ANL 13.19 Increased By ▲ 0.65 (5.18%)
ASC 12.17 Decreased By ▼ -0.53 (-4.17%)
ASL 13.50 Increased By ▲ 0.04 (0.3%)
BOP 8.31 Decreased By ▼ -0.07 (-0.84%)
BYCO 5.75 Decreased By ▼ -0.21 (-3.52%)
FCCL 17.06 Decreased By ▼ -0.02 (-0.12%)
FFBL 23.61 Decreased By ▼ -0.44 (-1.83%)
FFL 10.05 Increased By ▲ 0.08 (0.8%)
FNEL 9.31 Increased By ▲ 0.06 (0.65%)
GGGL 13.80 Decreased By ▼ -0.20 (-1.43%)
GGL 26.75 Decreased By ▼ -0.30 (-1.11%)
HUMNL 5.66 Decreased By ▼ -0.07 (-1.22%)
JSCL 14.55 Decreased By ▼ -0.45 (-3%)
KAPCO 30.70 Decreased By ▼ -0.90 (-2.85%)
KEL 3.16 Decreased By ▼ -0.06 (-1.86%)
MDTL 2.09 Decreased By ▼ -0.12 (-5.43%)
MLCF 31.90 Decreased By ▼ -0.85 (-2.6%)
NETSOL 89.00 Decreased By ▼ -1.21 (-1.34%)
PACE 4.09 Decreased By ▼ -0.01 (-0.24%)
PAEL 20.42 Decreased By ▼ -0.09 (-0.44%)
PIBTL 7.27 Increased By ▲ 0.02 (0.28%)
POWER 6.31 Decreased By ▼ -0.08 (-1.25%)
PRL 11.80 Decreased By ▼ -0.15 (-1.26%)
PTC 8.69 Decreased By ▼ -0.11 (-1.25%)
SILK 1.19 Increased By ▲ 0.02 (1.71%)
SNGP 37.10 Decreased By ▼ -0.60 (-1.59%)
TELE 14.47 Decreased By ▼ -0.38 (-2.56%)
TRG 79.19 Increased By ▲ 1.51 (1.94%)
UNITY 21.85 Decreased By ▼ -1.05 (-4.59%)
WTL 2.00 Decreased By ▼ -0.03 (-1.48%)
BR100 4,398 Increased By ▲ 17.1 (0.39%)
BR30 16,992 Increased By ▲ 128.7 (0.76%)
KSE100 43,281 Increased By ▲ 47.9 (0.11%)
KSE30 16,777 Increased By ▲ 59.2 (0.35%)

Coronavirus
LOW
Source: covid.gov.pk
Pakistan Deaths
28,784
724hr
Pakistan Cases
1,287,393
23224hr
Sindh
476,958
Punjab
443,560
Balochistan
33,509
Islamabad
107,960
KPK
180,412
Markets

Bank of England on guard against spiking inflation

  • The British central bank's monetary policy committee is likely to keep its key rate at a record-low 0.1 percent
23 Sep 2021

LONDON: The Bank of England is expected to stay the course on interest rates and stimulus on Thursday, despite soaring inflation and fears of runaway domestic energy costs.

The British central bank's monetary policy committee is likely to keep its key rate at a record-low 0.1 percent.

Annual inflation surged in August to a nine-year high of 3.2 percent after the pandemic-hit economy reopened.

Policymakers will be mindful of Britain's flat recovery, and the impact of the end of the government's furlough jobs support scheme next week.

The recovery slowed sharply in July, as rising coronavirus cases and supply shortages offset a further lifting of lockdown restrictions.

"Recent downside news on economic activity will counterbalance the upside news on inflation," said Pantheon Macro analyst Samuel Tombs, predicting no change in policy from the BoE.

The British central bank has warned that inflation could soon strike 4.0 percent -- double its target -- impacted by a global supply crunch that was sparked by the pandemic.

Yet the BoE argues that high inflation will be temporary, echoing the US Federal Reserve and the European Central Bank.

Wholesale gas prices, however, have soared this week to a record high, sparking fears of rocketing energy bills as demand peaks during the cold northern hemisphere winter.

The UK economy rebounded 4.8 percent in the second quarter, but grew by an anaemic 0.1 percent in July.

On Wednesday, the US Fed said that while increasing Covid-19 cases have slowed the US economic recovery, it may be ready to "soon" start removing stimulus.

The economy has healed to the point that the central bank may slow the pace of its massive monthly bond purchases "if progress continues broadly as expected", the policy-setting Federal Open Market Committee (FOMC) said in a statement after concluding its two-day meeting.

We love hearing your feedback, please help us improve by answering these few survey questions

Comments

Comments are closed.