Coronavirus: Bank of England holds rates but paints gloomy economic picture March 26, 2020 The Bank of England has kept interest rates on hold at the record low level of 0.1 per cent but signalled it is prepared to take further action to tackle the effects of coronavirus. The Bank’s monetary policy committee (MPC) today said it “stands ready to respond further as necessary to guard against an unwarranted [...]
US unemployment skyrockets as coronavirus crashes economy March 26, 2020 The number of Americans claiming unemployment benefits skyrocketed at the fastest pace on record last week as coronavirus laid waste to the US economy, data showed today. Jobless claims soared to 3.3 million in the week to 21 March from 282,000 a week earlier, according to the US Department of Labor (DoL). “This marks the [...]
Coronavirus: Moody’s downgrades outlook for Europe’s biggest banking systems March 26, 2020 Ratings agency Moody’s has downgraded the outlook for six of Europe’s biggest banking systems to “negative” as coronavirus threatens lenders’ profitability and asset quality. Moody’s said the banking systems of France, Italy, Spain, Denmark, the Netherlands and Belgium face a very difficult year and can therefore no longer keep their “stable” rating. The ratings agency [...]
ECB ditches rules limiting €750bn coronavirus bond purchases March 26, 2020 The European Central Bank (ECB) has scrapped nearly all limits to its bond-buying programme, significantly widening the scope of the €750bn (£700bn) of asset purchases it announced last week. The Eurozone’s central bank has previously followed self-imposed rules that say it cannot buy more than a third of a country’s sovereign debt. The Bank was [...]
BoE and Treasury to resume coordinated response to prevent coronavirus slump March 26, 2020 The Bank of England (BoE) and Treasury will resume their coordinated drive to prevent the coronavirus-related economic shutdown from triggering a deep recession. The BoE, which has already made two emergency cuts to interest rates this month, is reportedly likely to hold off on further action when it makes a statement at noon after its [...]
UK retail sales miss expectations before March’s coronavirus hit March 26, 2020 UK retail sales slumped 0.3 per cent in February to miss expectations of a small rise of 0.2 per cent. And core UK retail sales dropped 0.5 per cent on a monthly basis, deeper than expected in February, despite few businesses seeing the coronavirus-led slowdown that has wrought havoc in March. Excluding fuel, UK retail [...]
Coronavirus crisis is putting the public good back at the heart of commerce March 26, 2020 Conservative chancellors are not usually known for their inspirational quotes. Rishi Sunak, however, channelled the mood of the nation when he unveiled his bold package to tackle the coronavirus crisis. Ending his speech on a stirring note, he set out how history would judge our response, highlighting the acts of kindness and decency that would [...]
Fitch offers UK firms free ratings to access Covid-19 funds March 25, 2020 Ratings agency Fitch is offering unrated UK firms free ratings so they can become eligible for help from the Bank of England (BoE). The agency is offering a range of products, some free of charge, to help access a BoE facility to support businesses throughout the coronavirus outbreak. “In the current unprecedented and volatile situation, [...]
US stocks choppy as Wall Street weighs huge coronavirus stimulus March 25, 2020 US stocks have had a mixed start to trading a day after the biggest rally in a decade as investors mull over a $2 trillion stimulus package agreed by Congress yesterday. Wall Street’s Dow Jones was 1.3 per cent higher an hour into trading, while the S&P 500 was up 0.1 per cent. The Nasdaq [...]
This pandemic may lead to more trade barriers, but is that such a bad thing? March 25, 2020 The current crisis dominates everything, from trade to everyday life. But, within a relatively short space of time, it will pass. What next? What will be the “new normal” after coronavirus? A key policy aim across the west for many decades since the Second World War was to reduce barriers to international trade. But it [...]
