by the bank of england about recession, _ announcement by the bank of england about recession, about— announcement by the bank of england about recession, about triple - about recession, about triple increasing _ about recession, about triple increasing energy— about recession, about triple increasing energy bills, and i about recession, about triple - increasing energy bills, and about the cost _ increasing energy bills, and about the cost of— increasing energy bills, and about the cost of living _ increasing energy bills, and about the cost of living in _ increasing energy bills, and about the cost of living in general, - increasing energy bills, and about the cost of living in general, 13%.| the cost of living in general, 13%. and this — the cost of living in general, 13%. and this is — the cost of living in general, 13%. and this is absolutely _ the cost of living in general, 13%. and this is absolutely leaving - the cost of living in general, 13%. and this is absolutely leaving noi and this is absolutely leaving no room _ and this is absolutely leaving no room of — a

how much more latitude is the bank of england have? one more 50 basis point hike, could that be the first and last one, how do you categorize the momentum? sonja: the bank of some room to move. i'm not sure how much the market is pricing but there is definitely more in the pipeline, and more than one rate hike from the bank of england coming. they are looking to begin the quantitative tightening process. that's looking difficult because they are wanting to reduce the balance sheet and there gilt holdings, but they don't know who will be prime minister in september. that creates uncertainty because they don't know exactly what kind of gilt issuance they are dealing with when it comes to tightening. it is difficult for the bank of england to balance. dani: how much does the trajectory of sterling, the bank of england change if truss is at the helm and tries to change the mandate of the boe from inflation to gdp? sonja: i think that is a dangerous path to follow. i think this will be the wrong signal, completely wrong. it is one of the ol

, nor in the bank of england. that at any moment any country or central bank in the world can be relatively international reserves. we spoke to daniel shaw, professor of latin american and caribbean studies at the city university of new york, who told us that the case high court's decision will hum ordinary venezuelans. this is, make you neo colonial aggression against that as well or against any country that they can't control who are the courts of england in the bank of england to determine what to do.

guy: how aggressively will the ecb, the bank of england, have to hike rates? two went level to get their currencies to rise significantly from here? these week currencies are aiding and abetting the inflationary narrative we have right now. energy is priced in dollars, europe has an energy problem. thu: i think what we need to see from a very aggressive -- hike, from 75 basis points in another month, i think that would be something the market would be surprised by, a very hawkish signal. what we saw more recently, bigger interest rate hikes -- saw interest rate hikes, as well as economic development. it is backpedaling on the bigger interest rate hikes, the ecb falls raising rates. kailey: if we could zero in on the pound and the bank of england for a second, in the absence of aggressive action like the kind you describe, could we realistically be looking at parity on cable, too? thu: i think so. as far as the pound, a different picture here. if it becomes too aggressive, i think the markets are priced in -- the u.s., too aggressive interest rate hikes which w

, nor in the bank of england. that at any moment any country or central bank in the world can be rob davidson, international reserves. we spoke to daniel saw professor of latin american and caribbean studies at the city university of new york, who told us that the case, high court decision will home ordinary venezuelans. this is, make you neo colonial aggression against that as well or against any country that they can control. who are the courts of england in the bank of england to determine what to do with all $2000000000.00 the vendors willing gold. this belongs to the everyday people of venezuela. that could be used for the 30000000 people of that country in the form of scholarships, investments in education, investments, and much needed infrastructure. but this is part of the allow you a us western imperial is the solved on ben is one of the sovereignty that is endured now. since the $998.00 election of hugo chavez, ah, as replaces another massive heat wave, spain is planning to impose new restrictions on air

still had here on al jazeera, the bank of england analysis. biggest interest rate hike in 3 decades. will we live in london with the details of the new economy minister announces measures to tackle argentina's level finances. ah, the journey has begun. the. the full world cup is on its way to cat hook. your travel package to the the heat has been violently. it's across parts of japan. hey, we're one. so has of late look at this. this is just north of tokyo. are pretty close to 40 degrees. the national temperature record 41 butts. what weather has swung throughs that's really flushed out that he'd silica this tokyo just 29 degrees on friday. some thunder. he outbreaks toward the northeast of china that spilling into the korean peninsula on friday and a tropical depression. that form near hong kong is steering a lot of wet weather cross to pearl river valley. so very soggy forecast to be sure . here for the next several days. now the monsoon rains really just weapon rain around all sides of the beer. been gall. we've had some land sides into central portions of nepal just because of ho

