The Fed is ignoring Trump: this is a fight he cannot win | Nils Pratley

The US president has attacked Jerome Powell again, but the central bank is simply dealing with economic reality

In the past month Donald Trump has called the US Federal Reserve “crazy”, “out of control” and “loco”. This week he returned for another bite. The Fed is the “my biggest threat”, said the president, and he is “not happy” with the chairman, Jerome Powell, an official he nominated to office less than a year ago.

The upwards adjustments to US interest rates are “too fast”, argued Trump, because inflation is “very low”.

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Hundreds join growing list of Britain’s ultra-rich

Fortunes of already wealthy people grow much faster than that of general population

The UK’s ranks of the ultra-rich have swelled by 400 over the last year, taking the number of people with fortunes of more than $50m (£38m) to nearly 5,000.

The fortunes of the already very wealthy are growing at a far faster rate than the general population, according to a report by the Swiss bank Credit Suisse published on Thursday.

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UK and US pull out of Saudi event over alleged murder of Jamal Khashoggi

UK trade secretary, Liam Fox, and US Treasury secretary, Steven Mnuchin, join others in boycotting economic forum in Riyadh

Liam Fox, the UK trade secretary, and the US Treasury secretary, Steven Mnuchin, joined key European partners in pulling out of a major economic forum in Saudi Arabia nicknamed Davos in the desert, in response to the alleged murder of the journalist Jamal Khashoggi.

Reports of Khashoggi’s gruesome murder at the hands of a gang of 15 men with links to the Saudi royal court have already led to many western media firms and bankers pulling out, and the political lead from Fox and Mnuchin is likely to accelerate the boycott of the Future Investment Initiative (FII) conference in Riyadh next week.

Related: As Trump cozies up to Saudi Arabia, the rule of law collapses further | Richard Wolffe

Related: Search for Khashoggi’s remains focuses on consul general’s house

Related: Mohammed bin Salman never was a reformer. This has proved it | Dilip Hiro

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EU members should be wary of stealing London’s super-sized financial sector | Howard Davies

Paris and other cities have put out Brexit welcome mats for the City, but does banking unbalance the wider economy?

As the UK’s Brexit negotiations stumble on, other European countries are using the uncertainty about the future regulation of the continent’s financial markets to tempt firms and activities away from London.

The French have been particularly active in support of Paris, but Frankfurt, despite lukewarm support from the government in Berlin, has not been far behind. And other cities such as Luxembourg City, Dublin and Amsterdam have laid out their own welcome mats. Bankers have not been so popular for a decade or more.

Related: Blockchain isn’t about democracy and decentralisation – it’s about greed | Nouriel Roubini

There is a ring of plausibility to the argument that with finance you can have too much of a good thing

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When council leaders petition No 10 to end austerity, things are bad | Polly Toynbee

Labour councils have had enough. As another round of devastating cuts looms, the leader of Newcastle council has gone to the source

With the budget barely more than a week away, the queue of desperate petitioners would stretch down Whitehall far out of sight. If austerity is over, who’s first in line? In the battle of crises, whose need is greatest?

This morning an actual petition was handed into No 10 by one sector that has suffered among the worst in the great state shrinkage of the last eight years – local government. Nick Forbes, leader of Newcastle city council, handed in a plea signed by all Labour local government leaders to stop the next round of cuts – the next £1.3bn due to be lopped off in April. If that axe falls again, Theresa May’s “austerity is over” conference message was pure deceit.

Related: Even Tory councils are now calling on ministers to ease the pain of cuts | Patrick Butler

Related: Yes we must take back control, not from Brussels – from Whitehall | Simon Jenkins

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UK retail sales fall in September as shoppers spend less on food

ONS snapshot shows drop of 0.8%, which is bigger than expected after summer splurge

A strong summer for Britain’s retailers came to an abrupt end in September as weaker demand for food dragged down spending overall.

The latest snapshot of spending from the Office for National Statistics showed that the volume of sales for shops and online businesses dropped by 0.8% – a bigger monthly fall than analysts had been expecting.

Related: Cheaper chocolate and meat drive down UK inflation in September

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Bank of England raises alarm over surge in high-risk lending

Central bank draws parallels to 2008 financial crisis in warning about leveraged loans

The Bank of England has issued a stark warning over the rapid growth in lending to indebted companies around the world, drawing parallels with the US sub-prime mortgage market that triggered the 2008 financial crisis.

Threadneedle Street said Britain was not immune from a global boom in risky lending that had alarmed financial regulators around the world this year, with the US market for such loans more than doubling since 2010 to surpass $1tn (£763bn).

Related: Cheaper chocolate and meat drive down UK inflation in September

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Cheaper chocolate and meat drive down UK inflation in September

ONS says consumer price index fell to 2.4% last month from 2.7% in August

UK inflation dropped further than expected last month as the falling price of meat and chocolate helped reduce some of the pressure on cash-strapped British consumers.

The Office for National Statistics said the consumer price index (CPI) fell to 2.4% in September from 2.7% the previous month, confounding City analysts’ forecasts for a more modest reduction to 2.6%.

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