International monetary funds Chief Economist Pierre Olivier gourinchas. The imf and the world bank are having their annual meeting in marrakech and later today, Finance Ministers from the 620 and Central Bank Governors will be meeting to discuss the health of the Global Economy. According to the imf, Global Growth remains dampened by Supply Chain Disruptions linked to the covid 19 pandemic and russias war in ukraine, persistently high inflation, and spiralling borrowing costs. Heres our economics editor faisal islam. The message from the imf for the 190 Finance Ministers and central governor business in marrakesh is that the World Economy they hope had turned a corner after three years of rolling your clinical crisis. Well, it is limping forward rather than sprinting forward now with geopolitical crisis. Slowdowns in very specific countries like china that they had not expected. There is an additional worry about this new higher for longer Interest Rate world that might affect the bank
For the Us Government to borrow money for 30 years. The big spike at the end is the concern. That is the cost of borrowing over 30 years. The Us Government is being forced to pay more as investors worry they will lose out when compared to the returns they can get from those higher Interest Rates. Its a similar story in the uk where like other governments there will be concern in the corridors of power that it costs more to pay off the National Debt and so there is less cash for other things. Simon french is Chief Economist at the uk Investment Bank Panmure Gordon and i asked him to explain to me what is going on. Your summary was pretty accurate. The higher for longer Interest Rate environment is spooking investors who have been for at least 15 years of the view that Central Banks have their back in terms of keeping Interest Rates low, but also buying Government Debt, quantitative easing, money printing, which many viewers have been familiar with over the last 15 years, has gone into r
Ferro. In the equity market, posited by 0. 1 . We go to the commodity market, brent 94 94. 93. Tom i take your point, oil is game changer here and it is not 95, it is how we got here. Can you imagine 97 . Why cant you extrapolated out on the edge of 100 . Right now we are at 100 per barrel. Jonathan what is it influence, what does it change . We have to ask a question from the Federal Reserve into tomorrow. Does this change anything for policy and for forecast next year . Lisa ellens that never says no at Morgan Stanley and another at moody say it could be game changer. Saying anything over 100 for any length of time and we are going to be very sick. On one hand, you have to think about what this might do with a diff disinflationary way but also good prices as Mohamed Elerian was changing. Game changing for inflation or growth . Lisa its a great question. We dont really understand. I dont really understand what the major driver is. Is the demandside or supplied cuts. If you have demand
the highest it s been in 15 years. but last month, the bank s rate setting committee narrowly voted to keep it unchanged. and it s widely expected to do the same again today as evidence grows of the strain that high borrowing costs are putting on the economy and the housing market. here s our cost of living correspondent colletta smith. this is my monthly dining out, put that in as a reminder. ebony is doing all the right things. ebony is doing all the right thins. , ., , ., ., things. this month they have a savin: things. this month they have a saving goals things. this month they have a saving goals towards things. this month they have a saving goals towards my - things. this month they have a i saving goals towards my house buying savings. she saving goals towards my house buying savings- buying savings. she and her artner buying savings. she and her partner saving buying savings. she and her partner saving carefully - partner saving carefully putting cash into phys
Billion in shares. Disneys already the worlds Top Entertainment company this move gives it an even bigger arsenal of movies and shows as it battles the rise of Online Streaming Services like netflix and amazon. It also marks the end of half a century of empire building by 86 year old Rupert Murdoch as our media editor amol rajan reports. When Rupert Murdoch bought the news of the world in 1968, he was an outsider. But this canny australian with news in his veins made his way to the heart of the establishment in both britain and america, wielding extraordinary influence. From his base in tabloid newspapers, he moved aggressively into film and television, owning studios and networks that entertained hundreds of millions of people. But now, fox has become a division of disney. In a phone conference today, Rupert Murdoch explained his strategy. I know a lot of people will be asking why the murdochs came to such a momentous decision. Are we retreating . Absolutely not. We are pivoting at a