england and the bank of england to determine what to do with all 2000000000 dollars. the vendors willing gold. this belongs to the everyday people have been as well that could be used for the 30000000 people of that country in the form of scholarships, investments in education, investments, and much needed infrastructure. but this is part of the allow you, a us west imperialist assault on ben is one of the sovereignty that is endured now . since the $998.00 election of hugo chavez, ah, as places another massive heat wave, spain is planning to impose new restrictions on air conditioning to save energy and that an energy crisis in the region. auto contribute to rachel marston explains how effective european measures to survive the hottest summer on record really are. as western europe continues to face, one of the hottest summers on record. and yet another impending heat wave, spain has now decided to impose a highly debatable air conditioning limit to save energy in their misguided efforts to undermine russian gas sails. under madrid's newly published decree, public an

and i'm sure many of you saw with the bank of england had to say today. we in the conservative party need to get real and fast because the lights on the economy are flashing red and the root causes inflation. i'm worried that liz's plans will make the situation worse. and what i want to do is different. i think the government's number one priority should be grappling with inflation. that's what i wanted to. i also want to help people with the cost of living over autumn and winter. particularly the people who most need our help. and that's what i announce as chancellor. that's how i acted and that's what i will do as your prime minister and that's what conservative government should do, support those who need our help. but then also, i want to grow the economy and i want businesses to be producing more, and that's how we will not just grow the economy, it's how we will get inflation down over time. i've got a plan to all of those things, but it all starts with not making the situation worse. if we just put fuel on the fire in this inflation spirals. all of

the fear of the bank of england is that we are going to end up in some kind of wage price spiral, where expectations are that inflation is going to continue to soar and therefore workers are going to continue to demand higher pay. it was wrong, in my view, for the bank of england governor andrew bailey to suggest workers should not ask for pay raises. they should ask for as much as they think they're worth and are able to get, but nonetheless this is a concern that is incumbent on the bank of england to readjust our expectations, to restore some of our expectations, to restore some of our good ability, which it lost over the course of the pandemic by printing so much money, by allowing such a huge increase in the money supply, such a huge increase in the money supply, particularly last year, and that should that help to bring down inflation and that should ease the squeeze on pay and living standards that we are expecting later this year but nonetheless it is a very difficult time and the data is concerning. difficult time and the data is concerning-— difficult time and the data is co

the bank of england is trying to show it is taking inflation seriously. as that inflation really kicks in, or as the recession really kicks in, eventually, as long as gas prices don't keep spiraling upwards, we see the bank of england can and will take a pause through next year. we don't see all that much in the way of further rate rises but of course, really uncertain times. manus: look, as an economist, you are not going to want to be answering an fx question but there is no doubt about it. sterlings weakness has a number of different issues for the economy in terms of lower capital in and in terms of deficits. given the scenario that you think that maybe the bank of england will have to hit a pause button on rate hikes next year, is that even more of a flesh wound to sterling? we have it in the library which is the rising short end of the curve but yet no succor to the currency. chris: it is hard to feel that constructive at the moment. we have got a world where we think that in the u.s., the economy can sustain a number of further rate rises. you have

, nor in the bank of england. that at any moment any country or central bank in the world can be robbed of its international reserves. we spoke to daniel saw professor of latin american in caribbean studies at the city university of new york, who told us that the you case high court decision will home, ordinary venezuelans. this is, make you neo colonial aggression against that as well or against any country that they can't control. who are the court of england in the bank of england to determine what to do with $2000000000.00 the venice willing gold. this belongs to the everyday people, venezuela. that could be used for the 30000000 people of that country in the form of scholarships, investments in education, investments in much needed infrastructure. but this is part of the allow you, a western imperialist assault on venezuela and sovereignty that is endured now since the $998.00 election of hugo chavez. well, that brings us to the end of the police and this way will be abreast of the news. of course, you can al

what does this mean for the bank of england? >> the bank is likely to raise interest rates again, the question is whether to do it by a quarter-point or 50 basis points. francine: you got a story of the tenure today about fields of fresh produce rotting because farmers can't get the stock picks. this is in the middle of a cost-of-living prices were food prices are going up. the bank is probably looking more at the inflation figures tomorrow. economists expect the headline rate to raise from 9.8 -- 9.4% to 9.8%. it is going to rise in double digits in the autumn. beyond the headline rate, officials looking at how much inflation is spreading beyond the core items into services. francine: it's pretty incredible. there some 60 million pounds. thank you for the updates. extremely valuable for global wall street. back with us, gareth witcomb, would you do with the u.k.? it's microcosms of concerns we have elsewhere. they have more freedom jacks because they have their own central bank. >> i think the bank of england is expecting unemp

