monetary-policy
TradingPound Skids 2% on BoE Recession Warning, Biggest Daily Fall Since 2020
TradingDollar Bounces, Sterling Tumbles on Dovish BoE
Top StoriesNo Messing Around, Central Banks Ramp up Inflation Fight
TradingRussian Rouble Hits Highest Level Since March 2020; Sanctions Talk in Focus
Bank of England’s Bailey Explains Rate Hike
Date: May 5, 2022
LONDON (Reuters) – The Bank of England raised interest rates on Thursday for the fourth meeting running, taking borrowing costs to their highest since 2009 at 1%. Here are comments from BoE Governor Andrew Bailey and some of his top officials as they explain the reasoning behind the decision. BAILEY ON DRIVERS OF INFLATION “The...
ECB Sees Sequence of Moves to Lift Rates Into Positive Territory: Lane
Date: May 5, 2022
FRANKFURT (Reuters) -The European Central Bank is preparing for a sequence of rate hikes that will put its benchmark rate in positive territory, but the path it takes is more important than the exact date of the first move, ECB chief economist Philip Lane said on Thursday. With inflation soaring to a record high 7.5%...
Bank of England Raises Rates to 1% Despite Looming Recession Risk
Date: May 5, 2022
By William Schomberg and David Milliken LONDON, May 5 (Reuters) – The Bank of England raised interest rates to their highest since 2009 at 1% on Thursday to counter inflation now heading above 10%, even as it sent a warning that Britain risks falling into recession. The BoE’s nine rate-setters voted 6-3 for the quarter-point...
Norway Keeps Rates on Hold, Remains on Track for June Hike
Date: May 5, 2022
By Victoria Klesty and Gwladys Fouche OSLO (Reuters) – Norway’s central bank kept interest rates on hold on Thursday as widely expected and restated its plan to raise the cost of borrowing in June amid rapidly rising inflation. Norges Bank’s monetary policy committee unanimously agreed to keep the rate steady at 0.75%, as predicted by...
Euro’s Post Fed Glow Fades on Bleak German Industrial Orders
Date: May 5, 2022
By Saikat Chatterjee LONDON (Reuters) – The euro pulled back from a one-week high against the U.S. dollar on Thursday after German industrial orders fell more than expected in March, signalling Europe was facing growing headwinds from the war in Ukraine. The dollar had weakened after the Fed raised interest rates by 50 basis points....
European Stocks Rally on Fed Relief, Encouraging Earnings
Date: May 5, 2022
By Sruthi Shankar (Reuters) -European stocks climbed on Thursday, riding a global stock markets rally after the Federal Reserve raised interest rates as expected but cooled aggressive tightening expectations, with sentiment lifted further by a slew of upbeat earnings. The pan-European STOXX 600 index advanced 1%, with battered technology stocks leading the gains, followed by...