interest rate

Raising interest rates too fast this year in an attempt to stem inflation would be the ‘ultimate policy error', says Caspar Rock, CIO at Architas.

ON ASSET ALLOCATION

M&G's Jim Leaviss says an interest rate rise in the UK could be "GDP suicide", although the Bank of England may still succumb to inflationary pressure.

The Bank of England has maintained interest rates at 0.5% and kept its quantitative easing programme at £200bn.

The Bank of Japan has kept interest rates static at between 0% and 0.1% in a bid to boost the nation's economy and rein in inflation.

The Bank of England today rejected a fresh bout of quantitative easing and kept interest rates on hold for the 20th consecutive month.

Australia and India have both raised interest rates by 0.25% on escalating inflation fears.

The Bank of Japan has cut interest rates to virtually zero in an effort to revive the ailing economy.

ON BONDS

Dr Andrew Sentance remains the lone member of the Bank of England Monetary Policy Committee to argue for an increase in interest rates.