Olesya's Feed
Dec 18, 2012

UK November inflation unexpectedly stays at highest since May

LONDON (Reuters) – UK inflation stayed at its highest level since May last month, confounding forecasts it would ease and potentially giving the Bank of England less room to resume quantitative easing to support the struggling economy.

The data released on Tuesday, showing annual consumer price inflation held at 2.7 percent after a surprise jump in October, will reinforce Bank of England concerns that price pressures may prove persistent and restrain consumer spending.

Dec 14, 2012

Construction boost may help UK avoid Q4 contraction

LONDON, Dec 14 (Reuters) – British construction output grew
in October, raising the prospect that the sector will boost
gross domestic product in the fourth quarter and help the
economy avoid a forecast contraction.

The annual decline in construction output slowed to 5.1
percent – the lowest since February and less than half of a 13.2
percent plunge in September.

Dec 13, 2012

No BoE plan for U.S.-style rate pledge – Fisher

LONDON (Reuters) – The Bank of England has no need to follow its U.S. and Canadian counterparts in committing to an extended period of low interest rates, a senior BoE policymaker said on Thursday.

Paul Fisher, the BoE’s executive director for markets, also said the government should be wary about changing the bank’s inflation target – shortly before Chancellor George Osborne publicly raised the prospect with legislators.

Dec 12, 2012

BoE’s Dale warns of further fall in living standards

LONDON (Reuters) – Britons’ living standards are likely to fall further, and there is little the Bank of England can do about it, the central bank’s chief economist warned on Wednesday.

Spencer Dale said Britain’s economy still had further to go to adjust to the aftermath of the financial crisis, and that a mix of slow wage growth and stubborn inflation is likely while that happens.

Dec 7, 2012

Factories show UK economy on verge of shrinking again

LONDON (Reuters) – British industrial production unexpectedly fell in October after factory output posted its biggest drop since June, reinforcing fears that the economy will shrink again at the end of this year.

It combined with weak trade data earlier in the week to cast doubt on lingering government hopes of an export-led recovery.

Dec 7, 2012

UK Oct manufacturing output weakest since June

LONDON, Dec 7 (Reuters) – British manufacturing output fell
in October at the fastest pace since June, reinforcing fears the
economy will shrink again in the final three months of the year
having just exited recession.

Britain has suffered two recessions in the past four years,
exiting the last one between July and September.

Dec 6, 2012

Bank of England keeps policy steady despite darker UK outlook

LONDON (Reuters) – The Bank of England left monetary policy unchanged on Thursday, voting as expected to stick with last month’s decision not to buy more government bonds to bolster Britain’s stagnant economy.

The decision comes despite finance minister George Osborne saying on Wednesday that Britain’s economy would grow much more slowly than expected over the next three years and that a key debt reduction goal would not be met.

Dec 6, 2012

BoE keeps policy steady despite darker outlook

LONDON (Reuters) – The Bank of England left monetary policy unchanged on Thursday, voting as expected to stick with last month’s decision not to buy more government bonds to bolster Britain’s stagnant economy.

The decision comes despite Chancellor George Osborne saying on Wednesday that Britain’s economy would grow much more slowly than expected over the next three years and that a key debt reduction goal would not be met.

Dec 5, 2012

Rating action on UK budget statement unlikely – DMO

LONDON (Reuters) – Credit rating agencies are unlikely to downgrade Britain’s prized triple-A rating after the latest fiscal update by Chancellor George Osborne, the country’s chief debt manager said.

In a half-yearly budget announcement to parliament known as the Autumn Statement, Osborne said on Wednesday that sluggish economic growth meant he would be a year late in meeting his target of ensuring that Britain’s debt falls as a share of its output.

Dec 5, 2012

Gilts lag Bunds as gloomy UK fiscal update nears

LONDON (Reuters) – Gilt futures underperformed Bunds on Wednesday before a budget update expected to show a deterioration in Britain’s public finances, which could revive fears the country will lose its prized triple-A rating.

At 1156 GMT the March gilt future was 8 ticks down on the day at 118.94. It lagged the benchmark Bund, which has now switched to the March contract, by over 40 ticks.

    • About Olesya

      "Olesya Dmitracova joined Reuters as a graduate trainee. She has spent a year in the Reuters Moscow bureau covering general and political news in Russia and the CIS. Since 2007 she’s been based in London, first as an investment banking reporter and since 2009, covering humanitarian crises and corruption issues worldwide for AlertNet and TrustLaw websites run by the Thomson Reuters Foundation. Before joining Reuters, Olesya had worked for the BBC World Service and regional media in Britain."
      Hometown:
      Balti, Moldova
      Joined Reuters:
      2005
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