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Bank of England Halden sees “quite punchy” price pressure as China’s inflation rises – Business Live | Business

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British competition surveillance agency sued British Airways and Ryanair for refusing refunds to people during the British blockade “could not fly legally” due to government travel bans and restrictions It was started.

BA offered vouchers or rebookings, and Ryanair offered only rebooking options. The Competition and Markets Authority began its investigation in December.

Said this morning It is concerned that “the two companies may have violated consumer law and unfairly released people from their pockets by not providing refunds to people. The company is currently affected customers. We are trying to resolve these concerns with businesses, such as seeking refunds and other remedies for them. “

This is related to “the period during which it was illegal for people to travel in one or more parts of the UK for unnecessary reasons.” Uncancelled flights and other situations are not covered. “

Andrea Coscelli, CMA’s CEO, said:


I understand that airlines are having a tough time during a pandemic, but compliance with the law should not unfairly put people in their pockets.

The customer booked these flights in good faith and was legally unable to take advantage of them due to circumstances that were completely out of control. We believe these people should have offered a refund.

Inflation is rising in China, raising concerns about increased inflationary pressures on the global economy. The Consumer Price Index headline rose from 0.9% in April to 1.3% annually in May.

ING economist Iris Pan explains:


Consumer prices continued to be affected by last year’s high pork prices, which began to fall in May last year. Therefore, the high base effect will disappear in the future, and the consumer price index will rise further in the future.

More eye-catching Factory gate price soars 9% annually, Up from 6.8% in April, the highest since 2008. It was towed by iron metal. It has skyrocketed since it had fallen 0.4% at the end of last year.

Michael Hewson, Chief Market Analyst at CMC Markets UK, said:


Inflationary pressures were not temporary due to various supply-side problems, partly due to the base effect of the sharp drop in commodity prices, which saw producer prices fall 3.7% in March and April last year. Situations that can be more persistent. This is certainly a growing concern for Chinese companies, and Chinese authorities have taken steps to curb the recent surge in commodity prices.

This is a situation where the central banker seems to be very relaxed or happy, depending on which side you happen to be on.

Germany’s trade statistics show that exports increased by 0.3% in April, while imports decreased by 1.7%. Germany exported € 111.8 billion in goods and imported € 96.3 billion in goods. Federal Statistical Office (Destatis) Report..

Compared to April 2020, exports increased by 47.7% and imports by 33.2%. This means that Germany’s trade surplus improved from € 3.4 billion in the previous year to € 15.5 billion.

Germany’s exports to the United Kingdom increased 64% in April to € 5.3 billion.After the decline last month, imports fell 0.6% to € 3.1 billion.

Asian stock markets are declining, Japan’s Nikkei is down 0.3% and Hong Kong’s Hang Seng Index is down 0.2%. The UK FTSE 100 could fall at the opening price, but European equities are expected to level off to rise slightly.

agenda

  • 2.30pm BST: Pre-launch hearing of the UK Finance Commission for the appointment of the Bank of England’s Soundness Regulatory Commission and Monetary Policy Committee: Tanya Castell (PRC) and Carolyn Wilkins (FPC)

Bank of England Halden sees “quite punchy” price pressure as China’s inflation rises – Business Live | Business

Source link Bank of England Halden sees “quite punchy” price pressure as China’s inflation rises – Business Live | Business

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