Economic News

WASHINGTON (AFX) - The risk of inflation in the US remaining too high, rather than a slowing economy, is the Federal Reserve's main concern, the President of the Chicago Federal Reserve Bank said today. "As reflected in the minutes of the October meeting, all Federal Open Market Committee members agreed that inflation risks remained the dominant concern," Chicago Fed President Michael M ...

Treasurys gave up their gains Thursday, sending yields higher, after the Treasury Department announced that long-term capital flows into the U.S. fell to $65.1 billion in September from a revised $114.4 billion in August, igniting fears that foreign investors are losing their taste for U.S. government assets. Earlier Treasurys rallied when a tamer-than-expected consumer inflation report for Oct ...

LONDON (AFX) - The dollar held up well as investors shrugged off a raft of soft US economic numbers ranging from a drop in inflation, lower portfolio flows and slowing industrial production. The US currency suffered a minor wobble after it was revealed that CPI inflation in the country fell 0.5 in October while the core rate, which excludes energy and food, rose just 0.1 pct. Both figures were be ...

WASHINGTON (Dow Jones) -- Consumer price inflation eased in October, led by falling prices for gasoline and cars, the Labor Department reported Thursday. The consumer price index fell 0.5% for the second month in a row, led by falling gas and car prices. Core inflation, which excludes food and energy prices, rose 0.1%, the slowest pace in eight months. The figures provide hope that inflation ...

US consumer prices fell in October on the back of cheaper oil, the second month in a row prices have dropped. The Labor Department said that prices fell by 0.5% in October, more than many analysts had forecast. The annual inflation rate was 1.3%. Energy costs, and in particular oil prices that had surged on political tensions and supply problems earlier in the year, were down by 7% in October. The fall in prices probably would not see interest rates cut, analysts said. Comforting figures  ...

A drop in oil prices helped to slow the pace of inflation in the 12-nation eurozone in October, official figures have shown. Prices rose 0.1% during October, taking the annual inflation rate to 1.6%, just below September's figure of 1.7%. However, the underlying rate, which excludes energy and unprocessed food costs, increased from 1.5% in September to 1.6% in October. Analysts say an interest rate rise in December is still likely. 'Transitory' "We expect to see European Central Bank rates  ...

LONDON (AFX) - UK retailers can look forward to the crucial Christmas trading period with some confidence even though borrowing costs have risen to a five-year high, analysts said on the news that retail sales rose by their biggest amount in nearly a year during October. The office for National Statistics said sales, on a seasonally adjusted basis, rose by 0.9 pct in October from the previous mon ...

More than 1,000 white farmers have been told to collect compensation for property seized during Zimbabwe's controversial land-reform programme. The country's land ministry said dispossessed white farmers should contact the government urgently. The invitation for compensation was carried in a four-page notice in the government-run Herald newspaper. Zimbabwe's land reforms saw thousands of white-owned farms seized and redistributed to landless backs. Soaring inflation Secretary of lands Ngoni ...

This is Money16 November 2006 House prices rose at the fastest pace in more than four years in October with the lack of available housing continuing to drive the trend upwards, according to a new report today. WANT TO KNOW MORE? MONEY SAVER: Find a cheaper mortgage BE THE EXPERT: We asked readers to become our mortgage experts MORE: Why rising rates won't slow house prices OTHER STO ...

(Updating to add date changes for upcoming gilt auctions) LONDON (AFX) - Chancellor of the Exchequer Gordon Brown will deliver what will most probably be his final pre-budget report at 12.30 pm on Wednesday, Dec 6, the Treasury said today. Brown, who is odds-on favourite to become Prime Minister when Tony Blair departs the scene sometime before the next Labour Party Conference in September, will ...