of england is saying. about what the bank of england is sa inc. ~ ., about what the bank of england is sa in. ~ ., ., about what the bank of england is sa in. ., ., , ~ ., saying. with ballot for striking and so on and on _ saying. with ballot for striking and so on and on problems _ saying. with ballot for striking and so on and on problems in - saying. with ballot for striking and so on and on problems in terms i saying. with ballot for striking and so on and on problems in terms ofj so on and on problems in terms of industrial relations do you think the new leader of the conservative party, the new prime minister will have to come up with some sort of package to help. it is have to come up with some sort of package to help-— package to help. it is interesting this larae package to help. it is interesting this large issue _ package to help. it is interesting this large issue has _ package to help. it is interesting this large issue has not - package to help. it is interesting this large issue has not been i package to help. it is interesting | this large issue has not been part

starting with the bank of england, _ packages of help? starting with the bank of england, the _ packages of help? starting with the bank of england, the main - packages of help? starting with the bank of england, the main thing i packages of help? starting with the i bank of england, the main thing they need to look at, the mandate, is to try to get inflation back to target. not all of it is abstract forward. there are likely to continue increasing interest rates in order to try to help with that. but part of it is about credibility and about trusting the bank of england to ultimately get us back to the 2% target. as a result, we may see a more... so we will see interest rates rising further, potentially a little bit further than what they need to, in order to lower interests... inflation. wejust need to have a confidence that inflation will go down and therefore when we look at wages, when we look at price strategy, in the medium term, trying to factor in the fact that inflation will go back to 2%, will help the bank of england not to ra

we start here in the uk — where the bank of england is poised for the biggest rise in the cost of borrowing for 27 years — to rein in the soaring cost of living. economists expect the central bank to raise its main interest rate by half a percentage point — something it hasn't done in one go since 1995. that would take it to 1.75% the most expensive borrowing costs the uk has seen for almost a decade and a half — with further steep rises expected. it comes as a leading think tank has warned inflation could hit 15% before it starts to ease next year. george buckley is chief uk & euro area economist at the investment bank nomura. i assume you are with the majority and you think is half a percent rise today is a given? i a percent rise today is a civen? ~ , a percent rise today is a civen? ~' , ., a percent rise today is a . iven? ~ , ., ., given? i think it is going to happen. — given? i think it is going to happen. half— given? i think it is going to happen, half a _ given? i think it is going to happen, half a percent, . given? i think it is going to| happen, half a percent, it's

of england. the palestinian health ministry says 15 palestinians have been killed in the gaza strip — where the israeli military is targeting members of the palestinian group islamic jihad. a bus carrying passengers to a roman catholic pilgrimage has crashed in northern croatia — killing 12 polish people and injuring more than 30 others. the effects from a cyber attack on the nhs 111 system could take until next week to resolve — after phone lines and electronic gp referrals were disrupted. world championjake whiteman has to settle for a bronze medal after coming third in the 1500 metres at the commonwealth games. we'll have all the latest from birmingham in sportsday at 6.30. the family of archie battersbee, the 12—year—old boy who's been unconcious since april, has announced that he's died. after a legal battle between his parents and doctors, the royal london hospital was given permission to end his treatment today. archie's mother, hollie dance, described him as "a beautiful little

remember the heady days when the bank of england was talking about— the bank of england was talking about 9% and weave were clutching our pearls _ about 9% and weave were clutching our pearls and thinking that was high _ our pearls and thinking that was high then — our pearls and thinking that was high. then they said 11%, the current— high. then they said 11%, the current forecast is 13% but it will probably— current forecast is 13% but it will probably be revised to 15 and 18% by next spring. this is not ending this winter~ _ next spring. this is not ending this winter~ it's— next spring. this is not ending this winter. it's not as if there are some — winter. it's not as if there are some sunny uplands we can look forward — some sunny uplands we can look forward to— some sunny uplands we can look forward to in the early months of next _ forward to in the early months of next year. — forward to in the early months of next year, this looks like it could io next year, this looks like it could go on. _ next year, this looks like it could go on, according to the times u

the bank of england on thursday hiking which would be the highest in 25 years. germany up .40 fairly focused on the economic data coming in the pmi numbers we spoke about were disappointing a lot of that is depending on what happens with the european gas imports coming from russia cac up .30%. eye t italian index up as well >>> as for the u.s. markets. we have all of the three majors pointing to a negative open. this coming off after strong month of july with s&p up 7 percentage points. nasdaq up 12 percentage points we had a lot to digest which is why we are moving negatively. >>> it is the first of the month and we go and take a look back at the indices in the prior month. let's get to it. stoxx 600 in europe. for the month of july up 7.6%. really strong rally as far as july is concerned. the first half of the year was negative for the most part a lot of concerns on recession fears and monetary tightening. that changed in july we did see a cyclical bounce this is individual index performance. to ftse 100 up in july. very strong month for the french index. cac

