Tesla’s stock has been skyrocketing following Donald Trump’s victory, sparking discussions about the company’s future. The rise in Tesla’s value is seen as an anomaly compared to other EV companies, which have seen declines post-Trump’s win. The close ties between Elon Musk, Tesla’s largest shareholder, and Trump have raised questions about whether Tesla’s rally will continue or if it will be impacted by Trump’s negative stance on EVs.
The Bank of England has received criticism for its cautious approach to interest rate cuts. Despite cutting the base rate to 4.75%, the Bank is being accused of being too slow in easing monetary policy. The economic uncertainties triggered by the budget and Trump’s victory have prompted speculations about the Bank’s future actions.
Santander customers are facing delays in benefiting from the interest rate cut on tracker mortgages, with some borrowers having to wait until late December to see a change. This move has been condemned as “sneaky profiteering” by some brokers, raising concerns about fairness and consumer duty.
Investors are responding positively to Trump’s victory, with the Dow Jones Industrial Average and S&P 500 reaching new highs. Despite the strong performance of stock markets, there is uncertainty about the impact of Trump’s policies on the economy, especially in relation to protectionism and trade barriers.
The Bank of England’s decision to cut interest rates is expected to be the last for 2024, as the government’s budget measures are likely to push inflation above the 2% target. The Bank is now anticipated to keep rates higher for longer, with slower cuts expected next year.
At the Bank of England news conference, Governor Andrew Bailey addressed concerns about protectionism under Trump and the implications of the budget on interest rates. Bailey emphasized the need for a gradual approach to monetary policy changes to observe the effects of the budget and other risks on the economy.
Overall, the economic landscape post-Trump’s victory and the Bank of England’s interest rate cuts are raising questions about future policies and their impact on businesses and consumers. It remains to be seen how these developments will shape the economy in the coming months.
