interest rate

UK EQUITIES

The Bank of England today held interest rates at 0.5% as fears over a sluggish economic recovery outweighed inflation concerns.

The Bank of England is likely to maintain its current monetary stance and keep interest rates at their historic low today after a new report suggested the UK's economic recovery remains sluggish.

The first quarter rebound in the UK economy was weaker than expected, a survey suggests, adding to a growing consensus the Bank of England should again delay raising interest rates this week.

The Reserve Bank of India has raised interest rates to fight rising consumer prices in the country.

The UK will be at risk of returning to recession if the Bank of England raises interest rates, says MAM Funds' Martin Gray.

Expectations the Bank of England and European Central Bank will raise interest rates in the second quarter of 2011 have risen dramatically, a new survey of fund managers shows.

Holding UK interest rates at crisis levels is "inappropriate" as rising inflation becomes a bigger concern than a double dip recession, says Julie Dean at Cazenove.

The Monetary Policy Committee's forecasts for UK real growth are too optimistic, while concern mounts over its inaction in raising rates to stem rising inflation, says Threadneedle's Mark Burgess.

Investors' growing appetite for emerging market debt is a cause for concern as the asset class could be set for a correction, says Rathbones' David Coombs.