S&P 500 Retreats From Record High as AI Stocks Slide, Retail Sales Disappoint 
France Inflation Rises 2.4% in July as Consumer Prices Increase 
Strait of Hormuz Shipping Near Standstill After New Vessel Attacks 
US Dollar Holds Firm as Fed Outlook and Iran Tensions Keep Markets on Edge 
Trump Imposes New Tariffs on Drone Imports Over US Security Concerns 
European Stocks Rise as U.S. Inflation Data Eases Fed Rate Hike Fears 
KOSPI Rebounds 20% as Samsung, SK Hynix Lead South Korea Stock Rally 
Trump Imposes New US Tariffs on Drone Imports Over National Security Concerns 
Gold Prices Slip From 10-Week High as Fed and Hormuz Risks Shape Outlook 
Japan Government Backs Earlier BOJ Rate Hike as Inflation Pressures Build 
Asian Stocks Rise as AI Chip Rally Lifts South Korea, Japan 
Wall Street Hits Record High as Softer Inflation Data Eases Fed Rate Hike Fears 
Asian Currencies Edge Higher as Soft US Inflation Weighs on Dollar 
US Dollar Slips as Weak Retail Sales Reduce Fed Rate Hike Bets 
European Stocks Steady as U.S.-Iran War, Euro Zone Data Keep Investors Cautious 
UK Economy Posts Surprise June Growth as World Cup and Hot Weather Lift Activity 
China Automakers Accelerate Global Expansion as Domestic Car Sales Slump 
Add as a preferred source on Google
UK Labor Market Slows Amid Weakest Wage Growth Since 2021
The UK's labor market showed further signs of cooling in October, with the weakest wage growth since early 2021, according to a survey by the Recruitment and Employment Confederation (REC) and KPMG. The starting pay for permanent roles slowed to 52.5 in October, down from 52.8 in September, marking the lowest level since the pandemic's early days.
Decline in Hiring and Rising Candidate Availability
The REC’s permanent placements index also fell to 44.1 in October, down from 44.9 in September, signaling a slowdown in hiring. The survey indicated that businesses are holding off on recruitment amid uncertainty surrounding the new Labour government’s budget. In contrast, the number of available candidates increased for the 20th consecutive month, with temporary staff availability rising at its fastest pace in nearly four years.
Impact of Tax Increases on Hiring
Last week’s budget, which included £40 billion in tax hikes, is expected to further dampen hiring and wage growth. Finance Minister Rachel Reeves announced higher social security contributions for businesses and an increase in the minimum wage, measures that could strain companies’ finances and slow down recruitment.
Bank of England’s Response
The Bank of England, closely monitoring wage growth to assess inflation pressures, reduced borrowing costs to 4.75% from 5% in its latest meeting. Neil Carberry, REC’s CEO, noted that the pay data provides little justification for the Bank to halt further interest rate cuts.
For further details, you can read more from these sources:
