How can the BOE justify doing nothing – holding interest rates steady and offering no strong view on the direction of monetary policy – while also increasing its growth forecasts, at a time when it already expects inflation to overshoot the target for the next three years?
Ever since the Conservative government came to power in 2010, one of its key policy goals has been reducing the annual government deficit to achieve fiscal balance.
Have market participants overreacted to the tone of the Brexit debate, or is there more volatility to come?
Today’s four policy moves certainly constitute a decisive and comprehensive package. Now the two critical questions are will it work, and what are the investment implications?
Our expectation is that growth will fall to around 0% or slightly above over the next 12 months.
Initial market moves suggest that the fall-out from the Brexit vote can be contained, although considerable uncertainty still looms.
After a night of high drama, the British public voted to end their 40-plus-year relationship with the European Union (EU).
There will likely be material volatility leading up to and around the vote on 23 June. How can investors position for this?
What is the likelihood that the next move in official UK rates could be down and what are the investment implications?
The British referendum on whether to remain a member of the European Union is likely to weigh on UK markets for months to come.