QE

Billionaire investors George Soros and John Paulson have upped their stakes in the largest exchange-traded fund backed by gold as the commodity posted the largest quarterly drop since 2008.

In its latest quarterly inflation report, released today, the Bank of England has muddied the waters somewhat on its plans for further stimulus, leaving pundits wondering if a rate cut is on the cards.

Investors' ongoing fears over the state of the global economy will continue to support bond fund demand in the short term, overshadowing concerns from the regulator they could exit en masse, managers have said.

Capital Economics expects the Bank of England to cut the UK's base rate from 0.5% in an effort to stimulate growth, after last week's GDP figure showed the economy is shrinking faster than feared.

Last week the yield on UK gilts dropped below US treasuries as the Bank of England's quantitative easing programme continued to impact the market.

US

Some 80% of US stocks' excess returns since 1994 have been earned in the 24 hours prior to FOMC statements, according to the New York Federal Reserve.

EUROPE

The Bank of England (BoE) has extended its quantitative easing programme by £50bn, in a bid to haul the UK economy out of recession.

The Bank of England will continue with its quantitative easing programme until it owns all of the gilt market not controlled by life companies, according to Schroders' Gareth Isaac.