Lloyds said it would offer 2 billion pounds of finance with no fees to affected small firms that have a turnover of up to 25 million pounds. The funding is part of its expected 18 billion pounds of business lending this year.
Interest rate cuts won't help the UK economy08 Mar 2020 09:43
A stock market “correction” is generally defined as a 10pc plus drop in share prices; the definition of a bear market isn’t reached until the decline exceeds 20 per cent. Markets as a whole are thus well into the correction phase, but there is a way to go before the current sell-off turns into a fully fledged bear market.
However, some sectors beyond the obvious – notably banking – have already made the leap into bear market territory. Since mid-December, shares in Royal Bank of Scotland, Lloyds and Barclays have all fallen by nearly a third in value.
The problem is it's a supply side problem and throwing money at a supply side problem may not help that's why people are sceptical of central banks cutting rates. This crisis therefore differs notably to the 2008 crisis where the fundamental problem was a ceasing up in the supply of finance to a debt-laden global economy.
Rate cuts won't save economy from Coronavirus slump the impact to the world's economy is likely to last for a number of month, Recovery is likely in the second half of 2020. Central bank interest rate cuts do not help when a crisis is an issue of a lack of supply.