We are currently experiencing technical difficulties with our telephone system.
We apologise for any inconvenience and are working to resolve this as soon as possible.
Secured Loans > Financial markets react swiftly to Tory election win

Financial markets react swiftly to Tory election win

11th May 2015 | Published by Evo Money

Both UK shares and the value of the pound shot up following the Conservative win in the general election.

Traditionally, investors in the UK are thrilled by a Conservative win and the Tory party’s unexpected clear win was no exception. The FTSE 100 rose by 1.7 per cent even before the final seats had been declared whilst the pound rose by two cents against the dollar. The pound also rose against the euro, climbing rapidly by almost two euro cents.

Earlier opinion polls had indicated that no one party would win a clear majority, to the nervousness of the financial markets which had feared the possibility of a hung parliament, bringing with it a long period of uncertainty. Jason Hughes, from CMC Markets, a trading firm, said that the financial markets favour periods of stability and certainty and this win enables the Conservatives to continue to push through their policies of the previous parliament.

Bank shares initially saw the largest increase because the Conservative win lessens the likelihood of a rise in bank levies. Lloyds Banking group shares surged by 5.9 per cent and shares in Barclays by 4.1 per cent. Energy suppliers also saw their share prices rise because Labour had promised a freeze on energy prices and greater powers to the regulator, Ofgem. Shares in Centrica, owner of British Gas, were up by 7.9 per cent within hours of the news of the Conservative party victory.

However, according to analysts the rise in shares and the pound could be short lived. The possibility of Britain leaving the European Union will become a very real issue over the coming months and this will affect trading. Bill O’Neill of UBS Wealth International said that Britain’s possible exit of the EU and Scotland’s devolution will impact on the value of the pound sooner rather than later.

Category: Money
This post was written by Evo Money
Warning: Late payment can cause you serious money problems. For help, go to moneyhelper.org.uk
Representative 28.96% APRC (Variable) - For a typical loan of £20,950 over 85 months with a variable interest rate of 23.00% per annum, your monthly repayments would be £537.44. Including a Product Fee of £2,095.00 (10% of the loan amount) and a Lending Fee of £714.00, the total amount repayable is £45,682.15. Annual Interest Rates ranging from 11.7% to 46.5% (variable). Maximum 50.00% APRC. The loan must be paid back by your 70th birthday. Read more.

Think carefully before securing debts against your home your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured against it. If you are thinking of consolidating existing borrowing, you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.
© 2024 Evolution Money | Cookies | Terms & Conditions | Fair Processing Notice
Start Here
Please wait

Please wait

Don't leave just yet!

Evolution Money are a multi Award Winning UK finance company with thousands of happy customers!

Award Winning

Our friendly loan advisors can let you know if you're eligible for a loan without affecting your credit score. Why not give us a call today!

Freephone 0800 144 8188

Back to Evolution