part of the problem there as the bank of england as the governor said feels helpless in the face of the current inflationary sea because the inflation has been caused by a drop inflation has been caused by a drop in aggregate supply so with the war in aggregate supply so with the war in ukraine and the ongoing effects of the pandemic we fight issues with supplying meeting demand. the bank of england does not have the tools to address those issues, it cannot unlock supply of energy so it sees it as only option to reduce demand which is when bc interest rate rises. the government does have options and there are policy things they can do to help address the underlying issue.— they can do to help address the underlying issue. thank you very much. and we'll find out how this story — and many others — are covered in tomorrow's front pages at 10:30 and 11:30 this evening in the papers. 0ur guestsjoining me tonight are kieran andrews, who's the political editor of the times scotland, and the broadcaster and writer, jemma forte. criminal barristers in england and wales have voted for an al

that begins with the rate decision for the bank of england. here in the u.s., weekly jobless claims at 8:30 because today ends with a "y." we get the fed speaker loretta mester speaking at 12:00 p.m we he get the tesla annual shareholder meeting and alibaba and shake shack and doordash reporting today. >>> and right now, there are moves happening in bonds that jeffrey kleintop says a are interesting and concerning he looked at the treasury data for the last couple of years 48% of all yield curves, bond maturity that you can think of, 48% were inverted. the blue line. that goes up rece rece recessionary periods that number is now at 50% suggesting growing signals of recession. maybe not what you are thinking. jeff joins us now. i'm looking at the graphic and i saw the note and tweet it looks more like an ekg of the morning news anchor when the alarm goes off what are we looking at here? >> often when market forecasters talk about the yield the yield spread with the 2/10 year i like to look at all. there are 91 yield spreads looking at the sprea

at the bank of england the governor presented the grim news with troubling charts, almost all heading in the wrong direction... gdp growth in the uk has slowed and the economy is now forecast to enter recession later this year. ..alongside the announcement of a bumper rise in interest rates. just explain simply to somebody at home who is facing £300 a month energy bills why their mortgage costs have to go up? if we don't act now — - and i realise how difficult this is, i realise particularlyl for those on lower incomes, particularly those with . higher borrowing costs — but if we don't act inflation i will become more embedded, it will get worse and we'll. have to raise interest rates by more, and that — - we have to act to stop that. so the bank today raising rates for the sixth successive time, up by the largest amount in over a quarter of a century to 1.75% and despite recession heading still higher but recession heading higher to try and keep a lid on it that inflation. 0n the streets of cardiff the overall hit to household incomes is becoming clear to all. it's a lot of st

and the bank of england makes its biggest rise in interest rates for nearly thirty years — while saying the uk's headed, for recession. a court in moscow has sentenced the us basketball player, brittney griner, to nine years in prison on charges of drug smuggling. she was also fined $16 thousand. here's ms griner arriving at the court for the sentencing. the olympic gold medallist was detained in february at an airport near moscow when cannabis oil vape cartridges were found in her luggage. here's what she said after both sides presented closing arguments. i made an honest mistake and i hope that in your ruling that it doesn't end my life. brittny griners's lawyers spoke to reporters after the sentencing. we feel disappointment. you know, when we saw britney, i think it was tuesday and we were told we will see you on thursday. and she said, see you on doomsday. so it looks like she was right. appealed to biden again? well, it's up to britney, it's up to her family, it's up to her agent. we are only responsible for legal aspect here in russia. we will file in appeal. brittney griner is a

the bank of england is painting a difficult picture. we have seen the data. are we in the foothills of what could be a deep, long-lasting, serious recession? yael: it is probably premature to include the current set of data into that story because we had the phasing out of the test and trace program in the u.k. and had two public holidays rather than one in q2, and that is underlying the majority of the weakness in q2. looking further ahead, however, we are seeing signs of increasing weakness in the economy and expecting the economy to contract potentially starting from q4 and contract for about three quarters over that period. a little bit shorter period than the bank of england is expecting in the main forecast. a drop in gdp of around 1.8% in total. alix: what energy crisis does your forecast imply? that in the autumn we are going to have ofgem utility. what is your base case for that scenario? yael: at the moment we are factoring further increases in energy prices with the cap going up, but more or less -- well, just a little less than earlier on and infl

