LloydsTSB cuts mortgage rates, others “reviewing”

Lloyds TSB says it will pass on the full 150 bp cut from the Bank of England to mortgage borrowers. HSBC, Barclays, RBS and Nationwide say they are “reviewing” how much to pass on. Several of those banks took government capital and thus will be under intense pressure to pass on the cut.

Cable has recouped its initial plunge and is now higher than before the cut. It trades at 1.5910 with markets cheering the aggressive action. 1.5990 is resistance intraday.