US MBA Mortgage Applications; -4.7% in Mar 8 from 14.8%

The sharp fall in real rates and decline in sterling in recent weeks has put the UK in focus. These factors combined with a decline in credit spreads have lead to a marked easing in UK financial conditions. “The combination of sluggish growth, significant spare capacity and weak inflationary pressures will be sufficient to justify further easing.” argues the Economics Research Team at Goldman Sachs.