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BOE to downgrade UK growth
The Bank is expected to cut its 2011 and 2012 growth forecast to about 1pc from its August forecast of about 2pc when it publishes its latest quarterly Inflation Report on Wednesday. Sir Mervyn King, the Bank’s Governor, is likely to emphasise there are serious downside risks to the UK growth outlook because of the threat posed by the eurozone’s continued problems. On the domestic front, the manufacturing PMI survey showed the sector unexpectedly shrank in October, boding ill for the economy in the fourth quarter. A squeeze on household incomes caused by low wage growth, high inflation and rising unemployment, as ... (full story)
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