There’s little to be optimistic about over future state of the economy
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PEOPLE ARE already struggling to meet the growing cost of living in the UK. It seems there is little to be optimistic about when considering the economy moving forward, as a top financial analyst confirmed in his report.
Saxo Markets head of macro analysis Christopher Dembik warns there is little to stop the freefall that is already having a huge impact on people’s daily living standards. Action from the government is the only way to ease the pressures, he claims.
In a current article that follows “worrying” data on consumer confidence, he said: “We are very pessimistic about the United Kingdom’s outlook, especially.
“All the statistics released last week tend to indicate the economy will experience negative growth this quarter.
“Consumer confidence has fallen to an all-time low due to the surge in cost of living, retail sales look stagnant in the medium-term and inflation jumped from seven per cent in March to nine per cent in April. Expect it to climb above 10 per cent in the coming months. All the major leading indicators of the UK economy confirms the worst is yet to come”.
He continued: “We think that at least two major developed economies are on the brink of a technical recession this year - the United Kingdom and France.
“As for change, there is little consumers can do to stop rising energy bills, petrol costs and food prices grasping the nation in a stranglehold – the only way to avoid a recession is probably through increased government support, for example via energy checks.”
lTo read the full article visit https://www.home.saxo/en-gb/ content/articles/macro/chartof-the-week--is-a-recessioninevitable-in-the-unitedkingdom-23052022 site.