News

Allianz's Michael Konstantinov is backing Chinese GDP growth to remain around 8%-9% for the next few years despite expectations the country's central bank will act to tackle inflation.

Daniel McKernan, lead manager of SWIP's £174m European Corporate Bond fund, is buying into ‘unloved' asset backed securities (ABS) to exploit cheap valuations.

Threadneedle's Dan Ison has backed the eurozone to continue to recover after adding 5.5% to European bank stocks in his £69m Pan European Accelerando fund.

SVM's Colin McLean is backing retailers which have been shunned by the market, despite expectations of weak growth in the UK and higher taxes squeezing shoppers.

Polar Capital's Ben Rogoff has urged technology investors to focus on manufacturers of smartphones and tablets who will benefit at this stage of the sector's cycle, rather than last generation large-cap companies such as Microsoft.

A record monthly increase in eurozone inflation unexpectedly sent the annual rate to a 29-month high in March, strengthening expectations that the European Central Bank will tighten monetary policy further this year.

The pound's weakness threatens to bolster inflation above 5%, supporting the need for higher interest rates, says MPC hawk Andrew Sentance.

London's leading share index edged up this morning while other global markets were cautious on fears China will hike interest rates to stem soaring inflation.

Moody's has slashed Ireland's sovereign debt rating by two notches, to BAA3 from BAA1, on its weak economic growth prospects.

Chinese growth raced ahead 9.7% in the first quarter of 2011, while inflation hit its highest level since 2008.