The pound hit a 6-month low against the euro yesterday as the markets digested a second emergency rate cut from the Federal Reserve. Today, sterling is weak as the expectation for new quantitative easing measures has grown. It’s also thought that the Bank could cut interest rates again, either at their official meeting on the 26th of March or before then.
A group of central banks, including the Bank of England, took co-ordinated action at the beginning of the week to relieve the shortage of dollars and provide extra liquidity. However, the markets still suffered yesterday, with the FTSE 100 closing at an 8-year low.
Yesterday afternoon, Boris Johnson delivered the first of his daily coronavirus press conferences. He has said that everyone should avoid social contact with others and non-essential travel. People have now been advised to work from home where possible and avoid pubs, clubs and other social venues.
Today, the Prime Minister is expected to announce more financial measures to help the economy and businesses.
This morning, there’s a series of data releases for the UK, including average earnings figures and unemployment rate for January.
