Sunday, June 3, 2012
Right on cue. Global collusion to fight deflation continues.
Bank of England policymakers may opt to inject a further Â£50bn of stimulus into Britainâ€™s ailing economy this week, according to leading economists. "Up until now we had been arguing the Bank would sanction no more QE after ending the previous programme last month. But conditions have worsened." "The MPC cannot ignore this weaker news and we have thus changed our call for Â£50bn more quantitative easing to be announced at the June 7 policy meeting," he said. Michael Saunders of Citigroup was of the same view. â€œOn balance, we forecast the MPC will expand QE by another Â£50bn at the June meeting,â€ he said.