Bank's King sees signs of growth -- Thu Sep 24, 2009 8:33am BST

LONDON (Reuters) - The economy is showing signs of recovery, but any improvement is likely to be small compared to the sharp drop in output caused by the global financial crisis, Bank of England Governor Mervyn King said in an interview published on Thursday.

King's remarks on growth are broadly in line with testimony he gave to lawmakers last week, and he also reiterated his view that Britain needed to rebalance its economy to focus more on exports.

"The fall in the exchange rate that we have seen will be helpful to that process but there's no doubt that what we need to see now is a shift of resources into net exports -- whether directly or in producing things that compete with imports," he told The Journal, a regional newspaper based in Newcastle.

Sterling has lost almost a quarter of its value against other major currencies over the past two years, and hit a five-month low against the euro on Tuesday.

King, speaking after addressing businesses in Gateshead, northeast England, said he did not expect the region's manufacturing- and export-dominated economy to be much slower to recover than elsewhere in Britain.

"Output has stabilised," he said. "There are some signs that growth may be beginning to pick up. But we shouldn't get too carried away by this. This is clearly very small growth after a very large fall and unemployment has risen so it's a difficult challenge ahead."

King declined to comment specifically on forecasts by the Confederation of British Industry that predicted growth would be just 0.1 percent in the first three months of next year.

"How rapidly growth will pick up -- whether it will be plus a little bit in one quarter, minus a bit in another -- I don't think is the big picture at all," he said.

"I think the UK is pretty well set for a recovery but the banking sector is not in good shape and it will take a long time before the balance sheets of the banks are fully repaired," he added.

Future financial regulation needed to ensure that banks did not take too many risks while enjoying an implicit or explicit guarantee from the taxpayer, King said.

Diplomatic sources have said the central bank governor may take a senior role on a new European Union financial stability watchdog alongside his BoE job, but King declined to comment on the speculation.

"I have been involved in no discussions on that whatsoever," he said.

Hi GUYS

I managed to get - bandy man - to finish the bottle just around 12pm

I reached that conclution after reading the last couple post

Exquisite LOr de Jean Martell

Nothing better than the best Martell ( cognac ). Best after diner with a small black coffe

Sparkyshout over the fence and get the neighbours roundoffer them a drinkand bingo.you get your parking space backyou must have some house there with all those winnings. now tell meI have been reading a lot of your postsI have noticed you talk like that guy in Allo Allothe one that muddles his wordsany connection?help me out here folks.

tabasco

re -I have been reading a lot of your posts

If you really have, then give me the credit that I am right on my predictions, instead of telling me you have shit on your troursers.

Just make your mind, is it me who you asking or the folks, give up drinking cheap brandy and get drunk, and save for proper drink and feel better.



-tabasco - now being short of trousers (shit on the 26 left yesterday ) trying to bonk the tree

SparkyI am asking the boys and girls who the guy in Allo Allo was the one that muddles his wordsyou are alarmingly close in the way you typehe was a thick funny bloke as well
. BTWwill be going to the west wing in a couple of minutes.i fancy a glass of cheap M&S pape

From Times Online September 24, 2009

Sterling hits low as King backs weak pound

Bank of England Governor says currency fall would be 'helpful' in boosting exports and rebalancing UK

Sterling slumped to its lowest level in more than five months this morning after Mervyn King, the Governor of the Bank of England, appeared to back a weak UK currency.

Speaking to The Journal, a newspaper covering the North East of England, Mr King said that the significant decline in the value of sterling in recent months will be helpful to rebalance Britains economy by helping to boost exports.

The pound dropped by 0.8 per cent against the dollar to $1.6202 as the market interpreted his comments to mean that Mr King is comfortable with the falling pound, which has declined by almost a quarter against other major currencies in the past two years. The pound also fell 1 per cent against the euro to 91.04p.

He said: The fall in the exchange rate that we have seen will be helpful to that process but theres no doubt that what we need to see now is a shift of resources into net exports whether directly or in producing things that compete with imports.

Mr King continued, by expressing the note of cautious optimism that has characterised his recent statements relating to Britains fragile economic recovery. He said: Output has stabliised. There are some signs that growth may be beginning to pick up. But we shouldnt get too carried away by this. This is clearly very small growth after a very large fall and unemployment has risen so its a difficult challenge ahead."

Howard Archer, chief UK and European economist at IHS Global Insight, said: I interpret Mervyn Kings comments as saying that a lower pound would be desirable and I agree with him.

Despite its slump, I am still surprised the pound is as high as it is and this could be potentially damaging for the economy, Mr Archer added.

Mr Archer believes that the pound will continue to fall because huge government borrowings and rising unemployment mean that the outlook for the British economy remains bleak.

Mr Kings comments came a day after the Bank of England warned that Britains tentative recovery could be a false dawn, despite issuing a relatively upbeat economic forecast.

According to the minutes of the Banks latest interest rate meeting this month, published yesterday: There had been a number of developments during the month with positive implications for the short term. But the lesson from previous financial crises was that they were not resolved quickly, and that there could be false dawns.

tabasco

re -ALO ALO, he was a thick funny bloke as well

Most likely you are confiusing reality with TV drama, and maybe after all you like me, well I was reaching that conclusiton late yesterday, but this morning as I said earlier, most likely you got up on the wrong side of the bed, and only empty bottles left.

