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| Version 2 | Version 3 |
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| Sterling falls after Bank of England report | Sterling falls after Bank of England report |
| (35 minutes later) | |
| The pound fell after the Bank of England's latest forecasts gave few signs of an early interest rate rise. | The pound fell after the Bank of England's latest forecasts gave few signs of an early interest rate rise. |
| The Bank upgraded its growth forecast for this year to 2%, and - as expected - kept interest rates on hold at 0.25%. | The Bank upgraded its growth forecast for this year to 2%, and - as expected - kept interest rates on hold at 0.25%. |
| It said some of its rate-setters had "moved a little closer" to their limits of tolerating inflation overshooting the Bank's 2% target. | It said some of its rate-setters had "moved a little closer" to their limits of tolerating inflation overshooting the Bank's 2% target. |
| However, markets felt there was no real change to the Bank's stance, and the pound fell sharply. | However, markets felt there was no real change to the Bank's stance, and the pound fell sharply. |
| Against the dollar, sterling fell by 0.8% to $1.2562, while it dropped about 1 euro cents, or 1.0%, against the euro to 1.1639 euros. | |
| The fall in the pound triggered a rise in the benchmark FTSE 100 share index, which closed up 33 points at 7,140.75. | The fall in the pound triggered a rise in the benchmark FTSE 100 share index, which closed up 33 points at 7,140.75. |
| A weaker sterling is seen as beneficial to many multinational firms listed on the FTSE 100, as it means earnings overseas are worth more when converted back into pounds. | A weaker sterling is seen as beneficial to many multinational firms listed on the FTSE 100, as it means earnings overseas are worth more when converted back into pounds. |
| Among individual shares, Reckitt Benckiser rose nearly 4% after the consumer goods group confirmed it had made a bid approach for US baby formula maker Mead Johnson. | Among individual shares, Reckitt Benckiser rose nearly 4% after the consumer goods group confirmed it had made a bid approach for US baby formula maker Mead Johnson. |
| Reckitt has made a $90-a-share cash offer for Mead Johnson, valuing it at $16.7bn. | Reckitt has made a $90-a-share cash offer for Mead Johnson, valuing it at $16.7bn. |
| Shares in Royal Dutch Shell were up by about 1.3% after the oil giant reported its latest results. Profits for 2016 fell to $3.5bn from $3.8bn. | Shares in Royal Dutch Shell were up by about 1.3% after the oil giant reported its latest results. Profits for 2016 fell to $3.5bn from $3.8bn. |
| However, Shell said cash inflow during the final quarter of last year had been $9bn, more than covering its dividend, and that it had been able to repay $4.5bn worth of debt. | However, Shell said cash inflow during the final quarter of last year had been $9bn, more than covering its dividend, and that it had been able to repay $4.5bn worth of debt. |
| Vodafone shares were flat after the mobile phone giant said growth in full-year earnings was set to be at the low end of its range of 3% to 6%. | Vodafone shares were flat after the mobile phone giant said growth in full-year earnings was set to be at the low end of its range of 3% to 6%. |
| In the final three months of 2016, Vodafone said its UK revenues had fallen, citing tougher price competition in its business services division. | In the final three months of 2016, Vodafone said its UK revenues had fallen, citing tougher price competition in its business services division. |