LONDON, June 24 (Reuters) – Bank of England Governor Mark
Carney pushed back slightly on Tuesday against expectations that
the bank will raise interest rates before the end of the year,
saying Britain’s economy still has plenty of slack to work
He also said financial markets underestimate how much
uncertainty there is in the economy.
LONDON, June 23 (Reuters) – Canada’s finance minister Joe
Oliver warned on Monday that investors could be mispricing risk
as they hunt for better investment returns, and said
policymakers should keep the issue under close review.
Oliver is in London to promote trade and investment, and
told Reuters in an interview that the global economy remained
vulnerable to financial shocks.
LONDON (Reuters) – Britain’s public finances showed little or no fall in underlying borrowing two months into the fiscal year, suggesting the government will have to increase the pace of deficit reduction to meet its latest borrowing targets.
Official data on Friday showed headline measures of borrowing were sharply higher than a year ago – largely due to one-off effects – and only weak growth in tax receipts despite a stronger economy.
LONDON (Reuters) – Bank of England policymaker Ian McCafferty said that economic data over the next few months will have a critical influence on when the central bank raises interest rates, adding to signs that a rate rise is possible later this year.
McCafferty’s comments on monetary policy in a speech in London on Thursday largely echo those he gave in a radio interview 10 days ago, and follow BoE Governor Mark Carney’s warning last week that markets had underpriced the risk of an early rate rise.
LONDON, June 19 (Reuters) – Strong sales of replica football
shirts last month as the World Cup approached were not enough to
save British retail sales from their first drop since January,
official data showed on Thursday.
The dip in sales was expected and followed a stretch of
robust demand. Sales for the three months to May compared with
the same period a year ago rose by the largest amount in nearly
LONDON (Reuters) – Three Bank of England policymakers set out reasons to favour raising interest rates sooner rather than later on Wednesday, more evidence that opinion at the central bank may be shifting towards a rate rise before the year is out.
New BoE chief economist Andy Haldane and Monetary Policy Committee members Kristin Forbes and Martin Weale all highlighted the costs of keeping rates on hold for too long, though none said rates should increase straight away.
LONDON (Reuters) – Chinese Premier Li Keqiang said on Wednesday that China’s economy would not suffer a hard landing and would continue to grow at a medium to high pace in the long term without strong stimulus.
Li made the comments during a speech in London’s financial district on the final day of a visit which has yielded trade and investment deals worth 14 billion pounds ($23.76 billion) and strengthened Britain’s bid to become the dominant centre for the Western trade in offshore yuan CNH=.
LONDON (Reuters) – Bank of England policymakers were surprised earlier this month that markets had not priced in a higher chance of an interest rate rise this year, minutes of their June meeting showed on Wednesday.
BoE Governor Mark Carney shocked markets last week when he said a rise in interest rates could come sooner than markets had been expecting, in comments that pushed sterling up toward a five-year high against the dollar.
LONDON, June 17 (Reuters) – British inflation slumped to a 4
1/2-year low last month but house prices surged in April,
according to data that clouded the view for Bank of England
policymakers gauging Britain’s economic recovery.
Consumer price inflation dropped to 1.5 percent in May from
1.8 percent in April, its lowest since October 2009, after the
first year-on-year fall in food prices since 2006, the Office
for National Statistics said on Tuesday.
LONDON (Reuters) – A Bank of England interest rate rise before the end of the year is a distinct possibility after unusually hawkish comments from Governor Mark Carney – but it is perhaps less certain than financial markets now think.
Carney surprised investors late on Thursday by saying that rates could rise sooner than markets had previously expected, causing sterling to soar to near a five-year high against the dollar and interest rate futures to price in a rise this year.