First intervention on rates in seven years by the Bank of England. The institute headed by Canadian Mark Carney announced that it has reduced the benchmark rate from 0.5% to 0.25% setting a new low for the cost of money.
The measure, already announced but then postponed surprise on July 14, is interpreted as a British economic stimulus in the background of the Brexit uncertainties and new alarm about a possible recession.
In Switzerland there are more than six million credit cards, nevertheless the cash continues to be the favored payment method in the country. However, they are very popular in Ticino: according to a survey, 38% prefers to banknotes and coins when go shopping.
However, about half of the Ticino and the German-speaking Swiss continues to prefer cash to credit and debit cards. In Romandie the majority prefer to pay with a debit card rather than with cash or credit card, according to the results of the survey conducted by the GfK market research.
Adidas has closed the second quarter marked by profits substantially doubled to 291 million euro. Earnings per share rose from 0.73 to 1.42 while revenue grew by 13% to 4.42 billion. The German sportswear giant has improved to almost 20% from previous estimates of 15% predicting sales growth during the year.
Conflicting advice from Service PMI Index of the major Eurozone economies. In Italy, the indicator of the non-manufacturing recorded in July an increase to 52 points. The figure compares with 51.9 points the previous month and 51 points expected by analysts. As for Germany, the July PMI stood at 54.4 points against 54.6 points recorded in the estimate. Finally, at the Eurozone level, the PMI services amounted in July to 52.9 points against 52.7 points estimated.
Recall that a PMI Services, below 50, reports a contraction of the economy and a higher level indicates growth.
Undeclared work increases the Germany’s welfare, as a group of economists interviewed by Bild said. The German tabloid has opened a debate on the economy submerged after a study by the Institut der deutschen Wirtschaft Iw of Cologne showed that 80% of domestic workers in Germany work in black. Despite the regularization process has increased in recent years, still one in ten is occupied irregularly.
The based-company Neuchâtel watchmaking Zenith , the historic luxury brand, aims to close three of its eleven stores worldwide, including the only one in Switzerland, in Geneva. The store will cease next week, indicated the manager confirming a report published today by Le Temps. The three employees affected by the closure of the Geneva shop have found a work place in the group, as reported.
By 2017 two more closures will occur; at the time the company has not yet announced because its employees have not been informed. The restructuring will not touch any case Japan, Hong Kong and China.
Housing crisis grows. According to data released by the Resolution Foundation think tank, there was a drop in the number of homeowners in England, recording the worst figure in the last thirty years.
The percentage of households that own a home, including those with a mortgage, reached its peak in 2003, to 71%, to collapse this year at 64%, a figure not seen since 1986.
Credit Suisse and Deutsche Bank will be dropped from the Stoxx Europe 50, the index showing the performance of the 50 most important European companies.
From Monday, August 8, the two banks will be replaced by the French group Vinci (construction) and the Dutch ASML (semiconductor industry), as indicated last night by index managers.
