Bank of England & ECB slash rates
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The Bank of England and the European Central Bank (ECB) have slashed rates to respond to faltering global demand as the world economy balances of the edge of the abyss.
The Bank of England cut rates to 1.5% down from 0.50%, the lowest rate in 314 years in an attempt to stop the economy from contracting. The English economy is in a dire position as the economy is set for it’s worst year since 1946 as the economy continues to contract at a record pace.
Meanwhile the ECB cut rates to 2% down from 2.50% as the economy continues to struggle and indicated more cuts could be on the way in an attempt to stimulate economic demand.
ECB & UK Central Banks cut rates again
European Central Banks slashed rates overnight as the European Central Bank (ECB) cut rates by 0.75% to 2.5% while the UK Central Bank lowered rates by 1% to 2%.
The cut by the ECB was the biggest in the near 10 year history of the ECB, the cuts have now amounted to 1.75% in the last two months.
The UK Central Bank’s rate of 2% is the lowest since they were foundered in 1694 and reflects the pain being experienced in the UK.
Both the ECB and UK Central Bank have indicated further cuts are likely in coming months.