In a race to get on top of surging inflation, central banks in the United States, Britain and Australia, all jacked up interest rates this week.

HSBC on Thursday sharply cut its forecast for the euro and said it expects the single currency to weaken to parity against the U.S. dollar this year, the first major investment bank to make that prediction.

LONDON (Reuters) -Britain's pound and government bond yields fell sharply on Thursday, after the Bank of England raised interest rates to their highest since 2009 but warned that the economy was at risk of recession.

European banks counted the rising cost of war in Ukraine on Thursday as France's Societe Generale, Credit Agricole and Italy's UniCredit upped provisions for the conflict without shattering investors' confidence in their prospects.

The number of Americans filing new claims for unemployment benefits increased more than expected last week, but remained at a level consistent with tightening labor market conditions and further wage gains.

DUBLIN (Reuters) -Airlines face a slew of growing costs in the coming year including higher insurance, fuel, labour and lease rates, the chief executive of major aircraft lessor SMBC Aviation Capital said on Thursday.