THE LOWER BANK RATE
RUGBY, 6th March,
The Bank rate was to-day reduced from 4% to 4.per cent. The last time this rate was declared was in October, 1925. During the last year five changes were made, the rate varying from 5 to 6% per cent. It may be recalled that the latter high rate was due largely to the speculative boom, but it had the effect of bringing about heavy deflation and releasing a large volume of surplus funds.
There is still uncertainty over the continued foreign demand for gold, but the definite influence which has decided the Bank to lower the official minimum is the fall in discount rates in New York,'and the indication that the Federal Reserve Bank will reduce its discount rate in due course.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/EP19300308.2.114.3
Bibliographic details
Evening Post, Volume CIX, Issue 57, 8 March 1930, Page 12
Word Count
129THE LOWER BANK RATE Evening Post, Volume CIX, Issue 57, 8 March 1930, Page 12
Using This Item
Stuff Ltd is the copyright owner for the Evening Post. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.