Wednesday 17 December 2025
The Mighty Headlines
Economics: UK interest rate cut almost certain as unemployment rises
Business and markets: Defence stocks fall as US says Ukraine deal is near
Foreign Affairs: US targets UK and EU over digital services
Security and intelligence: Russia rejects any “compromise” on territory
Domestic politics: UK makes trade agreement with South Korea
The Mighty Stats
FTSE = 9,684.79 (down 0.68%)
S&P 500 = 6,800.26 (down 0.24%)
Nasdaq = 23,111.46 (up 0.23%)
CAC40 = 8,106.16 (down 0.23%)
£1 = $1.34 / €1.14
Lab / Con / Reform = 18 / 17 / 28 per cent (YouGov, 14-15 Dec)
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Today’s Mighty Question and Answer
Q: Is there a difference between a trade deal and a trade agreement? You seem to use both. Kindest regards, T.
A: Thank you, T. There is in fact a difference, although the terms are often used interchangeably. A trade agreement usually refers to a free trade agreement which is a comprehensive agreement made between two or more countries. Free trade agreements are often vast in nature covering goods, services and other areas like mobility and recognition of professional qualifications. Trade deals are smaller than free trade agreements and cover specific areas like tech or finance.
The Mighty Detail
Economics: UK unemployment rose from 5.0 per cent to 5.1 per cent in the three months to October. This is the highest level since 2021. At the same time, wage growth fell from 4.7 per cent to 4.6 per cent and private sector pay growth fell below 4 per cent for the first time since 2020.
The markets are now putting the chance of an interest rate cut by the Bank of England later today at 90 per cent.
Business and markets: European defence stocks fell yesterday after President Trump suggested that a Ukraine-Russia peace deal was close. Rheinmetall fell by 4.5 per cent. Saab, the Swedish jet fighter maker, fell by 4.8 per cent.
Defence manufacturers insisted that business would remain strong even if the war in Ukraine ended, with nearly all NATO members committing to spend 5 per cent of GDP on defence by 2035.
Foreign Affairs: The US has suspended a $40 billion technology deal with the UK signed by President Trump and Sir Keir Starmer in September. The US is reportedly concerned about the UK’s online safety legislation, digital services tax and food safety standards. The US is also threatening the EU over its digital services regulations.
Security and intelligence: The Russian Deputy Foreign Minister said yesterday that Russia rejects any “compromise” on Ukrainian territory and wants full control of Crimea, Donetsk, Luhansk, Zaporizhzhia and Kherson. Russia also rebuffed a Christmas truce, which Ukraine said it would agree to. It follows talks between President Zelensky and US negotiating teams in Berlin on Monday.
Domestic politics: The UK Government has agreed a free trade agreement with South Korea. The deal effectively maintains the roll-over agreement made when the UK left the EU and 98 per cent of goods will continue to be tariff-free.
The Mighty Calendar
What’s happening today?
Resident doctors in the UK begin five-day strike
Health Secretary appears before Commons Health Committee
Final Prime Minister’s Questions of the year in UK Parliament
UK CPI inflation data (October) – set to fall from 3.6% to 3.4%
Lookahead to tomorrow
Bank of England interest rate decision – set to be cut to 3.75%
European Central Bank interest rate decision – set to stay at 2.15%
European Council summit, Brussels (ends Friday)
BBC Sports Personality of the Year
Environment Questions in UK Parliament
Company results from: BlackBerry, Birkenstock, Nike, Currys
The Mighty Finale
🌤️Weather today
Heavy rain in the southwest of England all day. Light rain in the north. Dry until evening in the southeast. High of 11C and low of 10C in London. Heavy rain in Belfast. Light rain in Edinburgh.
✏️Life coaching quote of the day
“When one door closes, another opens; but we often look so long and so regretfully upon the closed door that we do not see the one which has opened for us.” – Alexander Graham Bell, inventor
Mighty takeaway: Do not stayed fixed on the past. What is done is done. Enjoy what you have now. It’s difficult but you must try for your own happiness.
That’s it for this morning. See you on Friday!
Cheerio!
The Mighty Memo team
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