-
Why the Bank of England is unlikely to push back against lofty interest rate expectations
After some unwelcome inflation and wage data, markets now expect the Bank of England (BoE) to take rates close to 6% over the coming months. That equates to almost six additional rate hikes and is very close to the highs we saw in the midst of the ‘mini budget’ crisis last year. The divergence between US and UK rate expectations for later this year has become equally magnified. Back then, the Bank of England explicitly warned investors that rates were unlikely to go as high as markets were pricing. So the question for Thursday’s meeting, where a 25bp hike is highly likely, is whether the Bank offers up similar ... (full story)
- Comments
- Subscribe
- Comment #1
- Quote
- Jun 16, 2023 12:41pm Jun 16, 2023 12:41pm
- Bones
- Joined Nov 2007 | Status: left CanaryWharf desk-tea break | 2814 Comments | Online Now
#doyourownanalysisordietryin
- Comment #2
- Quote
- Jun 19, 2023 9:29pm Jun 19, 2023 9:29pm
- RossEdwards
- Joined Jun 2019 | Status: Member | 3299 Comments
Warning: A Dangerous Subversive: 1% of comments CoCed