{"id":9935,"date":"2021-10-25T16:32:27","date_gmt":"2021-10-25T16:32:27","guid":{"rendered":"https:\/\/zackspcg.com\/blog\/?p=9935"},"modified":"2022-02-26T13:05:37","modified_gmt":"2022-02-26T13:05:37","slug":"uk-trade-setback-after-brexit-it-spending-rises-china-posts-weak-q3-growth","status":"publish","type":"post","link":"https:\/\/zacksim.com\/blog\/uk-trade-setback-after-brexit-it-spending-rises-china-posts-weak-q3-growth\/","title":{"rendered":"UK Trade Setback After Brexit, IT Spending Rises, China Posts Weak Q3 Growth"},"content":{"rendered":"\n<p>In today\u2019s Steady\nInvestor, we dive into current news and key indicators in the market that we\nbelieve investors should consider such as:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Is U.K\neconomy feeling the sting of Brexit?<\/li><li>Spending\nmore on information technology<\/li><li>China\neconomy posts week growth in Q3<\/li><\/ul>\n\n\n\n<p><strong>Is the U.K. Economy\nFeeling the Sting of Brexit? <\/strong>On January 1, 2021, the U.K. formally began\nits new relationship with the European Union (EU). Trade data recorded since\nsuggests that the U.K. has suffered bigger trade setbacks than the rest of the\ndeveloped world \u2013 the value of U.K. exports to the EU fell by -13% (compared to\n2019) in the first eight months of the year, which was higher than the drop in\nexports to non-EU countries. On the flip side, imports from the EU were -20%\nlower, while imports from the rest of the world were up 1%. As global trade has\nrebounded amongst developed countries over the past several months, the U.K. is\nlagging behind in its recovery. Trade with the EU is a big part of the issue \u2013\nthe U.K. accounted for 7% of imports into the EU in 2019, but by this August\nthat number had shrunk to 4.3%. The overarching problem isn\u2019t free trade. The\nEU and the U.K. struck a deal at the end of 2020 ensuring no tariffs and quotas\non cross-border trade. The issue is that pre-Brexit, those goods sailed across\nborders with no customs issues or arduous paperwork. Post-Brexit, those goods\nare subject to many of the same formalities of cross-border trade with other\ncountries. The U.K. is hoping that trade agreements signed with other nations \u2013\nCanada, Japan, and South Korea for instance \u2013 can offset some of the EU trade\nlosses. Striking a trade deal with the U.S. could also be a major benefit, but\nthose talks are still in the early stages.<sup>1<\/sup><\/p>\n\n\n\n<p>______________________________________________________________________<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/go.steadyinvestor.com\/download-retirement-strategy-guide?source=zim&amp;medium=blog&amp;term=steadyinvestor_zim_2021_10_24&amp;content=retirement_strategy_guide\">Are You Protecting Your Retirement Assets?<\/a><\/strong><\/p>\n\n\n\n<p>Making sure your\nretirement assets are protected is top of mind for many investors today.\nImagine working hard to build up your retirement, just to have the stock market\nsuddenly plunge and wipe out half of your portfolio. <\/p>\n\n\n\n<p>This is why it\u2019s important to have an effective strategy in place to account for the market\u2019s ups and downs. So, how can investors protect their retirement assets against life\u2019s unknowns? Our free guide, <em>How Solid Is Your Retirement Strategy? <\/em>can help you build a retirement strategy that takes the \u201cwhat ifs\u201d into account.<\/p>\n\n\n\n<p>This guide offers\nour views on some key retirement investment strategies that may help you\npreserve your financial security in retirement, including:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The\nimportance of flexible portfolio allocation<\/li><li>Why\nkeeping some liquid assets can potentially help you preserve more wealth?<\/li><li>Understanding\nyour risk tolerance in case of a market downturn<\/li><li>Plus,\nmore strategies to help you protect your retirement assets <\/li><\/ul>\n\n\n\n<p>If you have $500,000\nor more to invest, get our free guide by clicking on the link below. <\/p>\n\n\n\n<p><strong>Get Our FREE Guide: <a href=\"https:\/\/go.steadyinvestor.com\/download-retirement-strategy-guide?source=zim&amp;medium=blog&amp;term=steadyinvestor_zim_2021_10_24&amp;content=retirement_strategy_guide\">How Solid Is Your Retirement Strategy?<\/a><\/strong><sup>2<\/sup><\/p>\n\n\n\n<p>__________________________________________________________________________<\/p>\n\n\n\n<p><strong>Spending More on\nInformation Technology \u2013 <\/strong>The\npandemic catalyzed the use of technology in business. Many businesses had\nalready been investing in \u2018digital infrastructure,\u2019 which could mean anything\nfrom the increasing use of software to the integration of enterprise cloud\nservices, to processing orders and transactions online. Workers can\nincreasingly work from anywhere because of advances in the digital economy, and\nfor many companies, there is no going back to the previous five-day-a-week in\nthe office structure. It follows that information technology budgets are expected\nto increase at their fastest pace in over 10 years, as companies see the\nurgency of developing and\/or improving their digital (IT) infrastructure.\nAccording to the research firm Gartner, IT budgets are expected to grow 2% in\n2021 and accelerate to 3.6% in 2022. It has also been reported that 51% of\nexecutives see an increasing need to invest in business intelligence and data\nanalytics tools.<sup>3<\/sup><\/p>\n\n\n\n<p><strong>China Economy Posts\nWeak Growth in Q3 \u2013 <\/strong>As largely expected, China\u2019s economic growth slowed in\nthe third quarter, as a range of issues from a real estate bubble, to a state\ncrackdown on private enterprise, to an energy crunch weighed on output. China\u2019s\nGDP posted 4.9% growth from the same quarter in 2020, which also marked a sharp\nslowdown from the 7.9% figure posted in Q2. The confluence of headwinds in Q3\npresented somewhat of a \u2018perfect storm\u2019 weighing on China\u2019s economy, and some\nof those issues may persist into Q4. The likelihood of a recession in China\nremains low, however, as the state has many tools to manage growth and as some\nof the headwinds at play could be short-term in impact.<sup>4<\/sup><\/p>\n\n\n\n<p><strong>How to Protect Your Retirement from Market Volatility?<\/strong>\nWhile there is no way to prevent market volatility, there is a way to protect\nyour retirement assets through market ups and downs. We recommend finding a\nretirement strategy that takes the \u201cwhat ifs\u201d into account. Our free guide can\nhelp you to prepare for what\u2019s to come as you plan your ultimate retirement.<\/p>\n\n\n\n<p>If you have $500,000 or more to invest, get our free guide, <em>How\nSolid Is Your Retirement Strategy.<sup>5<\/sup><\/em> You\u2019ll get valuable and\npractical ideas to help build a \u201cweatherproof\u201d retirement strategy that can\npotentially protect your retirement nest egg from any storm that could threaten\nyour financial security.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>UK sees decline in EU exports and imports, Covid spurs added IT spending, China GDP drops sharply compared to 2020<\/p>\n","protected":false},"author":3,"featured_media":7426,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[71,73],"tags":[],"class_list":["post-9935","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-private-client-group","category-steady-investors-week"],"acf":[],"_links":{"self":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9935","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/comments?post=9935"}],"version-history":[{"count":1,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9935\/revisions"}],"predecessor-version":[{"id":10278,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/posts\/9935\/revisions\/10278"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/media?parent=9935"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/categories?post=9935"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zacksim.com\/blog\/wp-json\/wp\/v2\/tags?post=9935"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}