{"id":42501,"date":"2018-07-19T11:03:52","date_gmt":"2018-07-19T10:03:52","guid":{"rendered":"http:\/\/www.taxresearch.org.uk\/Blog\/?p=42501"},"modified":"2018-07-19T11:03:52","modified_gmt":"2018-07-19T10:03:52","slug":"reality-is-biting-back-at-markets","status":"publish","type":"post","link":"https:\/\/www.taxresearch.org.uk\/Blog\/2018\/07\/19\/reality-is-biting-back-at-markets\/","title":{"rendered":"Reality is biting back at markets"},"content":{"rendered":"<p>The economy is reflecting the state of chaos in the government.<\/p>\n<p>Real and nominal <a href=\"https:\/\/www.tuc.org.uk\/blogs\/pay-growth-falls-again-workers-continue-suffer\" target=\"_blank\" rel=\"noopener\">wage growth is declining again<\/a>:<\/p>\n<p><a href=\"http:\/\/www.taxresearch.org.uk\/Blog\/2018\/07\/19\/reality-is-biting-back-at-markets\/screen-shot-2018-07-19-at-10-54-40\/\" rel=\"attachment wp-att-42502\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-large wp-image-42502\" src=\"http:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40-550x400.png\" alt=\"\" width=\"550\" height=\"400\" srcset=\"https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40-550x400.png 550w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40-412x300.png 412w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40-768x559.png 768w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40-549x400.png 549w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-10.54.40.png 1294w\" sizes=\"auto, (max-width: 550px) 100vw, 550px\" \/><\/a><\/p>\n<p>Retail sales growth is <a href=\"https:\/\/www.theguardian.com\/business\/live\/2018\/jul\/19\/chinese-yuan-one-year-low-trade-uk-retail-sales-business-live\" target=\"_blank\" rel=\"noopener\">unsurprisingly\u00a0depressed<\/a>.<\/p>\n<p>The <a href=\"https:\/\/www.theguardian.com\/business\/live\/2018\/jul\/19\/chinese-yuan-one-year-low-trade-uk-retail-sales-business-live\" target=\"_blank\" rel=\"noopener\">pound has fallen below $1.30<\/a> this morning.<\/p>\n<p>Beyond the UK, the <a href=\"https:\/\/www.ft.com\/content\/116455e2-8a33-11e8-bf9e-8771d5404543?segmentId=e290fb57-33d0-1ede-79c6-9ee84234f3e2\" target=\"_blank\" rel=\"noopener\">Fed is having problems making the idea of interest rate rises stick<\/a>.<\/p>\n<p>They're just a banking fantasist's pipe dream here.<\/p>\n<p>And the FTSE 100 sales on at near record highs:<\/p>\n<p><a href=\"http:\/\/www.taxresearch.org.uk\/Blog\/2018\/07\/19\/reality-is-biting-back-at-markets\/screen-shot-2018-07-19-at-11-00-59\/\" rel=\"attachment wp-att-42503\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-large wp-image-42503\" src=\"http:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59-550x407.png\" alt=\"\" width=\"550\" height=\"407\" srcset=\"https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59-550x407.png 550w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59-405x300.png 405w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59-768x569.png 768w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59-540x400.png 540w, https:\/\/www.taxresearch.org.uk\/Blog\/wp-content\/uploads\/2018\/07\/Screen-Shot-2018-07-19-at-11.00.59.png 1286w\" sizes=\"auto, (max-width: 550px) 100vw, 550px\" \/><\/a><\/p>\n<p>The markets are trying to ignore reality.<\/p>\n<p>Reality is biting back.<\/p>\n<p>And its message is deeply uncomfortable. I do not see that changing. And sometime the markets will note.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The economy is reflecting the state of chaos in the government. Real and nominal wage growth is declining again: Retail sales growth is unsurprisingly\u00a0depressed. The<br \/><a class=\"moretag\" href=\"https:\/\/www.taxresearch.org.uk\/Blog\/2018\/07\/19\/reality-is-biting-back-at-markets\/\"><em> Read the full article&#8230;<\/em><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[],"class_list":["post-42501","post","type-post","status-publish","format-standard","hentry","category-economics"],"_links":{"self":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/42501","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/comments?post=42501"}],"version-history":[{"count":0,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/posts\/42501\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/media?parent=42501"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/categories?post=42501"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.taxresearch.org.uk\/Blog\/wp-json\/wp\/v2\/tags?post=42501"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}