£40bn wiped out by the FTSE 100 as GDP numbers stoke recession fears
There are more worrying signs that the UK may be headed for recession after the economy contracted in March.
GDP fell 0.1 percent, according to the ONS, after growth was revised to zero in February.
The numbers, ahead of April’s spike in energy bills, highlight the risk of an economic downturn as rising prices continue to hit households.
The service sector was the main drag on the economy, with consumer-facing sectors such as retail seeing sales fall.
5 things to start the day off right
1) Germany’s gas supply falls as Ukraine shuts off pipes from Russia Olaf Scholz forced to import additional fuel from Norway and the Netherlands
2) Passengers will bear the brunt of rising Heathrow landing fees Heathrow accuses airlines of trying to ‘protect their own profits’
3) Millions of electricity customers file class action lawsuits against cable cartel Cable companies Nexans, NKT and Prysmian are facing accusations of overcharging UK households
4) Tesco opens offices in its supermarkets Grocer tries to capitalize on rise in working from home
5) Disney beats Netflix as streaming service adds new subscribers Disney+ is gaining customers despite Wall Street concerns over the cost-of-living crisis
what happened overnight
Hong Kong stocks opened lower on Thursday after falling overnight on Wall Street.
The Hang Seng index fell 1.35 percent, or 267.68 points, to 19,566.89.
Mainland China’s Shanghai Composite Index fell 0.45 percent, or 13.90 points, to 3,044.80, while the Shenzhen Composite Index fell 0.64 percent, or 12.33 points, to 1,906.18.
Tokyo shares fell in early trade Thursday as investors fret over inflation.
The benchmark Nikkei 225 index fell 1.34 percent, or 350.51 points, to 25,863.13 in early trade, while the broader Topix index fell 0.79 percent, or 14.59 points, to 1,836.56.
- Company: BT, 3i (annual result); grainer (split times); Balfour Beatty, Coca-Cola HBC, Convatec Group, RHI Magnesita, Superdry (trade statement)
- Business: GDP (UNITED KINGDOM)manufacturing production (UNITED KINGDOM)industrial production (UNITED KINGDOM)producer price index (US)unemployment claims (US)