Excerpt from: Bonds and Interest Rates CFDs and Spread Bets
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| October 08, 2008 | | Bank of England cuts rates by 50 basis points | Spread bets and CFDs on interest rates should consider that a coordinated global interest rate cut has taken place. Central banks around the world, including the Bank of England, have slashed rates by 50 basis points
in an effort to stem the global economic crisis. With credit markets
tight, the move is intended to help loosen the flow of money.
On the news, the U.K. pound made some gains in forex trading.
These gains were also helped along by the fact that the government has
bought preferred shares of the top banks in order to further shore up
the financial sector. | | |
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