Bank of England Ramps Up Quantitative Easing
The Bank of England will keep its benchmark interest rate at the current rate of 0.5 percent but has decided to inject another £50 billion ($84.8 billion) into the economy bringing the total amount spent on quantitative easing to £175 billion ($297 billion). In a statement released this morning, the Bank noted that the recession “appears to have been deeper than previously thought”. More
New US Jobless Claims Lower Than Expected
The number of new jobless claims in the US fell more than expected last week to a seasonally adjusted 550,000 – considerably better than the estimates of 580,000. However, the total number of people receiving unemployment benefits rose by 69,000 to 6.3 million. More
ECB Holds Line on Interest Rates
Calling the current record low interest rate of 1 percent “appropriate”, the European Central Bank voted to leave the rate unchanged. More
US Retail Sales “Sluggish”
While results are still being compiled, early indications from several merchant groups suggest that July’s retail sales remain “sluggish”.
“The consumer is stressed and depressed,” said Ken Perkins, president of retail consulting firm Retail Metrics. “Back-to-school shopping season is going to be very late.” He added that jobs are “everything right now,” and if the pace of job losses continues to slow, consumers will start to feel better. More
