US stock future indexes pointed to a flat open today as equities remained in a tight trading range despite the Dow managing to break a seven-day losing streak in yesterday's session. The pound slipped lower against the U.S. dollar after BoE lowers rates to record low of 0.25%. Crude prices fell fractionally after rallying over 3% yesterday.
Here is the current market situation from CNN Money
European markets are broadly higher today with shares in London leading the region. The FTSE 100 is up 1.40% while Germany's DAX is up 0.81% and France's CAC 40 is up 0.72%.
LONDON (Reuters) - The Bank of England cut interest rates on Thursday for the first time since 2009, revived its bond-buying programme and said it would take "whatever action is necessary" to achieve stability in the wake of Britain's vote to leave the European Union.
(Reuters) - Viacom Inc , the owner of MTV, Comedy Central and Nickelodeon, reported a surprise rise in quarterly revenue as higher license fees and theatrical revenue in its movie unit helped to make up for a decline in domestic ad revenue.
(Reuters) - U.S. crude's slide below $40 a barrel this week has hardened the resolve of oil market bears to drive prices lower, with oversupply, refining cutbacks and a breakdown in the oil/dollar trade spelling an end to this year's rally.
(Reuters) - U.S. biotechnology company Biogen Inc has not received any formal expressions of interest from potential acquirers and is not actively soliciting takeover offers, according to a person familiar with the matter.
All the speculation that central banks are putting the brakes on unconventional monetary policy and shifting to fiscal stimulus demands, were tossed aside this morning when the BOE launched what was been dubbed a "kitchen sink" response, one in which it not only cut rates for the first time since the financial crisis, by 25 bps to a record low 0.25%, but also boosted QE while announcing it would resume corporate bond purchases.
The market reaction was fast and furious: the pound fell the most in four weeks as traders were caught by surprise by the dovishness of the BOE's statement: Cable crashed over 1% percent against all of its 16 major peers, with the GBPUSD tumbline to the mid 1.31s, after the nine-member Monetary Policy Committee voted unanimously to lower the benchmark rate by 25 basis points to a record-low 0.25 percent.
U.K. government bonds jumped, pushing the 10-year gilt yield to a record low. Benchmark 10-year gilt yields dropped 16 basis points, or 0.16 percentage point, to 0.65 percent, and touched 0.634 percent. The 2 percent bond due in September 2025 rose 1.44, or 14.40 pounds per 1,000-pound face amount, to 111.92. The nation's two-year gilt yield fell 11 basis points to 0.09 percent.
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