The Gloom is Pervasive

Just thinking about the economic prospects in the UK turns you into a manic depressive. The pound is falling, the FTSE-250 is falling (which is a measure of UK mid-cap company prospects) and the cost of government debt is rising as the international financial world loses confidence in the UK.

We have bad weather in most of the UK which will depress economic output and very bad snow levels on the US east coast plus wildfires in California. I have fond memories of visiting Pasadena several times which apparently has been badly affected.

National media news is all about negative events while UK politicians are spending time debating whether a public inquiry is required over child sex grooming in the North of England. Personally I doubt such an inquiry would be useful. They are always very expensive, take years to report and there have been inquiries already into the events. The failure of the police to take action is blatantly obvious and this is simply a management issue. The police are now wasting their time on trivia such as non-criminal hate speech while freedom of speech is being undermined.

All of these events detract from the big issue of excessive immigration which is depressing UK productivity and wages.

But all of this gloom and doom will no doubt disappear when spring arrives and should not be an indicator of stock market investment prospects.

Roger Lawson (Twitter: https://x.com/RogerWLawson  )

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