Quantative easing, inflation and the effect on FTB and shareholder

Iamdave

With the announcement of Quantative Easing from the Bank of England which I'm led to believe will cause inflation how will this effect me as:

* A First time buyer in the position to buy whenever a find a suitable house with a large deposit (i.e. savings).

and

* As a holder of shares in a large American company

For example say I held £20k of shares and £20k in cash savings. Will house prices and savings be affected over the next year?

and

Will the strength of the £ be weakened against the $ thus increasing the value of my shares should i wish to sell them?

Thanks

lvader

The pound has actually strengthened against most major currencies, especially the USD since they announced the new QE.

Iamdave

why has it strengthened? I though QE causing inflation which would devalue our currency?

lvader

It did drop a bit at first but has since come back strong. My guess is that the markets see the UK's overall position strengthened by the move. At a time when Europe is crippled by indecision and the US is dithering. The BOE's move is seen as bold and decisive.