UK first quarter GDP better than expected at 0.7%

The UK economy has defied expectations, recording a 0.7% increase in GDP in the first quarter of 2025 – better than the forecast of 0.6%. This surge places Britain ahead of economic heavyweights, including the United States, Canada, France, Italy, and Germany. A key driver of this growth has been the service sector, which demonstrated …

UK economy shows welcome signs of resilience with positive GDP growth and inflation relief

The UK economy displayed unexpected resilience in February 2025, with GDP growing by 0.5%. This figure has exceeded market expectations and provided a welcome boost to UK economic confidence. The growth was fueled by robust activity in the services and manufacturing sectors, which helped counterbalance ongoing challenges in other areas. February’s performance marks a recovery …

China’s fourth-quarter GDP grows at 5.4%

China’s economy expanded by 5.4% in the fourth quarter, surpassing market expectations, as a series of stimulus measures propelled the economy to meet Beijing’s growth target This final-quarter surge helped elevate China’s full-year GDP growth to 5.0% in 2024, with the official target of around 5%. In December 2024, retail sales increased by 3.7% from …

China reports GDP growth of 4.6% – above expectations

China’s National Bureau of Statistics announced on Friday that the GDP growth for the third quarter was 4.6% year-on-year, marginally above the 4.5% forecasted by economists. But slightly lower than the second quarter’s year-on-year growth of 4.7%. In terms of quarterly growth, the third quarter experienced a 0.9% increase, which is higher than the 0.7% …

The U.S. modern economy is number one in the world by GDP

The U.S. economy, often considered the largest globally, is characterised by a dynamic mix of sectors. It is propelled by strong industrial production and a vibrant service sector, offering a varied economic environment The United States possesses a highly developed mixed economy. It stands as the world’s largest economy by nominal GDP and the second …

UK national debt as a percentage of GDP is now 99.5%

Highest ratio since the 1960’s and even higher than that reached during the Covid pandemic of 2020. The UK’s national debt has reached its highest level since 1962. Official figures from the ONS show that the total government debt amounted to 99.5% of the economy’s value in June 2024, surpassing the peak levels experienced during …

China manufacturing and Japan’s GDP contracts – Asia markets mixed

Over the last weekend of June 2024, China released its official PMI figures, with the manufacturing PMI remaining at 49.5, the same as in May 2024, indicating a second consecutive month of contraction. On Monday 1st July 2024, Japan adjusted its first-quarter GDP figures, showing a contraction of 2.9% year-on-year, a revision from the previously …

UK GDP: economy grew more than first estimated

UK economy purring but not roaring like a lion… yet! The UK economy expanded more than initially thought in the first quarter of 2024, signalling a recovery from recession, according to updated official data. The Office for National Statistics (ONS) reported that from January to March 2024, the economy experienced a growth of 0.7%, revised …

UK GDP flatlines – not so helpful for Sunak and his election campaign

In April 2024, the U.K.’s economic growth came to a standstill, figures released on Wednesday 12th June 2024 indicated, putting a pause on the subdued recovery from the previous year’s recession just weeks before the UK election. Analysts had anticipated growth a levelling off following a 0.4% expansion in March 2024. Over a longer period …

Much Ado About Nothing – UK GDP and the ‘r’ word

The U.K. economy has recovered from its ‘technical’ recession, with the gross domestic product (GDP) increasing by 0.6% in the first quarter, surpassing expectations. Official figures released on Friday revealed this growth, which exceeded the 0.4% predicted by economists surveyed by Reuters for the previous quarter. In the latter half of 2023, the U.K. experienced …

U.S. GDP slows to 1.6% significantly below expectations

The gross domestic product (GDP) from January to March 2024, grew at an annualised rate of 1.6%, significantly underperforming the projected 2.4%. The personal consumption expenditures (PCE) price index, crucial for the Federal Reserve’s inflation assessments, climbed at an annualised rate of 3.4% for the quarter, marking the largest increase in a year. Meanwhile, consumer …

