Business World

Tuesday 16 September 2014

British inflation drops to 1.6pc as BoE curbs rate rise

Published 20/08/2014 | 00:00

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Inflation dropped to 1.6pc in July from June's five-month high of 1.9pc, according to official data that sent sterling tumbling to a four-month low against the dollar.
Inflation dropped to 1.6pc in July from June's five-month high of 1.9pc, according to official data that sent sterling tumbling to a four-month low against the dollar.

British inflation fell more than expected in July and surging house price growth slowed in June, making it less 
likely the Bank of England (BoE) will raise interest rates this year.

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Inflation dropped to 1.6pc in July from June's five-month high of 1.9pc, according to official data that sent sterling tumbling to a four-month low against the dollar.

Last week, the BoE curbed expectations rates would rise in 2014 by slashing forecasts for wage growth.

US housing boost

US housing starts surged to an eight-month high in July, suggesting the nation's housing market recovery 
was back on track after stalling in the second half of last year.

While the rebound points to sustained economic strength, other data showed inflation largely under wraps, which could give the Federal Reserve room to maintain its ultra-easy monetary policy stance for a bit longer.

Shipping activity rises

Irish shipping and port activity rose by 2pc in the second quarter compared with the same period last year.

That's according to the latest quarterly iShip Index published by the Irish Maritime Development Office.

The latest analysis also indicates that four of the five principal freight segments grew in the second quarter of 2014.

Mining spin-off detailed

BHP Billiton announced what's poised to be the biggest spin-off in the mining industry, separating aluminium, coal and silver assets to create a company valued at about $15bn 
after it begins trading next year.

The new unit will operate in five countries from 
Australia to South Africa, the Melbourne-based producer said yesterday, while announcing a 10pc jump in full-year profit to $13.4bn.

BHP's London-listed shares fell the most in almost three years.

New jobs for Tyrone

Nineteen new jobs are being created in Co Tyrone at Canadian-based Dalradian Resources.

Dalradian Resources controls the mineral rights to over 80,000 hectares in Northern Ireland including the Curraghinalt gold deposit outside Gortin, which has been identified as one of the top ten undeveloped gold deposits by grade in the world.

Irish Independent

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