Bank of England governor ‘optimistic’ that interest rates can be cut, after ‘no change’ decision today – as it happened

Cautious Bank of England governor says we need to be careful not to cut too fast or by too much", after leaving borrowing costs unchanged in 8-1 vote

• Bank of England keeps interest rates unchanged at 5%
• Federal Reserve cuts US interest rates for the first time in four years

Over in the European Union, car sales took a tumble last month as take-up of electric cars slumped.

Industry body ACEA has reported that registrations of battery-electric (BEV) cars across the EU dropped by 43.9% to 92,627 units, down from 165,204 cars in August 2023.

I will admit the Fed surprised me yesterday - I expected a light 25 bp touch on the accelerator. Instead, it was a 50 bp engine-revving pedal to the metal roar on the gas - which Powell immediately made clear was limited.

Think of it the kind of aggressively signalled overtake you might make from behind the guy oblivious to the fact he's driving like a granny at 30-mph on a 60-mph road. The opportunity to pass him comes up, and you take it. One minute later, you won't even remember what the colour the car in front had been.