Taking the PISS

Just let you know there is only one " Master", the others like you are just imitations ( pupil )

Alistair Darling, the chancellor, is said to be taking a relaxed view on whether Lloyds plugs its capital gap by turning to private investors or by participating in the scheme

Media suggestions that Lloyds would be forced to join the scheme by the regulator were dismissed as plain wrong by government officials, who pointed out that
the FSA had no authority to make such a decision.

"All possibilities remain open," it added, saying options included finding an alternative to entering the GAPS and "possible changes to the commercial terms" in which it entered the scheme.

Lloyds will move heaven and earth over the next fortnight to try to raise the 20bn-plus

Robert Peston
BBC business editor

SparkyI wont be rushing to swap my bank account with yours.unlike you I put my reasonable success down to a fantastic wifeand a whole lotta luckwith an ounce of shrewdness thrown in [for luck]I live a privileged lifeand one that I would never take for grantedyou on the other hand are a wee bit deluded

Is Ok if one uses The Libray computer ( internet ) but most have a line to pay, on the other hand is only 6

6 broadband tax for everyone with a phone to be introduced before next election

Mail on line - 24th September 2009

A 6-a-year 'broadband tax' on every family with a telephone line could be introduced before the General Election.

Stephen Timms, the Minister for Digital Britain, yesterday said he was aiming to bring in the levy in a forthcoming finance Bill.
It means a tax of 50p a month on all land lines to fund 'superfast broadband' could be made law by the end of the year.

The Government announced the plans to fund quicker broadband services as part of its Digital Britain report in June.
Mr Timms yesterday told a debate hosted by The British Computer Society: 'We want to make high-speed networks nationally available.
'The next generation fund will help that and we plan to legislate for it this side of a General Election.'

The tax will subsidise the cost of installing next generation broadband networks in areas where they would not otherwise be economically viable.
But the Tories said that rather than introducing more taxes the Government should find another way of funding it.
Tory culture spokesman Jeremy Hunt said: 'Rather than taxing Britain's hard-pressed families further, we should be seeking to stimulate investment in broadband through the regulatory structure.

http://www.dailymail.co.uk/news/article-1215660/6-broadband-tax-phone-introduced-election.html#ixzz0S0UhF70Y

You want a proper riser look at WTI..... 30% up on day. Don't see that one on your up's list Mrs i...

Balerboy

re - WTI 6.50p +1.75p

You must be blind or something, it was no. 15 yesterday, and most likely it will move a few places up today

It was selected yesterday on the UPS by -vivgav -

Wed 23 - WTI - 4.75p - vivgav - reason - Chart showing a good recovery from lows. Good buying of late. dyor etc

robert peston knows nothing about business or finance.....he just ear wigs in trendy bars.

anyway lloy back down again.....mind u they went up a massive 1p yesterday, lol.

look at skr, rpt etc go 5p plus up every day......rpt up 20p in a day and a half.

ah well if u r stuck in this muddy share, then better stare at screen all day hoping for 0.5p rise again, haha

marni

re - ha,ha,

If you are not holding this share.
What the F#ck you are doing here, YOU stupit        

PHTM 30p +1.75p

It has double in price since I said "UPS" at 14p on 22 May 09, that is 4 month ago. a BREAKOUT

but u trade u say on RSI......i thought that was an injury!

but this donkey (wrong animal above) has stalled for ages since then whereas theres been huge gains ala rpt, skr, sxx etc

so although u doing well like most of us, u dont get it totally right by buying low sell high and repeating over and over.

anyway thats all i'm saying

but u trade u say on RSI......i thought that was an injury!

but this donkey (wrong animal above) has stalled for ages since then whereas theres been huge gains ala rpt, skr, sxx etc

so although u doing well like most of us, u dont get it totally right by buying low sell high and repeating over and over.

anyway thats all i'm saying

The fact I am in at 3.8p shows your way behind Mrs i
Double your money coming very quickly, .01p ha!!

marni

re - but this donkey (wrong animal above)

You must need glasses also, is a fat cow the URL says.... albums/f105/ScottBleepz2006/fat_cow

or by the way, it seems the "cow" has tried to bite those green wires of the computer and your post had double,
or maybe after all it was only " gremlins "

by popular demand, here is the "UPS" ranking for Thurday 24 3 Stock with over 100% an only on 4 days, let see what tomorrow brings
Ranking at close of play Thursday 24 CSC 5.625 13.00 131.11 double6 1 CHWI 0.825 1.75 112.12 tara7 2 SKR 15.50 31.50 103.22 Master RSI 3 PXS 9.20 15.00 63.04 Master RSI 4 WTI 4.75 6.575 38.42 vivgav 5 EME 18.25 24.75 35.61 debbiegee 6 VELO 91.00 114.50 25.82 Melton John 7 JSG 20.25 25.00 23.45 Master RSI 8 MANA 7.75 8.875 14.51 trading blue 9 KDD 13.375 15.25 14.01 keya5000 10 PELE 73.25 80.00 9.21 Lunartik 11 CFU 14.675 15.75 7.32 asparks 12 EO. 14.25 15.25 7.01 debbiegee 13 TRP 3.75 4.00 6.66 cashandcard 14 RPT 116.25 123.75 6.45 Lunartik 15 TNCI 5.00 5.25 5.00 Melton John 16 HAWK 37.75 38.50 1.98 Jonnyfro 17 NTA 30.00 30.50 1.66 brando69 18 GCM 100.00 101.00 1.00 Metamorphosis 19