UK prime minister Gordon Brown says it makes sense for the UK government to support interest rate cuts with fiscal action. Ahead of the G20 summit, Brown opined on the BOE having scope for further rate cuts
The pound is in recovery mode today after falling sharply last week. It trades at 1.50 while EUR/GBP falls sharply.
Just crossing the wires, ECB official Bonello says if the available data in December points to a further easing of price risks conditions would be ripe for another rate cut. Lower interest rates should contribute to easing current tensions in the financial markets, he says.
