Good morning, and welcome to our rolling protection of the world financial system, the monetary markets, the UK’s provide chain disaster and enterprise.
September has proved a merciless month for UK automotive sellers, as the worldwide shortages of semiconductors hits the auto sector.
New UK automotive registrations tumbled by 35% year-on-year in September to round 214,000 items, based on preliminary trade knowledge this morning.
That may be the weakest September for no less than 23 years, Reuters says, because the trade struggles with provide chain issues following the pandemic.
September is generally a powerful time for automotive gross sales, with motorists eager to pay money for a brand new quantity plate exhibiting they’ve the newest mannequin (they replace within the spring and autumn).
However the international scarcity of semiconductors is continuous to harm manufacturing throughout the automotive trade, leaving sellers struggling to pay money for fashions to promote to customers.
However as Reuters explains, electrical automotive gross sales hit a brand new file (in a month that ended with motorists queuing for gas).
The Society of Motor Producers and Merchants stated the auto trade continued to be stricken by a world scarcity of semiconductors used within the manufacturing of automobiles.
With widespread panic-buying on the petrol pumps late final month attributable to a scarcity of products car drivers, the SMMT stated greater than 32,000 battery-powered automobiles had been registered final month – a brand new file.
British licence plates denote the age of a car and replace each March and September – which means these are often bumper months for automotive registrations as consumers like to point out they’ve the most recent mannequin.
The chip scarcity additionally hit automotive manufacturing in August; output fell 27% year-on-year as producers struggled to pay money for components (figures final week confirmed).
Worries about the price of residing squeeze, and the transfer in the direction of distant working, might also be weighing on automotive gross sales.
However, fewer automobiles on the roads – particularly fossil-fuelled fashions – would possibly assist the UK hit its goal of changing into web zero by 2050.
We get the complete knowledge at 9am UK time.
Additionally developing right now…
Monetary markets are on edge after massive falls on Wall Road final evening. The Dow Jones industrial common shed 323 factors, or nearly 1%.
Expertise-focused Nasdaq Composite slid 2.1% as fears that rising inflation will result in increased rates of interest drove buyers out of Large Tech corporations.
Fb’s shares tumbled nearly 5%, wiping nearly $50bn off its worth, after an enormous outage took its companies offline for hours. The crash affected thousands and thousands of individuals, organisations and companies who use Fb, Instagram and WhatsApp.
The vitality crunch proceed, with US oil costs hitting their highest ranges in seven years final evening after Opec and its allies resisted stress to hurry up their crude manufacturing.
That would feed by to increased vitality prices this winter, and costs on the pumps.
The UK’s petrol disaster is easing, with navy drivers now serving to to get gas to forecourts. However issues stay, significantly in London and the South East, so it may take per week to return to normality.
We additionally get new healthchecks on UK, eurozone and US service sector corporations this morning, which is able to present the impression of provide chain issues.
- 9am BST: UK automotive registrations for September
- 9am BST: Eurozone companies PMI for September
- 9.30am BST: UK companies PMI for September
- 1.30pm BST: US commerce steadiness
- 2pm BST: IMF Managing Director Kristalina Georgieva provides a speech forward of the IMF’s Annual Assembly later this month
- 3pm BST: US companies PMI for September