The Bank of England should be able to lower interest rates gradually as it gains confidence that inflation will remain close to its 2% target, Governor Andrew Bailey said in an interview published on Tuesday.
The Fed started its rate-cutting cycle with a hefty 50 basis-point reduction, and now attention turns to the extent of the central bank’s further cuts this year.
Oil prices rose on Tuesday on news of monetary stimulus from top importer China and concerns that tensions in the Middle East could hit regional supply, while a major hurricane loomed over the United States, the world’s biggest crude producer.
The world’s biggest cryptocurrency had risen after the Federal Reserve cut interest rates last week and announced the start of an easing cycle, with lower rates presenting better prospects for crypto.
The Chinese consumer is by far the biggest market for European luxury sales. That is the connection investors are making and taking a leap of faith that this Chinese monetary stimulus will feed through into the spending power of the Chinese consumer,” said Ben Laidler, head of equity strategy at Bradesco BBI.
