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The announcement is made. Interest rates are being raised. Lamont says that "as the current extraordinary pressures and uncertainties abate," he hopes to bring interest rates back down. Few believe this will happen soon.

Worst of all, despite Lamont's announcement, the pound hardly moves. Finance officials know the game is over. The currency markets, viewing Lamont's ploy as an act of panic, are beginning to think the same.

John Major, meanwhile, has reversed his earlier refusal to recall Parliament from recess. He wants them back to discuss the ERM crisis and the British economy. Parliament is called into session on September 24. The step is extraordinary: Since the end of World War Il, Parliament has been called back into session only 10 times.

Lessons From The Intelligent Investor

Lessons From The Intelligent Investor

If you're like a lot of people watching the recession unfold, you have likely started to look at your finances under a microscope. Perhaps you have started saving the annual savings rate by people has started to recover a bit.

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