Recession looms as BoE report shows bearish growth forecast

The Bank of England issued a bearish inflation report last week, stating the UK will fall into zero ...

The Bank of England issued a bearish inflation report last week, stating the UK will fall into zero GDP growth and refusing to rule out recession. Governor Mervyn King said inflation will likely recede next year but any resulting market rebounds were tempered by a worse-than-expected growth forecast. "The central projection is for output to be broadly flat over the next year, so that four-quarter growth slows sharply in the near term," he said. "That is markedly lower than the projection in May, reflecting a weaker prospect for both consumer and investment spending." He added inflat...