the bank of england are saying that the bank of england are saying that there are other measures in place that mean that risk is mitigated. this is an active choice that they are making at a time of rising inflation. why are they making this choice right now? to a lot of people _ making this choice right now? to a lot of people it _ making this choice right now? to a lot of people it is _ making this choice right now? trr 5. lot of people it is surprising that the bank has picked this moment because interest rates are on the way up. they say that, listen, we are a good number of years on from the financial crash. individuals are in the very different place. the whole economic system is in a different place and they say that the other layers of protection are enough to protect the economic system that we currently have that mean that individuals won�*t get over indebted because of this. we are not just talking about first—time mortgage holders, this could be people applying for our another mortgage, so it could free up the system. the bank are hoping that potentially more people

of england. a bus carrying passengers to a roman catholic pilgrimage has crashed in northern croatia, killing 12 polish people and injuring more than 30 others. israeli planes strike palestinian militant targets in gaza for a second day as israel's army says it is preparing for its operation to last a week. officials in gaza say at least 1a palestinians have so far died in the violence. the effects from a cyber attack on the nhs 111 system could take until next week to resolve after phone lines and electronic gp referrals were affected. fire chiefs warn that cities need to be better prepared for wildfires as another heatwave is forecast for some parts of the uk next week. good afternoon. archie battersbee, the 12—year—old whose been at the centre of a legal battle between his parents and doctor, has died. the high court ruled that archie could not be transferred to a hospice, and the royal london hospital was given permission to withdraw his treatment this morning. speaking outside the hospit

we had a really extraordinary announcment on thursday from the bank of england, where they published new economic forecasts predicting a recession lasting more than a year, inflation to go above 13%, and on top of that they announced a half—point interest rate rise. all those things have really changed our view ofjust how bad this winter and autumn are going to be. it really is going to be quite a grim outlook. and that means that all of the plans the candidates have announced so far just won't go far enough to cover the scale of the problem that people will be facing with energy bills this winter. the bank of england confirmed those forecasters' predictions that energy bills would go above £3500 a year. part of rishi sunak�*s case for the leadership is to say that when he was chancellor he did other things, "i have offered something — we have made some changes, we did offer this one of payment." some of which will come into effect later this year. but even that, presumably, now looks like modest sums compared to the sorts of bills that people are likely to be facing when the

of england. rishi sunak warns the conservatives could "kiss goodbye" to winning the next election unless inflation is quickly brought under control. but his rival, liz truss, says the uk shouldn't talk itself into a recession and keeping taxes low was the best way to avoid a downturn. our political correspondent jonathan blake says what to do about the economy remains the key issue both candidates can't agree on. the economy still the big dividing line, as you say, but i think both candidates took their message to a new level, if you like. rishi sunak doubling down on his warning that if liz truss gets in, then the conservatives will lose the next election in his words, we can kiss goodbye to winning. and liz truss, on the other hand, with a different tone saying that although the forecasts we have heard this week from the bank of england are bad, they are not destiny and we should not be talking ourselves into a recession, as she put it. so, i think what we heard from the candidates last night r

the bank of england is projecting never ukiah. economy was slip into recession by the end of the year. it's high interest ranked by half a percentage point. it's biggest jump since 1995 and movies ane to come in the u. k . worst inflation in 14 years. central banks around the world have been pushing uprights to cab spending and bring down prices. and j. simmons has moved from london. aside from this increase in the interest rates, which is the highest, the 27 years the highest rise in 27 years. there is a warning of this recession of prediction, if you will, that it will start in the last 3 months of this year. go right the way through 2023 . and that still will be a problem at the beginning of 2024. now this is on a par with the 2008 financial crisis for the u. k. however, it's shallow. that crisis is more in line with what happened to the 19 ninety's, another recession there. what will happen for people in the u. k. will they're going to find that their wages on keeping pace with the cost of living that's already the case. now w

do you think the intervention by the governor of the intervention by the governor of the bank of england on thursday with this announcement about recession prediction at 13%, and the decision to put up interest rates, that in a sense that might force some kind of change in what has been until now their stated positions? i change in what has been until now their stated positions?— their stated positions? i think it's interesting- _ their stated positions? i think it's interesting. if _ their stated positions? i think it's interesting. if you _ their stated positions? i think it's interesting. if you had _ their stated positions? i think it's interesting. if you had listened i their stated positions? i think it'sj interesting. if you had listened to notjust interesting. if you had listened to not just what the governor of the bank of england but the governor was saying, borisjohnson�*s government, saying, boris johnson's government, they saying, borisjohnson�*s government, they were already predicting a recession at the end of the year, and ii% inflation. this is not a radical change

