Friday, November 5, 2010
Printing and Pumping (continued from Pragmatic Capitalist post)
Share prices shot back up to pre-banking crisis levels for the first time last night â€“ increasing the assets of millions of British savers. The FTSE100 index of leading shares closed up 113.82 points or 2 per cent at 5,862.79, its highest point since June 9, 2008. The surge came after Americaâ€™s central bank, the Federal Reserve, pumped a further $600billion (Â£370bn) into the U.S. economy late on Wednesday...... Many experts are unsure whether the huge experiment with printing money by the U.S. authorities will work. In Westminster yesterday George Osborne yesterday revealed that the Bank of England stands ready to inject further cash into the economy should the UK recovery wobble.