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Bank of England cut rates by 50 basis points as expected

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The bank of England cut rates by 50 basis points, leaving the base rate at 0.5% its lowest ever. Leading up to the rate decision sterling began to feel the pressure against the Euro and US dollar after trading at a high of 1.1283 and 1.4234 respectively, this afternoon the selling has continued. The central bank has also agreed to push ahead with quantitative easing with an amount of £75bn in assets, printing money to fight the recession.

Thursday 05 March 2009, 12:44pm

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