Economics

QE is here to stay

‘The BRIC concept is a distraction’

Investors are moving back towards safe haven assets such as gold as ongoing violence in Iraq hits markets.

Housebuilder stocks have fallen and the pound is nearing 1.70 against the dollar as investors react to Mark Carney's change of tack on interest rates and new measures that may curb mortgage borrowing.

Oil prices have jumped to a nine-month high on mounting concerns turmoil in Iraq may have a negative impact on global supplies.

Chancellor George Osborne plans to allow the Bank of England to implement new measures to control accelerating house prices in the UK, as the property market shows signs of overheating.

The governor of the Bank of England has told the UK to prepare for a potential rise in interest rates this year.

The Chancellor is set to announce plans to clamp down on traders who manipulate markets, while establishing a review of how these markets operate.

Invesco Perpetual's co-head of fixed interest Paul Read has said he expects the UK's base rate to rise in the first quarter of next year, in contrast to the forecast of his former colleague Neil Woodford.

Economies around the globe need to shore up their fiscal positions now following an improvement in growth rates, and before the next crisis hits home, the World Bank has warned.