Mervyn King

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Articles in the press are highlighting the recent data from the UK and how the economy is starting to show signs of the long awaited recovery: The CBI predicts that the UK GDP will grow by 1% this year and 2% next. The ONS now believes that the UK avoided the publicised and heavily criticised “double-dip” recession The Telegraph reported on Monday that Governor of the Bank of England Mervyn King might revise their growth forecast higher before he steps down in…

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The Bank of England is to make its monthly interest rate announcement alongside any further changes to the asset purchase facility at 12pm. The consensus is that the central bank will refrain from making any changes from the current course of quantitative easing (£375bn) and interest rates on hold at a record low 0.50%. There are expectations that the MPC will wait until Mark Carey becomes governor before increase the current level of asset purchases. Recent macro data from the UK has…

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The Bank of England held its benchmark interest rate at the 4 year low of 0.5% as expected. Prior to the announcement out of the 70 economists surveyed all expected for the rate to be left unchanged. The cenral banks asset purchase facility (QE) was also left unchanged at the current total of £375bn. No statement accompanied the release.…

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During the early part of the US session yesterday Sterling was bid in FX space, reversing recent declines. Mervyn King current Governor of the Bank of England had a pre-recorded, exclusive interview with ITV News (British News Channel) however the price action indicates that this could have been leaked. King said that the recovery is finally “in sight,” only a short time after he changed his stance and voted for further quantitative easing. In the interview he said that if you re…

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It’s the final trading session of the week, yesterday traders and politicians alike were discussing the positive UK growth figures and exiting the recession. Analysts were quick to note the 1% print was due to the Olympics and Jubilee effect rather than a sustained recovery. These contributing factors were one off events that will not be in future quarters to assist in the UK recovery. The economic ride for the UK is expected to be a bumpy one, though this positive figure has led econo…

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It’s the final trading session of the week in Europe and if you are one of the Apple faithful then you might have been queuing outside an Apple store overnight awaiting the iPhone 5 release. With pre orders topping $2 million, Apple has already released a statement stating that some clients will be unable to purchase the new smart phone until the end of October. It is a problem, that many companies would love to have, being unable to meet the demand upon release of a new product, with…

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The latestquarterlysurvey from the British Chambers of Commerce (BCC) said the the UK economy has shown a few signs of improvement in the last three months. It is refreshing to see an article that ispositive, as the majority of articles highlight the potential fallout from a Euro-zone breakup. The BCC expects economic growth of 0.3% in the quarter 1 of 2012, which is in contrast to the announcement of the OECD last week which predicts the UK economy to contract. This would be quarter on quar…

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Overnight Asian equity markets rose after the Japanese economy shrank less than the government estimate, which saw the regional benchmark index rising after a three consecutive negative sessions. The Yen weakened against all the majors after Japan announced a record current-account deficit. A committee of UK MPs and peers have warned that ministers should detail plans for the scenario of a Euro-zone break-up“as a matter of urgency”.The National Security Strategy believe tha…

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