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CBI Industrial Trends (Jan.) & Public Finances (Dec.)

The rebound in the main balances of the CBI Industrial Trends Survey in January offers further evidence that sentiment has taken an upward turn after the general election. This should help to convince the MPC not loosen monetary policy. Meanwhile, with public borrowing looking like it will come in below the OBR’s forecast this year, the Chancellor will have a little room to loosen fiscal policy further.

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