P524ORACLE 524 Mon30 Dec C4 9732:08
RATES 'TO DROP
EVERYWHERE BUT BRITAIN'
Interest rates are set to decline in
the New Year in most major industrial
countries, but not Britain, say a
leading firm of stockbrokers.
James Capel's International Bond and
Currency Review says sluggish US growth
and declining inflation will lead to
lower rates there in the New Year.
A weaker dollar and lower borrowing
costs would then bring a drop in rates
in West Germany and Japan.
But uncertainty about the price of oil
will leave British rates stranded at
11.5% and they could go higher.
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