Voted, last time just one of them voted, last time just one of them voted for a cut in Interest Rates. If we start to see other members of that committee moving towards a cut, a cut later in the year becomes increasingly likely. We will also get detail from the Bank Of England about what they think they is happening to economy right now to stop your running at the detail there that the main concern for them is inflation. It has been sky high over recent months and it is now starting to come down. 3. 2 is where it currently is but it is still above the Bank Of England a target of 2 . What they will be looking out at what point will be inflation, thats a measure of how quickly prices are rising, at what point will that come in line with their forecast and therefore they can start to afford to cut Interest Rates. Because english Interest Rates, m are rather blunt tool that the Bank Of England has to try and encourage us to save rather than to spend. Cool the economy, Stop It Overheating a
For the Us Government to borrow money for 30 years. The big spike at the end is the concern. That is the cost of borrowing over 30 years. The Us Government is being forced to pay more as investors worry they will lose out when compared to the returns they can get from those higher Interest Rates. Its a similar story in the uk where like other governments there will be concern in the corridors of power that it costs more to pay off the National Debt and so there is less cash for other things. Simon french is Chief Economist at the uk Investment Bank Panmure Gordon and i asked him to explain to me what is going on. Your summary was pretty accurate. The higher for longer Interest Rate environment is spooking investors who have been for at least 15 years of the view that Central Banks have their back in terms of keeping Interest Rates low, but also buying Government Debt, quantitative easing, money printing, which many viewers have been familiar with over the last 15 years, has gone into r
John antiisrael protesters taking to the streets as College Campuses are now in full blown crisis mode. We are awaiting an update from the white house on how the administration is responding to the protests as more are spreading against stomach across the country on john roberts in washington, sandra, every day this week the same thing. Sandra it continues to grow. We are covering it i am sandra smith in new york, john, this is America Reports so far over half of the top 50 universities in the country have seen protests just for the last week and it is growing by the day. John Fox Team Coverage starting now on how this is impacting bidens reelection a chance. Sandra lets get to Alexis Mcadams live at New York University for a alexis what are you seeing at nyu today . Hey, sandra and john come out at nyu we have not seen any protesters just yet though we know there are some planned events throughout this afternoon. We want to keep with you at nyu show you what we are seeing this is in f
moments ago. as a result of these efforts an initial group of foreign nationals including u.s. citizens departed gaza through rafah today. and we expect exits of u.s. citizens and foreign nationals to continue over the next several days. we want to make sure we can get u.s. citizens and their family members out as safely as possible. a total of about 400 americans and their families are among the roughly 7,000 foreign nationals seeking to leave. some injured palestinians are also making it through to hospitals in egypt. you see there a long line of ambulances lined up near the rafah crossing. but as these evacuations ramp up, deadly israeli airstrikes continue. one in northern gaza yesterday hit the crowded refugee camp of jabalya. israel says the attack targeted a hamas commander who was behind the october 7th terrorist attacks. and today a second explosion rocking that camp. the idf just confirming it was another israeli strike. we have global coverage for you. we beg
around that path. it s in part an interest rate story, the lagged effect of the sharp tightening we ve seen over the last 18 months. but it s also that the pool of savings that households and companies have drawn on last year to support spending will not be there. it s not a bottomless pit of savings. that s largely exhausted and that will not be there to protect incomes into 2024. but if we do get a recession, could we see the bank of england cutting rates to prop the economy up? the bank doesn t want people tom well, bank on that, but markets are nevertheless pricing cuts in. who s right? i think we could be on the verge here of quite a significant policy mistake of keeping interest rates too high and sucking money out of the economy when actually we could be on a brighter path. it could be an unnecessary recession in 2024. so when it comes to recession risk, is every country in the same boat?