of england. a bus carrying passengers to a roman catholic pilgrimage has crashed in northern croatia, killing 12 polish people and injuring more than 30 others. israeli planes strike palestinian militant targets in gaza for a second day as israel's army says it is preparing for its operation to last a week. officials in gaza say at least 1a palestinians have died so far. the effects from a cyber attack on the nhs 111 system could take until next week to resolve after phone lines and electronic gp referrals were disrupted. fire chiefs warn that cities need to be better prepared for wildfires as another heatwave is forecast for some parts of the uk next week. world championjake whiteman has to settle for a bronze medal after coming third in the 1,500 metres at the commonwealth games — world championjake wightman has to settle for a bronze medal after coming third in the 1,500 metres at the commonwealth games — we'll be live in birmingham shortly to get a round—up of all the action. good after

it's all about something of a balancing act for the bank of england, and so many central banks right across europe. and well beyond, because that can then lead to a slow down in the economies and the consequent recession, a threat coming out. and that is a real threat that's being talked about in these parts right now. indeed. and here, and of course all this is happening as the u. k. is about to get a new prime minister. economic crisis must be playing out as a big issue. well it's the central issue now unless trust the former foreign minister is are writing it in a high position right now in the opinion polls. something like 30 percent. i had a risky su knock. who's a former chancellor. he's much more guarded in the way he's approaching the economy . less trust is a promising a tax cuts that he claims just aren't real. they're really sugar coated suites with poison in the middle. it says more or something along those lines. and there is an issue between the 2 contenders. for the prime minister's post decided by what is really a minority. the conservative membership certainly isn't

point and a big concern of the bank of england, that inflation _ of the bank of england, that inflation will be self— perpetuating, that people expect higher prices and so they— that people expect higher prices and so they demand higher wages. yesterday we saw in real terms, that is adjusted _ yesterday we saw in real terms, that is adjusted for inflation, wages are falling _ is adjusted for inflation, wages are falling so— is adjusted for inflation, wages are falling. so it is not a massive issue — falling. so it is not a massive issue yet. _ falling. so it is not a massive issue yet, we are not seeing real terms _ issue yet, we are not seeing real terms increases in wages and that is because _ terms increases in wages and that is because most businesses are struggling at the moment with these imported _ struggling at the moment with these imported prices and it is not loads of demand — imported prices and it is not loads of demand in the economy, red hot economy, _ of demand in the economy, red hot economy, that is causing this inflation, _ economy, that is causing this infl

december 8, and the bank of england. what does it achieve? in this world? >> that the issue with they cannot do anything. that's the price of gas. with russia invading, i will point to they respond to this. can he take the long game? and they take the approach? >> they don't have that luxury. he is out of service, so we can talk and they have to act, and that is different break next we are looking over the right shoulder, there was a beautiful view of the mountains, and we can see there are four guys in a room, and they are major in rewrites. >>, starting rumors, but every sense of the speech, they have to worry about the speech. >> will there be some kind of reaction to the reaction we have? >> yes, in some way. there has to be. >> they haven't touched on it. the potential disconnect and what the market is pricing. they might push back will be. >> there is not a disconnect it the market got it right. this is something we heard from other people. we see in the bond market in the yield curve did what pain is required, and

we had a really i extraordinary amounts but on thursday from the bank of england where they published new economic forecasts predicting a recession lasting more than a year, inflation to go above 13%, and on top of that they announced a half point interest rate. all those things have really changed our view ofjust how bad this winter and autumn are going to be. it really is going to be quite a grim outlook. and that means that all of the plants of the candidates have announced so farjust all of the plants of the candidates have announced so far just won't all of the plants of the candidates have announced so farjust won't go far enough to cover the scale of the problem that people will be facing with energy bills this winter. the bank of england confirmed there forecasters's predictions, that energy bills would go above three point £5,000 a year. part energy bills would go above three point £5,000 a year.— energy bills would go above three point £5,000 a year. part of rishi sunak's case _ point £5,000 a year. part of rishi sunak's case for— point £5,000 a year. part of rishi

the bank of england is now seen doing multiple 50 basis point rate hikes. it is global inflation. everybody is caught in it. most people are saying this up. at some point, you will slow down but i don't think the minister is adjusting the fed is ready to do that yet. >> it was a very volatile market reaction. does this raise the question of the peak of this fair market bounce? >> a very good question. i think what we saw in the fed minute is there was something in every corner of the market. every corner of the market latched onto something else. they paired back those gains. there was a complete different picture at the longer-range with the 10-year treasury yield dropping about 10 basis point. it was a very nuanced report. the kind of compounded the global selloff we are seeing in asia today with the new zealand yield jumping. it is just a reminder that central banks will continue to fight interest rates. this is for increased volatility. >> how are we planning on setting up for the asian trading system? >> i think we will have a pretty cautious open father what happened on wall

