Closing post
With European stock markets on track for their best week since January, and the pound notching its best month since November, it’s time to wrap up.
What a month it has been – with several banks failing, but the UK cheering us today by avoiding a fall into recession.
But while the cost of living squeeze may be easing in Europe and the US, UK families face higher bills and tax increases in April, which will eat into incomes.
Here are today’s main stories, first on those looming price hikes:
The UK economy:
And in other news:
Back in the UK, shares in cyber-security firm NCC Group have tumbled by a third today after it issued a profits warning.
NCC Group now expects adjusted operating profits of between £28m to £32m this financial year, down from a previous forecast of around £47m.
It blames a “further deterioration in the macro-economic and market environment”, citing job cuts at US technology firms and the banking sector’s troubles, as well as higher interest rates.
Mike Maddison, NCC’s chief executive officer, says falling business confidence is leading to projects being delayed, reduced or cancelled (which is quite concerning, given the importance of cyber security…).
In a statement to the City, NCC says the key factors hitting its performance are:
Buying decision delays and cancellations now exacerbated by North America tech sector client layoffs; staffing has not yet normalised, so continued sector layoff rounds are introducing more uncertainty.
Turmoil in the Banking sector following the failure of Silicon Valley Bank has further knocked market confidence leading to reduced appetite to spend on technology projects across sectors.
Recent interest rate increases in both the US and UK are creating further inflationary challenges for clients.
Shares are down 34% in late-afternoon trading at 100p, on track to close at their lowest since 2011.
Updated
