Morning Brief – Eurozone

Humphrey Percy
Chairman and Founder
Fri 1 Dec 2023


That was a surprise: yesterday the EU announced that inflation had fallen to 2.4% which was considerably better than the 2.7% that markets had expected. Despite the ECB saying it was far too early to cut rates, the market has pencilled in the first cut for April. Before getting carried away it should be remembered that the ECB will announce growth and inflation forecasts for 2024 at their meeting on December 14.

EUR/USD 1.0905.

Metro Bank

To no-one’s who follows these things surprise, yesterday Metro announced that they will be axing 20% of their 4,000 workforce and reducing their branch opening hours including Sundays. Caught between capital shortages and what looks from the outside to be an unworkable business model, Metro despite having a new 53% Mexican majority shareholder is under the cosh.

GBP/USD 1.2645.

Most expensive global business cities

Singapore and Zurich take top spot with NYC and Geneva 3=. Anyone who has visited NYC recently will definitely not be rushing to visit Zurich, Singapore and Geneva. Eye wateringly expensive whether it’s hotels, cabs, restaurants or coffee bars NYC is truly madly dear. And still great fun…!

USD/JPY 147.85.

Don’t Advertise

That might be counter intuitive for a media company, but Elon Musk is doubling down on the media storm engulfing his big bet that is $44 billion company X. Maverick? Genius? Or has he simply lost it since he personally intervened in Israel/Gaza? Clearly unable to read the room, Elon Musk also yesterday told his X advertisers “to go f*** themselves.”
Difficult to put a price on it at present but definitely lower, the X valuation at 31-10-23 was …$19 billion. 

Kenny G 

This comes under the heading of nerdish trivia; Kenny G whose real name is Kenny Gorelick broke the world record for holding a single saxophone note for the longest ever this day in 1997 when he set the then record at 47 minutes and 45 seconds. Obviously not that impressive as Giovanny Escalante subsequently broke it with 1 hour 30 minutes and 45 seconds. Here is Kenny G’s best song, Songbird which goes a long way to explaining why he turned to breaking world records:

I heard a voice so pure and easy,
a songbird singing for me,
I had no choice, only to listen,
and surrender to her world;
And she will fly over the rainbow,
She will walk in fields of gold,
And when she sings
from the high walls of Heaven,
Will the angels cry like me

At first alone,
then with hundreds around me,
Enchanted by her song,
and the darkness is falling,
But as the day is done,
The songbird sings no more;

And now she flies over the rainbow,
And she walks in fields of gold,
And when she sings
from the high walls of Heaven,
Will the angels cry like me

And when she sings
from the high walls of Heaven,
Will the angels cry like me,
will the angels cry like me?

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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