Weekly outlook: MPs due to press Bank of England over Woodford

Sponsored by J. Stern & Co.

AI: why investors should look beyond the technology sector

Monday 10 June

– Monthly UK GDP figures

– Shareholder Rights Directive – UK to transpose into law

Hermes Investment Management’s Andy Jones said: “Through the public reporting requirements the Directive pushes investors to consider ESG factors in their engagement and investment decisions. Also pushing a longer-term focus, the Directive should encourage investors to give greater consideration to related significant trends and challenges such as climate change and the SDGs.

“This in turn will greater align investor action with the interests of end beneficiaries and broader stakeholders of the economy. This is a watershed moment in the evolution of shareholder responsibility. As well as these effects the Directive will enable and extend the impact of future ESG related Directives such as those on sustainable finance.”

Tuesday 11 June

– Treasury select committee evidence session with Bank of England’s Ben Broadbent and Michael Saunders over reappointments

While this hearing was already scheduled for today, Treasury select committee chair Nicky Morgan has said she will question the Bank of England over the suspension of Neil Woodford’s Equity Income fund.

– US inflation figures

– UK employment data

Tilney’s managing director Jason Hollands, said: “The Q1 GDP numbers were quite strong but this was partly put down to stockpiling ahead of the original end of March Brexit date, so there are some expectations that GDP data will soften due to the extension and release of inventory and, of course, continued political uncertainty.

“US inflation data will be of interest, for sure. A surprise uptick in US inflation would not go down well with the markets as it would add pressure on the Fed to raise rates again but we think that is unlikely as core inflation has been ticking down in recent months.”

Wednesday 12 June

– City women will appear before the Treasury select committee about women in finance, including Terry Mellish from Natixis Investment Management and Megan Butler from the FCA.