A terrible idea in a weak economy, argue dovesMarkets have a tendency to panic when central banks threaten to raise interest rates. This is a huge factor after months during which the Bank has prepared the ground for a rate rise. An interest rate rise in this situation could make a bad situation worse. Facebook Twitter Pinterest Bank of England Governor Mark Carney is now expected to vote for a rate rise. In June, he said a partial withdrawal of the emergency post-Brexit package of an interest rate cut and an extra £60bn of quantitative easing “would be prudent relatively soon”.

Source: The Guardian October 28, 2017 15:00 UTC