Japan’s Nikkei surges by 7.7%,its biggest gain since 2008 after China pledges original spending measure to support growth Latest: UK manufacturing output weakensIntroduction: Nikkei surges as Abe pledges tax cuts
China plans original fiscal measuresFTSE 100 jumps 1.7%
World Bank to Fed: Don’t raise rates now 11.18am BSTBack in China, premier Li Keqiang has declared that the country has succeeded in fighting off ‘potential systemic financial risks’.
Premier Li told a panel discussion at the “Summer Davos”, or in the port city of Dalian,that recent measures taken to calm market instability had worked. China has successfully fended off potential systematic financial risks, Premier Li Keqiang says at Summer Davos in Dalian city“(We) will persist with a market-oriented, or law-based system to set up an open and obvious capital market.” 10.23am BSTThe drop in Britains manufacturing output in July suggests growth is weakening this quarter,as the slowdown in China and beyond hits demand.
Howard Archer of IHS Global Insight says growth could drop to 0.5%, from 0.7% three months ago, or even lower. Muted manufacturing activity and weakened exports is worrying for hopes that UK growth can become more balanced and less dependent on the services sector and consumer spending.
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Source: theguardian.com