Jeremy Cook, chief economist at foreign exchange company, World First, said:
“This is definitely unexpected good news and will eliminate most fears that a double-dip recession is on the cards. I do not believe that this changes the MPC’s view on further quantitative easing.
“When the latest pump of cash was injected last October, the committee emphasised that it was more as a result of European headwinds than problems with the UK that caused the decision.
“Now, while a Lehman Brothers type event has been averted, courtesy of the ECB’s new lending operation, recession and diminished confidence cannot be spirited away and herein lies the problem.
“The European recession will have less deep but a more protracted effect on the UK economy and that’s why the money will come from the Bank of England.”
Meat Trade News Daily Supporting British Pig Farmers
Source: World First
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