sterling


Or, looked at another way, sterling has hit a 25-year low against the Australian dollar (and it’s 24.96 years, actually). Sterling has been falling across the board.

The change in exchange rate has been particularly swift of late, although there were steeper-still changes in the opposite direction during 1985. 

Currency markets are unmoved by today’s upward revision in Q4 GDP figures: sterling is still falling. Jonathan Loynes of Capital Economics said the growth was driven by a slowdown in the rate of inventory unwinding, hardly the basis for a strong recovery.

Thursday’s business investment figures haven’t helped. They were sharply down – 5.8 per cent – against an expectation of a rise of 0.1 per cent. 

Chris Giles

The Financial Times has an interview with Paul Fisher, head of markets, in tomorrow’s paper. Here are some initial impressions from an interesting chat, writes Chris Giles of the Financial Times 

The World Bank questions the supremacy of the United States, as other commentators question the legitimacy and usefulness of the World Bank. Bad news for ‘developed’ countries; good news for ‘emerging’ markets; and questions over the distinction between them 

Chris Giles

Chris Giles writes on Mervyn King, Bank of England governor, and predictions for sterling.