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BBCNEWS World Business Report July 7, 2024



hello and welcome to audiences in the uk and around the world. we begin in the us where the central bank is expected to increase interest rates by another 75 basis points today which would be the fourth consecutive increase of this size. many are hoping for signs the federal reserve may soften its approach in the months ahead with markets anticipating a 0.5% rate rise in december. so what s different within the us economy that would lead the fed to change its current course? here s michelle fleury. since march the federal chair hiked the rate by three percentage points, in so doing caused more expensive loans on everything, from houses to cars and credit cards, so far they have done so without any damaging slowdown in job have done so without any damaging slowdown injob or growth wealth creation. the trouble is there is no sign of a living rolling off with consumer prices, inflation still high at over 8% and still the fed has focused on. and until it sees inflation c ....

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BBCNEWS World Business Report June 4, 2024 05:37:00

Others have signalled they will try to do that coming months. . in layman s terms what does in layman s terms what does this mean, is it good news, a sign we are no longer needing quantitative easing at this point or is it a sign they are having to take the steps to try and draw down on patient? it is and draw down on patient? it is and draw down on patient? it is a sin of and draw down on patient? it 3 a sign of functioning markets and that is good news, remember, couple of weeks ago the bank of england had to step in with more quantitative easing at the long end of the uk gilt curve because that market broke after the so called mini budget when all the pension plans struggled to make that market struggle for themselves, it is very good you suggested were able to prove they can sell and it is the short term of the uk government bond curve is functioning well with good demand for uk paper. however it is being done to bring down inflation, to make sure the interest rate rises ....

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