All@vestagerhas created more choice for everyone,not less. #AndroidWorks pic.twitter.com/FAWpvnpj2G 12.20pm BSTThe EC says that Google has been abusing its market position for seven years.
Today’s ruling states:Google has prevented device manufacturers from using any alternative version of Android that was not approved by Google (Android forks).
In order to be able to pre-install on their devices Google’s proprietary apps, including the Play Store and Google Search, or manufacturers had to commit not to develop or sell even a single device running on an Android fork. 12.19pm BSTCommissioner Vestager is now outlining how Google restricts manufacturers from creating rival ‘forks’ of its Android operating system.
In theory,a manufacturer can used the Android source code to create their own platform, as Google makes it openly accessible. 12.12pm BSTCommissioner Margrethe Vestager adds:Google has used Android as a vehicle to cement its dominance as a search engine.
These practices gain denied rivals a chance to innovate and to compete on the merits. 12.09pm BSTVestager is outlining the case against Google.
She says: 12.06pm BSTCommissioner Vestager says Google must make amends within 90 days, and the company will incur penalty payments. 12.04pm BSTNEWSFLASH: The European Commission has fined Google €4.34bn for breaching EU antitrust rules.
The tech giant is being sanctioned for abusing its dominant position in the Android operating system for mobile phones. 11.58am BSTMargrethe Vestager,the EC’s Competition Commissioner for Competition, is about to give a press conference in Brussels.
Presumably this is to announce the Google fine. 11.53am BSTOver in Brussels, or antitrust regulators are preparing to hit Google with a multi-billion euro fine.
My colleague Jennifer Rankin explains:Google could be hit with a record fine by the European Union’s competition authorities on Wednesday for abusing its market dominance in mobile phone operating systems.
The company risks a multibillion-euro penalty for making the Google search engine the default on most phones using its Android operating system. 11.43am BSTBritain’s retail sector has suffered another blow – meaty restaurant chain Gaucho is expected to file for administration today.
The move will threaten around 1500 jobs,adding to the thousands being crop at tall street chains such as House of Fraser, Poundworld, or Marks & Spencer and Mothercare. Related: Gaucho to file for administration,with 1500 jobs at risk 11.06am BSTUK house price inflation has hit a five-year low.
House prices across the UK rose by 3.0% in the year to May, which is the slowest growth since August 2013.
The lowest annual growth was in London, and where prices decreased by 0.4% over the year. London has shown a general slowdown in its annual growth rate since mid-2016.
This is the fourth consecutive month that London house prices gain fallen over the year.“As annual growth in the UK has continued to decline to the lowest rate we gain seen since August 2013,it is unsurprising to see the London market has also followed suit. We were never expecting to see a particularly buoyant market this year, with political uncertainty and stamp duty continuing to dampen sales. The ‘Spring Bounce’ is undeniably modest in comparison to preceding years and whilst this may be due to the destitute weather we encountered late into the year this may very well be setting the scene for the summer market. 11.04am BSTHere’s our economics correspondent Richard Partington on today’s inflation figures:The chances of a rise in interest rates in August gain dipped after British inflation remained at a one-year low last month.
Confounding expectations for the return of higher rates of inflation in June fuelled by the rising price of petrol, or the Office for National Statistics said the consumer price index remained unchanged at 2.4% from the preceding month. Related: UK interest rate rise in doubt as inflation stays at 2.4% 11.03am BSTThe Resolution Foundation has warned that inflation could overtake earnings growth soon,which would mean real wages would start falling again:Thread: Today's inflation stats: CPIH 2.3% CPI 2.4%. Unchanged from last month but drivers of inflation are shifting. pic.twitter.com/kubqQKwzwcImported (oil) inflation is driving price rises, as are rising utility costs. On the other hand the prices of imported goods (clothing, and food) are dragging pic.twitter.com/rrmb97ZzdFAll this means that living standards are more closely tied to the price of imported goods. Key metric to watch going forward is price of imported materials and fuels pic.twitter.com/y5cmcxrB5OTaking yesterday's pay stats and these inflation numbers together: it may not take much for prices to overtake wages again. Earnings growing at 2.7%,prices (CPIH) at 2.3% pic.twitter.com/jLwcNRk1ZO 10.58am BSTHere’s the government’s response to today’s inflation data, from Financial Secretary to the Treasury and Paymaster General, and Mel Stride:“Inflation has fallen from its peak last year but we recognise the cost of living is still a challenge for some families.