U.S. GDP grew at a 5.2% in Q3, stronger than expected

U.S. GDP figure better that forecast The U.S. economy grew even stronger than previously calculated in the third quarter, the result of better than expected business investment and stronger government spending, the Bureau of Economic Analysis reported  Wednesday 29th November 2023. Gross domestic product (GDP), a measure of all goods and services produced during the …

U.S. GDP grew at a 4.9% in September 2023

According to the latest data from the U.S. Bureau of Economic Analysis, the U.S. GDP grew at a 4.9% annual pace in Q3 of 2023, better than expected.  This was the fastest quarterly advance in nearly two years, driven by robust consumer spending, increased inventories, exports, residential investment and government spending. Challenges The U.S. economy faced several …

Japan outperforms as GDP up 6% August 2023

Japan’s economy beats expectations with 6% annualised growth in Q2 Japan’s economy posted its third straight quarterly expansion, latest government data showed 15th August 2023, as robust export growth contributed to an annualised 6% expansion in the second quarter, easily beating market expectations. Economists had reportedly expected the world’s third-largest economy to produce a 3.1% growth in …

Debt and trade issues weaken UK growth – so says the OECD

The latest OECD report presents a cautious outlook for the UK economy, predicting slower growth amidst global uncertainties and domestic fiscal challenges. The UK’s GDP is projected to grow by 1.3% in 2025 and 1% in 2026, reflecting a slight downward revision. According to the OECD, trade tensions, particularly U.S. tariffs, are disrupting global supply …

China’s retail and industrial growth slows amid ongoing tariff driven economic uncertainty

China’s economy showed signs of slowing in April 2025, with both retail sales and industrial output missing expectations. Retail sales grew 5.1% year-on-year, falling short of analysts’ forecasts of 5.5% growth. The slowdown reflects weak consumer sentiment, driven by deflationary pressures and uncertainty in the housing market. While categories like gold and jewellery (+25.3%) and …

Moody’s Downgrades U.S. Credit Rating Amid Rising Debt Concerns

Moody’s Investors Service has downgraded the United States’ sovereign credit rating from Aaa to Aa1, citing concerns over the country’s growing debt burden and rising interest costs. This marks the first time Moody’s has lowered the U.S. rating, aligning it with previous downgrades by Standard & Poor’s (2011) and Fitch Ratings (2023). The downgrade reflects …

Signs of weakness in the U.S. economy – is a recession coming and is the United States causing harm to global economies?

The U.S. economy is showing cracks as multiple indicators suggest that growth may be slowing. With GDP shrinking by 0.3% in the first quarter of 2025, concerns about an impending recession have intensified among analysts and investors. A key driver of this economic downturn is the ongoing trade uncertainty, which has prompted businesses to stock …

U.S. Economy Contracts in Q1 2025 Amid Trade Policy Uncertainty

The U.S. economy shrank by 0.3% in the first quarter of 2025, marking the first contraction since early 2022. The decline was largely driven by a surge in imports, which soared 41.3%, as businesses rushed to stockpile goods ahead of President Donald Trump’s newly imposed tariffs. Imports subtract from GDP calculations, contributing to the negative …

Trump announces 25% tariffs on car imports to U.S. and pledges pharma tariffs to come

Trump’s tariffs have been a cornerstone of his trade policy, aimed at protecting American industries and reducing trade deficits These measures include tariffs on steel, aluminum, and a wide range of goods from countries like China, Canada, and the European Union. While supporters argue that these tariffs have bolstered domestic manufacturing and created jobs, critics …

UK government borrowing higher than expected in February 2025

In February 2025, UK government borrowing reached £10.7 billion, significantly exceeding the £6.5 billion forecast by the Office for Budget Responsibility (OBR) This marks the fourth-highest borrowing figure for February since records began in 1993. The unexpected rise in borrowing has intensified pressure on Chancellor Rachel Reeves ahead of her upcoming Spring Statement. The increase …