Daily Market Update

Daily Market Update

Daily Market Update Global shares hit a one-month low
The Fed is once again the focus for the world’s investors as speculation of an earlier interest rate rise increases. Markets are generally trading lower today ahead of the Fed’s monetary policy committee meeting beginning later today. With economic markers showing positive growth it is looking increasingly likely that there will be a vote for the first rate rise in 8 years. All the major indexes are trending down including US stock futures. Unrest in the Middle East and Ukraine are never too far away from market concerns either while the risk of a fractured UK rumbles on ahead of Thursday’s Scottish independence vote.

Today’s data
We may get some hints of things to come as the Fed begins a 2 day monetary policy meeting.
The US Bureau of Labor Statistics’ data on producer prices for August is due at 8.30am ET
US Census Bureau announces its findings on income, poverty and health insurance at 10am ET.

Forecast of good times ahead for Apple
Analysts are predicting a period of growth for Apple following the recent product launches. Experts at Cantor Fitzgerald predict that the launch of the iPhone 6; which has so far seen record-breaking demand; and next year’s wearable technology, will see a period of strong performance. Apple has not always been in favor with investors but things seem to be on an upward trend right now. Read the full story.

United Airlines offers staff buyouts in a bid to cut costs
United Airlines recently reported quarterly losses, the only airline to do so, and is now seeking to streamline its operations. The firm is now offering buyouts to attendants among its 23,000 strong workforce, which could be worth up to $100,000; they hope to have 2,000 take up the offer. It is also seeking to recall furloughed staff in a bid to plug staffing gaps in some airports. United has struggled with performance since its merger with Continental in 2010. Read the full story. 
 
More pain for GM
With the issue of the faulty ignition switches in the headlines again, GM could do without more bad news but it has today announced a scaling back of its Russian production lines. Falling demand in the country will see GM’s Opel division cutting staff levels and output as economic conditions in Russia weaken the car trade and US sanctions bite. About a quarter of the firm’s workforce at its St Petersburg factory will be offered severance packages and other measures will be taken in a bid to cut costs. GM says it believes that there is long-term viability for the business in Russia but it needs to ride out the current storm. Read the full story.