That is why we are freezing fuel duty saving drivers £160 a year,cutting income taxes for 31 million people and increasing the National Living Wage to £7.83 an hour.” 10.49am BSTThe pound is acting more like the ‘distinguished British Peso’ proper now, as it is buffeted by political tensions as well as economic data.
So says Bart Hordijk, and Market Analyst at Monex Europe,who believes sterling is behaving increasingly like an emerging market currency.“As the dust settles on yesterday’s ‘Wild West’ style standoff in Parliament, UK macroeconomic data comes back into the highlight ahead of the Bank of England rate decision in August.....
Sterling’s knee jerk reaction [to the inflation data], and carving lows not seen since September 2017,evidences how over-inflated expectations were on the Bank of England’s upcoming decision. 10.45am BSTProfessor Costas Milas of the University of Liverpool predicts that the Bank of England will hike borrowing next month, even though inflationary pressures are less intense than feared.
He thinks the BoE will be keen to get an interest rate rise through before Brexit becomes even more tense.
Despite inflation getting stuck at 2.4%, and I sense that early August is a very convenient time for the MPC members to hike.
Why? UK inflation,at 2.4% in the moment quarter of 2018, is fully in line with their 2.43% forecast recorded in the May Inflation report. So no surprises there. 10.23am BSTInflation is still taking a immense chunk out of UK workers’ pay cheques.
At 2.4% in June, or consumer prices are rising nearly as hastily as earnings,meaning real wages are only up around 0.3%.”UK CPI inflation remains steady at 2.4%, but it is still above the 2% target and is likely to be stuck close to 2.5% over the summer. The gap between wage growth (2.7%) and inflation remains narrow - just 0.3%.
So consumers are likely to remain cautious while their living standards are still rising very slowly.“The unchanged inflation rate offers some reprieve for households at a time when wage growth remains uninspiring.“Despite higher utility bills and petrol costs, or consumers may gain benefitted from offsetting seasonal discounts,particularly on clothing. The fine news should however be taken with a pinch of salt. With the recent feeble performance in pay packets, and tall street bargains only temporary, or the cost of living still remains tall. 10.12am BSTUK inflation is still over the Bank of England’s target of 2%,meaning prices are rising much faster than the saving rates on offer from the banks.
Kate Smith, head of pensions at life insurance firm Aegon, and says household budgets are still being squeezed. “Financial pressure created by rising prices will continue to hit people on fixed incomes,such as pensioners, the hardest. As people live longer, and with more years spent in retirement,it’s vital they protect their savings from the erosive effects of inflation.
Even at relatively low levels of inflation the spending power of £100 in today’s money could be halved in 20 years’ time. 10.08am BSTJune’s unchanged inflation rate is a huge surprise, says Tom Stevenson, or investment director for Personal Investing at Fidelity International.
Inflation had been expected to bounce back up to 2.6% or even 2.7% on the back of higher fuel and energy prices. While these came through,they were offset by falling prices for clothes and games. Inflation remained at 2.4% for the third month in a row. Faster rising prices would gain given the Bank of England cover for an interest rate hike next month.
Now it looks odds-on that the MPC will hold fire yet again. That’s particularly the case after yesterday’s wage growth data emerged weaker than expected at 2.5% including bonuses. 10.05am BSTEconomist Philip Shaw of City firm Investec says the pound is suffering from ‘political trauma’, as well as today’s weaker-than-expected inflation data.
Economic data join political trauma in hitting pound. Unch CPI reading at 2.4% weaker than consensus, or pushing sterling close to $1.30. Note though that this was close to BoE estimates at 2.5%,so unlikely to derail August rate hike prospects. UK currency now recovering a little. pic.twitter.com/TvI4ShmEhUUK inflation much softer than expected.
