Morning:
13°c
Bank summons boffins for urgent talks about QE
29.09.09
The City's leading economists were hauled into the Bank of England this morning for a detailed question and answer session on its quantitative easing programme, otherwise known as printing money.
Bank deputy governor Charlie Bean ran the meeting in a bid to better explain the policy, which has created some confusion and exaggerated price moves in the market.
Chief economist Spencer Dale and Paul Fisher, executive director for markets, was also there.
It is the first time in recent memory the Bank has called economists in at relatively short notice for such a session, although it has denied that this represented some sort of “crisis summit”.
Among those invited to the briefing was Philip Shaw, economist at Investec, who said: “The monetary policy debate has become immensely technical so this meeting was a logical step.
“There's been a lot of interest in the markets about QE and possibly some people have been getting the wrong end of the stick.”
Worries about QE have been partly blamed for the dramatic fall in the value of the pound in recent weeks. Just in the past fortnight, sterling has dropped about 10% against the dollar and euro.
Reader views (2)
I would suggest that enough is enough!!!We expats in Europe have seen our living standards erode over the past year due, mainly, to the outpourings from the Bank of England and the Labour administration. From time to time we see a steady improvement to the value of sterling which gives us hope, whether we are pensioners or salaried persons, and then the Governor makes a statement and our hopes are 'dashed.' We do appreciate that it was our choice to live in or on mainland Europe, but we do net expect to be overlooked in such a cavalier or worse manner. For goodness sake lat us have something for which we can hope!!!
- Arthur Lincoln, Roeselare, Belgium
I would suggest that enough is enough!!!We expats in Europe have seen our living standards erode over the past year due, mainly, to the outpourings from the Bank of England and the Labour administration. From time to time we see a steady improvement to the value of sterling which gives us hope, whether we are pensioners or salaried persons, and then the Governor makes a statement and our hopes are 'dashed.' We do appreciate that it was our choice to live in or on mainland Europe, but we do net expect to be overlooked in such a cavalier or worse manner. For goodness sake lat us have something for which we can hope!!!
- Arthur Lincoln, Roeselare, Belgium
