MNI BRIEF: China's Next NPC Meeting Scheduled For Nov 4 to 8

MNI: PBOC Net Injects CNY184.2 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Lower At 7.1090 Fri; +2.73% Y/Y

CHINA PBOC CONDUCTS CNY292.6 BLN VIA 7-DAY REVERSE REPOS FRI

CHINA SETS YUAN CENTRAL PARITY AT 7.1090 FRI VS 7.1286

MNI BRIEF: China Foiling Critical Minerals Startups- Freeland

MNI: GERMANY OCT IFO BUSINESS CLIMATE INDEX 86.5

MNI: ECB 1-YEAR CONSUMER INFLATION EXPECTATIONS 2.4%

MNI: FRANCE OCT CONSUMER SENTIMENT 94

CANADA: Politics Week: Trudeau Facing More Internal Dissent And Departures

CANADA: Politics Week: Trudeau Faces More Pressure To Resign

CANADA: Politics Week: Parliament Opens With Early Election Threats

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

MNI BRIEF: Consumption May Sag Despite Rate Cuts - BOE Greene

BOE MPC member Megan Greene writes about the risk of a lagging consumption rebound
Bank of EnglandGlobalCentral Bank NewsPolicy NewsHomepageCEEMEABriefUKStoryRegion

MNI (LONDON) - Many UK borrowers are on fixed rate mortgages and the full impact of higher interest rates is still being felt and this may mean that a consumption rebound will lag despite policy rate cuts, Megan Greene, independent Bank of England Monetary Policy Committee member said in an op-ed in the Financial Times Monday.

Greene, echoing her recent comments in a Newcastle speech, said that there were upside and downside inflation risks as policy easing feeds through and that she believed "a cautious, gradual approach to monetary easing is appropriate" although she made clear that if the primary impact of monetary policy came through its impact on household finances there were clear downside risks. "If the biggest factor is the impact of rates on household incomes, recovery could take much longer.  While households have already seen much of the benefit from greater interest on savings, the full impact of higher interest rates on mortgage payments has not yet passed through," she said.

Keep reading...Show less
188 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

MNI (LONDON) - Many UK borrowers are on fixed rate mortgages and the full impact of higher interest rates is still being felt and this may mean that a consumption rebound will lag despite policy rate cuts, Megan Greene, independent Bank of England Monetary Policy Committee member said in an op-ed in the Financial Times Monday.

Greene, echoing her recent comments in a Newcastle speech, said that there were upside and downside inflation risks as policy easing feeds through and that she believed "a cautious, gradual approach to monetary easing is appropriate" although she made clear that if the primary impact of monetary policy came through its impact on household finances there were clear downside risks. "If the biggest factor is the impact of rates on household incomes, recovery could take much longer.  While households have already seen much of the benefit from greater interest on savings, the full impact of higher interest rates on mortgage payments has not yet passed through," she said.

Keep reading...Show less