of england. a bus carrying passengers to a roman catholic pilgrimage has crashed in northern croatia, killing 12 polish people and injuring more than 30 others. israeli planes have struck palestinian militant targets in gaza for a second day. the israeli army says it is preparing for its operation to last a week. the effects from a cyber attack on the uk's nhs 111 system could take until next week to resolve after phone lines and electronic gp referrals were affected. now on bbc news, shrimps, saris and guns — faarea masud investigates how the demand for shrimp is destroying land that women have farmed for centuries in bangladesh. along the coastlines and riverbeds of rural bangladesh, thousands of fields where rice was once grown have been converted into intensive shrimp farms, catering to a multibillion—dollar global industry. since the explosion of the industry in the 1980s when the world's appetite for this luxury food grew, there have been increasing allegations of violence and land grab

the bank of england does. what is your expectation? bhanu: we think they might go 25 because the bank of england is the most worried bank about growth. the ecb has not been as vocal. it would be strange if they went 50 and step it back to 25. the point is we do agree with the terminal rate pricing. what i will say is we have been slightly positive by the resilience of the economy. growth has been week, but when you look at the revenue numbers in many of these earnings, not just in the you cave also the u.s., it is margins that are getting squeezed and leading to downgrades. the consumer is not in as dire straits as may have been believed. we talk about the u.k., which is the test tube of stagflation. if anyplace should see stagflation, it could be the u.k.. even here you're not seeing a complete collapse in revenue. i think there's a possibility the boe will also have to go slower. guy: this all hinges on gas in europe and the recession story in the united states. we look to the labor market on friday which will be an interesting tell.

have you ever had a chancellor| or a governor of the bank of england average pay restraint in the private sector. i average pay restraint in the private sector. ~' ., ., sector. i think when we hear that messa . e sector. i think when we hear that message coming _ sector. i think when we hear that message coming out _ sector. i think when we hear that message coming out in _ sector. i think when we hear that message coming out in the - sector. i think when we hear that message coming out in the bank| sector. i think when we hear that l message coming out in the bank of england, he means all sectors, because the public sector... film. because the public sector... 0h, does he? _ because the public sector... 0h, does he? he _ because the public sector... 0h, does he? he doesn't _ because the public sector... 0h, does he? he doesn't stop - because the public sector... 0h, does he? he doesn't stop it - because the public sector... 0h, l does he? he doesn't stop it never makes that _ does he? he doesn't stop it never makes that clear. _ does he? he doesn't stop it never makes that clear. do _

, the bank of england is going to increase it in time, which of course will affect people who have mortgages. perhaps not the poorest or the richest for that matter. but these are really serious times. it seems the bank of england is being relied on to get us out of it, but we have nothing in terms of policy because we are in the middle of a conservative leadership battle. the chancellor nadhim zahawi today making very vague statements about how he is doing all he can to make sure that whoever happens to be prime minister on september 5th range of options at their disposal and we'lljust have to push a button... i think we need more vision from both of the people who want to be prime minister but we also need to take action now. it is spiralling and becoming a lot worse a lot more quickly than anyone expected. irate a lot more quickly than anyone expected-_ expected. we don't think we are aroin to expected. we don't think we are going to get _ expected. we don't think we are going to get any _ expected. we don't think we are going to get any action, - expected. we don't think we are going to

reporter: felixstowe port says it was reminded in recent days by the bank of england of the inflationary effects of big pay rises. the port company accuses the union of using the workers in a national struggle. >> on average for our workers this is an extra 3500 pounds in cash to them each year. the action that they're taking now that united is making them take and have not put this offer to our workers, but the action that united is making them take is actually going to take the best part of 1000 pounds out of their pocket. reporter: the question is how far the effects of this shutdown will ripple through the uk economy. the port says the effects will be manageable, pointing to the lessons learned during the supply chain disruption of the pandemic. certainly the ship isn't going anywhere anytime soon. and some industry analysis suggests other container shippers are already offloading their cargo in europe instead of the uk. the union accepts there will be major disruption and says that it could carry out further strikes as it seeks what it says is a fair deal. up the road in ipswich, ad

