Bank of England prepares a new blast of QE
Hailed by traders as a good weapon to cope with recession, but slammed by others for driving inequality, quantitative easing looks set for a comeback in the United Kingdom as the Bank of England tries to protect the national economy from Brexit’s tough consequences.
The major bank is poised to decrease interest rates as soon as Thursday. Furthermore, it will most likely follow up soon afterwards by simply reviving the enormous bond-buying program to cure the national economy under the circumstances of the global financial downtime.
Financial analysts are currently asking how the BoE might tailor its quantitative easing in order to address the problems faced by the United Kingdom in the aftermath of the previous month's vote to abandon the European Union. The given result threw Britain into political chaos and even sparked fears of recession.
The vast majority of economists surveyed by Reuters expect the UK’s number one financial institution to cut rates to a new record minimum of 0.25% on Thursday.