Energy suppliers Avro and Green cease trading; Fed signals tapering may start soon – business live

By Financial24 Last updated Sep 22, 2021

Rolling coverage of the latest economic and financial news

Latest: US Fed says stimulus program could slow soon
More officials expect first rate rise in 2022
Summary: UK energy crisis deepens
800,000+ customers affected as Avro and Green cease trading
Kwarteng ‘looking at all options’ re windfall tax… price cap ‘here to stay’
Ofgem: More energy firms expected to fail
CO2 prices to jump, government warns
Full story: Bailout of US CO2 supplier will cost UK taxpayers ‘millions’

7.19pm BST

Just in: America’s central bank has signalled that it could start to slow its bond-buying stimulus scheme soon, and that interest rates could rise earlier than it previously thought.

But it’s not begun tapering its $120bn-per-month QE program yet.

If progress continues broadly as expected, the Committee judges that a moderation in the pace of asset purchases may soon be warranted.

FOMC says Fed may start tapering soon. Or maybe not. It all depends. https://t.co/026CeAxp4P pic.twitter.com/d5KA2ojcnf

Projections for 2024 were also published for the first time, with the median suggesting a federal funds rate of 1.8% by the end of that year. The median for 2023 rose to 1%, from 0.6% in the June projection.

BREAKING: The Fed signals it may taper bond buying soon and the updated dot plot revealed a growing inclination to start raising interest rates in 2022 https://t.co/2vI3tigqWa pic.twitter.com/rlgpOgpWxW

MORE: The Fed's dot plot now shows officials are evenly split on whether or not it will be appropriate to begin raising the fed funds rate as soon as next year
Fed Chair Jerome Powell will speak at 2:30 p.m. EThttps://t.co/FHx6EPMv8t pic.twitter.com/FWAsCSiD38

6.51pm BST

Time for a quick recap:

The UK’s energy crisis has escalated, with two suppliers with over 800,000 between them ceasing trading today. Avro Energy, which supplied gas and electricity to about 580,000 households, and Green, which had more than 250,000 customers, have dropped out of the energy market, as the surge in gas prices continues to rock the sector.

“I think what they’re doing in Spain is recognising that it’s an entire system. We’re in discussion with [energy regulator] Ofgem officials, looking at all options,”