of england. a bus carrying passengers to a roman catholic pilgrimage has crashed in northern croatia, killing 12 polish people and injuring more than 30 others. israeli planes have struck palestinian militant targets in gaza for a second day. the israeli army says it is preparing for its operation to last a week. the effects from a cyber attack on the uk's nhs 111 system could take until next week to resolve after phone lines and electronic gp referrals were affected. good afternoon. we begin with the announcement within the last we begin with the announcement within the last few we begin with the announcement within the last few minutes we begin with the announcement within the last few minutes with we begin with the announcement within the last few minutes with the announcement that archie battersby has died. the royal london hospital was given permission to end his treatment today. archie's parents had fought a long—running legal battle over the withdrawal of treatment and in recent days mad

one of her allies has had the bank of england will look into whether they should have exclusive independence over interest rates. she has also talked about money supply and getting tougher over it. the telegraph reported she is looking at controlling nominal gdp instead of targeting inflation. we know nominal gdp is prone to revisions and there is a lag in the data, but the point is if you are going to touch the bank of england's target in the middle of an inflation crisis, that is worrying. bloomberg has had an inteview with the former chancellor and he says it would be a big air or to do that at this point. -- error to do that at this point. manus: we are waiting for the cbi to come up tomorrow in the u.s. we will see you later on in the show. it was sizzling, now it has fizzled. this is that gas chart, i love this. gas is down for 50 days in a row. dani: it is starting to creep into inflation expectations. we talked about the ny fed earlier in the show. goldman sachs saying not only are they expecting slowing inflation but disinflation because since that june peak gasoline prices have fal

of england. the palestinian health ministry says 15 palestinians have been killed in the gaza strip, where the israeli military is targeting members of the palestinian group islamichhad. a bus carrying roman catholic pilgrims has crashed in northern croatia, killing 12 polish people and injuring more than 30 others. the newspapers are in. with me are the political commentatorjo phillips, and nigel nelson, who's political editor of the sunday mirror and sunday people. let's have a quick look at a few of the pages. the sunday express leads with conservative leadership candidate rishi sunak vowing to jail child groomers for life. former labour prime minister gordon brown tells the observer that both tory leadership hopefuls should should agree to hold an emergency budget to help with the cost of living crisis. the sunday telegraph has a picture of the tearful family of archie battersbee who died earlier today. the sunday times says rishi sunak has pledged billions to help ease the cost of living cri

rishaad: andrew bailey, governor of the bank of england, essentially said they will be revving up their rate hike. we have unemployment at 3.8%. but the cpi read is nearly 9.5% there, kathleen. kathleen: red-hot. over the u.s. rate at this point. and you mentioned 50 basis points if they actually get through the highest since 1995. but business inflation expectations. some of the longer term consumer-based inflation expectations in the u.s. are starting to come down. not this one, it continues to rise. as you said, 9.4% in june. the forecast from the boe had been for 10% this year. they are expected to raise the forecast for 2022 12%. andrew bailey has to push ahead for the 50-basis-point rate hike because that is what everyone is expecting. another important thing is the balance-sheet reduction. not just letting gilts run off, but actually starting out right sales. right now the bank of england holds half of the outstanding gilts in the market. so potentially in the next few hours, we will get the details. how many will they sell, how quickly will they do it? sales are expected to star

to set out their approaches to dealing with the economic downturn forecast by the bank of england. rishi sunak has warned that the conservatives could kiss goodbye to winning the next election unless inflation is quickly brought under control. but his rival, liz truss, said the uk should not talk itself into a recession and keeping taxes low was the best way to avoid a downturn. we're joined now by our political correspondentjonathan blake. the economy is central to both leadership contenders here. yes. the economy is central to both leadership contenders here. yes, as it has been — leadership contenders here. yes, as it has been throughout _ leadership contenders here. yes, as it has been throughout this - leadership contenders here. yes, as it has been throughout this contestl it has been throughout this contest and in the hustings last night, the latest of several both candidates are doing throughout the campaign, it was more of the same, the economy that they could divide in line. but i think both candidates took their message to a new level. rishi sunak doubling down on his

the other thing is with the bank of england, they delivered a fair degree of hiking already. they started reducing the balance sheet. they have more under way the ecb is further behind the curve, i would say the bank of england is playing a better way than ecb. they haven't left it quite so late they have been cautious. i think they have a bit more framework for inflation. the ecb is purely in reaction mode at the moment that is never a good thing i still think cable can head lower. sterling against the dollar is challenging. euro and sterling, the euro has more down side. >> dominic, thank you for joining us and sharing your thoughts >>> we are just gettingsome flashes from the ukrainian foreign minister in stockholm. he has called on sweden to provide further air defense systems and shells to ukraine. he adds that accepts the iaea that russia violating nuclear proptocols and russia is putting the world at risk for a nuclear accident adding russia must withdrawal from the nuclear power plant putting ukraine at the center of the catastrophic incident at the nuclear reactor, b