The noise
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Joe Biden announced on Wednesday that 15 million barrels will be released from US strategic oil reserves this December, in a blunt new shock to global oil markets. This announcement completes the release of 180 million barrels authorised by the US president back in March that was initially meant to take place over six months. The reserve now has about 400 million barrels of oil, the lowest level since 1984.
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Liz Truss became the shortest serving UK Prime Minister this week, edging out George Canning who lasted 119 days in 1827 after a premature death. Her resignation comes after a key minister quit and Tory MPs rebelled in a chaotic parliamentary vote, triggering the second Tory leadership election in four months.
The numbers
The nuance
Rising interest rates may have dented bond markets, but they have been quite profitable for banks who have been lending at higher interest rates. Investors’ returns from fixed income have improved as mentioned in previous weekly’s but this has also been realised as a boom for banks as the loans they make continue to be profitable.
We acknowledge that inflation remains stubbornly high across a multitude of geographies, and despite central banks’ attempts to quash inflation, there is no sign yet that they are winning the battle. As the following weeks progress, we expect data releases to shine a light on how current economic policy is affecting the wider economy.
Quote of the week
“Liz Truss leaves whilst the lettuce romaines.”
Kate Nicholson, Senior Trends Reporter, Huffington Post
Liz Truss issued her resignation on Thursday afternoon after only 44 days as leader of the country to become the shortest serving Prime Minister in history.
A live stream, created by the Daily Star, consisted of a table with a picture of Truss next to an actual lettuce, with the Star asking if Truss will still be PM within the 10-day shelf life of the lettuce. And the viral video feed, featuring the lettuce, lit up Parliament on Thursday night.
The stunt, which began on Oct 14, was inspired by a column in The Economist which referred to the Prime Minister as an "iceberg lady" and said she had "the shelf-life of a lettuce".
A day before Truss resigned, the Leader of the Opposition in the House of Lords, Baroness Smith of Basildon, also referenced the lettuce. Baroness Smith said: "We've also seen damage to the Prime Minister, who has lost the confidence of the public, of Parliament and of course of her own party. A new leader is to be announced by the Tory party before October 31.
Source: The Daily Star, The Economist, The Telegraph
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