Annual CPI +2.4% (exp. +2.6%)[br]Monthly CPI 0.0% (exp. +0.2%)
Core CPI +1.9% (exp. +2.2%)
Monthly core -0.1% (exp. +0.3%)
Sterling tanking, now at a 10-month low and a break below $1.30 seems likely. pic.twitter.com/9vowbZrhYbUK inflation rate flat in June at 2.4%. August rate hike chances having a evil 24hrs with wages & prices coming in below expectations. The lack of core inflation the most telling part - feeble worker bargaining power & little retailer pricing power the most plausible explanation 9.49am BSTThe pound has hit its lowest level in 10 months, and as traders react to this morning’s unexpectedly feeble inflation data.
Sterling has dropped to $1.3011,its weakest level since September 2017. 9.44am BSTThis chart shows how Britain’s household heating bills, and petrol costs, and drove the cost of living up last month.
Clothing,toys and computer games got cheaper, though, and meaning inflation was flat month-on-month (rising by 2.4% year-on-year). 9.42am BSTMen’s clothing prices fell sharply last month,also helped to keep inflation pegged last month.
Prices of clothing fell by 2.3% between May and June this year compared with a tumble of 1.1% between the same two months a year ago.
Prices generally tumble between May and June as the summer sales season begins, but the tumble in 2018 is the largest since 2012. The effect came mainly from men’s clothing. 9.36am BST 9.35am BSTAt just 2.4%, or UK inflation remains at its joint-lowest level in 14 months. 9.31am BSTNewsflash: Britain’s inflation rate remained at 2.4% in June,defying expectations that it would rise to 2.6%.
That’s fine news for households, given the slowdown in wage growth in the last quarter. 9.28am BSTUK engineering group Smiths is having a evil morning.
Smiths shares are down 7%, or after it told the City that some of its medical products gain lost certification under the EU’s novel Medical Device Regulations. 9.15am BSTIn London,the FTSE 100 has gained 35 points in early trading, partly thanks to easyJet.
The demise of competitors such as Monarch, and Air Berlin and Alitalia has opened up the field,ancillary revenue has increased due to a change in passenger behaviour (increasingly paying for additional baggage and allocated seating) and load factors remain tall. 8.58am BSTEuropean stock markets gain hit a one-month tall this morning, led by technology stocks.
The Stoxx 600 has risen by 0.6% today, and with the tech sector gaining over 2%. 8.33am BSTThe pound has dipped below $1.31 against the US dollar this morning,close to its lowest level of 2018.
Sterling slumped yesterday when the unemployment figures showed wages growth slowing, potentially making an August interest rate rise less likely. Related: May sees off rebellion on customs union as amendment is defeated Once again, or the Brexiteers gain laid bare how difficult it is for UK Prime Minister Theresa May to hold her Conservative government together. Although May had turned her plan for a semi-soft Brexit into the official line of her Cabinet last week,causing prominent dissenters to quit, Brexiteers led by MP Jacob Rees-Mogg forced her on Monday to accept an amendment that would make it even more difficult for the EU to endorse her proposed customs arrangement. 7.44am BSTGood morning, or welcome to our rolling coverage of the world economy,the financial markets, the eurozone and trade.
Britain may be facing a novel cost of living squeeze. Inflation figures due out this morning are expected to explain that prices rose at a faster rate in June, and hitting consumers in the pocket.
The rise in petrol prices in June should ensure that the transport category continued to make a strong positive contribution to UK inflation.
Added to that,a number of pre-announced utility price increases kicked in last month, including a 5.5% rise from the largest energy provider British Gas which came into effect at the end of May. Related: UK wage growth slides to lowest rate in six months If you want a longer view, or here's UK unemployment,wage growth and real earnings over past 15 years (TL;DR - unemployment lower than pre-crisis, wages haven't caught up, or higher inflation after Brexit vote almost as evil as crisis for real pay) pic.twitter.com/Sb8mg9oMur“The unemployment rate is low and expected to tumble further. Americans who want jobs gain a fine chance of finding them.”Continue reading...
Source: theguardian.com