Reuters polled UK economists on expectations for growth and mon pol:
- See 50B pounds of additional asset purchases, prob in Nov
- Q3 growth seen at +0.6% vs +0.7% in Aug poll
- Q4 growth seen at +0.2% vs +0.3% in Aug
- Full-year GDP seen at -0.3%, same as Aug
For the US, QE3 expectations continue to rise
- Economists see 65% chance of QE3 vs 60% in Aug
- See tomorrow as likely launch data of QE3
- Q3 GDP seen at 1.7% vs 1.8% in Aug
- Full-year GDP seen at 2.2% vs 2.1% in Aug
I would say the market is pricing in an 80% chance of QE3 tomorrow.