Home > Resource Hub > Daily Market News > Spain and Bimbo

Spain and Bimbo

Spain and Bimbo

Monetary policy makers are preparing for action to shore up their economies as the effect of the eurozone crisis is being felt across the globe. Following the recent interest rate cut in Australia, China followed with its first rate cut (25 basis points) since 2008 as it stepped up efforts to combat a slow down in its economy. Federal Reserve chairman Bernanke told a congressional committee that policy makers will meet later this month to discuss whether to do more to stimulate growth.

Despite the recent run of disappointing UK data releases, the MPC kept rates unchanged at 0.5% with no extension in their asset purchase programme. The Bank of England will have been disappointed with the recent sharp fall in manufacturing PMI, together with similar poor surveys from the UK’s largest trading partners in the eurozone, however, with the potential for further bad news from Europe to come there is a good case to sit and wait before considering further stimulus.

EUR continues to be under pressure with a downgrade to Spain’s credit rating by Fitch to BBB – to put this in perspective this is the same rating as Grupo Bimbo, manufacturer of the famous Bimbo bread and the world’s largest bakery.

Currency UK will offer you the best exchange rates available and ensure that you subsequent international transfers are handled as quickly and as efficiently as possible.

Do you want to earn some extra money? Then you can profit from our affiliate program by referring a company or friend that may benefit from our services and earn a commission in return. Contact us now on +44 (0)20 7738 0777 or click here.

Share this case study
Set yourself up in minutes, make payments the same day: it’s free, easy and without obligation.