Economist, Visiting Professor, Lecturer, Writer, Public Speaker.
With inflation falling sharply in the US, the eurozone, and the UK, there is no longer a debate about whether the peak in interest rates has been reached. Instead, there is a consensus about rate cuts being the next move, not rate rises and about when that will happen, not if. Financial markets are now …
Continue reading “Economic data show a turning point has been reached in the cycle”
As expected, the Bank of England left interest rates on hold at its November quarterly meeting. Three members were still calling for rate hikes of a ¼ of one per cent even though the Bank of England lowered its forecast for GDP growth in 2024 from half a per cent to zero and its forecast …
Some of the policies announced by the Bank of England at its last meeting (21 September 2023) are flying under the financial markets radar. Although attention was rightly focused on the Bank of England’s decision to leave interest rates on hold at 5.25% – the first hold in 14 meetings –another announcement at the meeting …
Continue reading “Watch out for the deflationary impact of a tight monetary stance”