Fate sealed on pound's loss of haven status

Fiscal tightness and weak growth will encourage easy monetary policy.

The loss of the UK's triple A credit rating is likely to be a key event for Britain's financial markets. Reduced confidence in fiscal policy comes at a time of increasing concern over the conduct of monetary policy at the Bank of England. That will put pressure on gilts and equities, increase inflation expectations and lead to further sustained currency weakness ... READ MORE

Released by the Financial Times - 25 February 2013