Morning Brief – UK Government Borrowing

Humphrey Percy
Chairman and Founder
Wed 22 Feb 2023

UK Government Borrowing

News yesterday that the UK government had a surplus ie did not need to borrow in January to the tune of GBP5.4 billion. This followed a December deficit of GBP27.4billion which was the worst performance in the 30 years of records for a December . Before declaring victory that the tide has turned in January it should be remembered that the UK total government borrowing currently stands at GBP2.49 trillion. GBP/USD1.2110.

Dow Jones Index

Poor earnings from some key Main Street stocks including Home Depot yesterday plus geopolitical tensions with President Putin walking away from the nuclear non proliferation treaty last night were enough to more than wobble the Dow. All that plus rising interest rates and economic data pointing to a slow down ahead in the US economy, the latest being home sales at a new recent low. EUR/USD 1.0660

Paczki Day

Yesterday our Polish readers were wishing each other Happy Paczki Day . In case you are wondering it’s pronounced POONCH-key. Wherever you come from yesterday was the last chance to binge on unhealthily califoric cakes/ pancakes ahead of Lent which starts today Ash Wednesday. 
GBP/EUR 1.1350

Asda and Morrison

UK supermarkets are introducing vegetable rationing due to shortages: lettuces and tomatoes in Asda restricted to 3 of each per customer. Morrisons are capping cucumbers to 3 per person and restricting other vegetables including peppers. No plans to ration so far at M&S, Sainsbury’s and Tesco, but it can only be a matter of time . It is all down to extreme weather particularly in Spain and North Africa where much of this produce is grown. Meanwhile canny shopping arbitrageurs can shuttle between supermarkets. Next thing doubtlessly will be lettuce hoarding?!

Car Wash

This day in 1977 this number by Rose Royce was not only on every radio station’s playlist but went Platinum. 

You might not ever get rich
But let me tell ya it’s better than diggin’ a ditch
There ain’t no tellin’ who you might meet
A movie star or maybe even an Indian chief

At the car wash
Workin’ at the car wash, girl
Come on and sing it with me
(Car wash)
Sing it with the feelin’ y’all
(Car wash, yeah)


Come, some of the work gets kinda hard
This ain’t no place to be if you planned on bein’ a star
Let me tell you it’s always cool
And the boss don’t mind sometimes if you act the fool

At the car wash
Whoa whoa whoa whoa
Talkin’ about the car wash, girl
Come on, ya’all and sing it for me
(Car wash)
Ooh ooh ooh
(Car wash, girl)

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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