OPEC to Reduce Oil Production

 

We suggest you read this highly riveting blog well before bed, as data out today estimates tired employees cost the UK £40bn a year, which is around 1.86% of economic growth. So, to avoid productivity loss tomorrow, give yourself plenty time to come down.

RBS have failed the latest stress tests carried out by the bank of England (BoE). These examinations of financial institutions are to examine the readiness and ability of the FIs under question to survive an extraordinary financial event, like the crisis back in 2008. After the news broke RBS quickly issued a statement outlining their plan to make up the capital shortfall, which included cutting costs and selling assets. The slightly unexpected result highlights the ongoing underlying legacy issues the bank is still trying to shake.  Shares of the bank fell over 4% before paring back losses to close 1.37% lower.

Following on, the BoE governor not only expressed warnings to UK banks, but also UK households, regarding to the record amount of consumer household debt. Credit card lending is at a record level, rising by £571m last month. Overall unsecured debt is increasing at the fastest rate for 11 years.

Moving on to the big news today… and it is official, OPEC have agreed a oil output cut. Yes at times the members of OPEC seem to get along like Ryan and Rhodri Giggs but they have agreed the first cut since 2008. Saudi Arabia is rumoured to be taking a big hit amongst others. Following the news the oil price predictably rallied, up by over 9% to $51.50 p/bbl. This of course also helped the FTSE end the day +0.17% higher with BP and Royal Dutch Shell at the top of the index. The news has also bolstered US stocks as they begin their session. Here’s an unrelated fun fact about what has happened during that time;

Messi has scored 373 goals for 1 club

Bendtner has scored 53 goals for 6 clubs

In other news, retail analysts IMRG have estimated ‘Black Friday’ helped online spending rise by 12% on the day, equating to approximately £1.2bn being spent on the day. We assume they did just look at Friday and not the whole week where many retailers seemed to run Black Friday sales across. John Lewis stated record weekly sales for the prior week of just under £200m, up 6.5% on last year.

 

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