Bank of England News and Analysis

21 September 2023 Pound Sterling Plummets as Bank of England Calls an End to Interest Rate Hikes

Pound Sterling slumped against the Euro, Dollar and other major currencies after the Bank of England said it had ended its interest rate hiking cycle, believing that inflation was now on course to …

18 September 2023 Bank of England Can't Afford to Rest at 5.5% says Roubini

The Bank of England's apparent plan of raising interest rates to 5.50% this week but then calling a halt to the rate hiking cycle is tantamount to a mistake, according to a prominent economist.

06 September 2023 Pound Sterling Slides as Bank of England says Peak Interest Rates Close

A tough day for the British Pound was made tougher by the Bank of England Governor Andrew Bailey who was keen to stress the end of the interest rate hiking cycle was now close at hand.

31 August 2023 Pound Sterling Can Look Forward to 'Higher for Longer' Interest Rates at Bank of England

The Bank of England will keep interest rates at elevated levels for a protracted period according to Chief Economist Huw Pill, in what amounts to fresh confirmation a return to lower interest rates…

09 August 2023 When Will Interest Rates Go Down? September 2024 is the Current Bet

When will interest rates go down? Money market data and guidance from the Bank of England suggest the first interest rate cut could occur towards the autumn of 2024, but there are signs the cost of…

08 August 2023 Bank of England to Skip a September Rate Hike? This is What Would Have to Happen

Markets currently see non-negligible odds of 20% that the Bank of England skips a rate hike in September, a development that could potentially result in a decent decline in the value of the Pound.

04 August 2023 GBPUSD Grapples with Uncertain Recovery Prospects

   The Pound to Dollar exchange rate entered the final session of the week steadier on its feet after testing a major level of technical support on the charts previously but its recovery p…

04 August 2023 Pound Sterling Outlook Stabilises as the Gap Between Fantasy and Reality on Rate Hike Expectations Closes

The Pound initially fell in the wake of the Bank of England's decision to hike Bank Rate to the highest level in 15 years but it soon recovered as market expectations for further interest rate hike…

03 August 2023 Bank of England Delivers 14th Consecutive Rate Hike, Pound Recoups Initial Knee-jerk Losses

The British Pound tracked bond yields and fell further against the Euro and Dollar after the Bank of England raised interest rates by 25 basis points, representing a downshift from the 50bp hike de…

26 July 2023 Pound Sterling Hedging Opportunity or Imperative Rarely Greater

Pound Sterling has remained an outperformer among major currencies for the year in recent trading but with market interest rate assumptions implying close to unprecedented monetary tightening still…

25 July 2023 Bank of England "Pause" Seen in Pipeline after S&P Survey Hints of Inflation Deceleration

Some economists say a widely monitored private sector survey is an indication that UK inflation could fall notably further by year-end, leading the Bank of England (BoE) to "pause" its interes…

19 July 2023 Bank of England Tipped to Hike by 25 Basis Points in August as Economists React to Inflation Undershoot

Economists say although the prospect of a second consecutive 50 basis point rate hike in August has greatly receded following softer-than-expected June inflation figures, an elevated services infla…

12 July 2023 Bank of England Expectations Stoke Tensions Between Two Different Stability Mandates

Rising financial market expectations for interest rates and other circumstances almost unique to the UK are stoking a form of tension between financial stability and inflation-targeting mandates of…

06 July 2023 Key Bank of England Inflation Yardstick Offers Little Comfort: DMP Latest

A key Bank of England yardstick used to ascertain domestic inflationary pressures confirms UK wage inflation remains resolutely sticky, casting doubts on the Bank's ability to bring inflation back …

29 June 2023 Bank of England in No Mood to Entertain Thoughts of Interest Rate Cuts

The Bank of England pushed back against market expectations that showed it was expected to cut interest rates from 2024, warning inflation would prove too persistent in nature to facilitate lower r…

28 June 2023 Bank of England Governor Suggests Market is Mistaken in Outlook for Bank Rate

Bank of England (BoE) Governor Andrew Bailey indicated on Thursday that Bank Rate may already have risen as far as it's likely to as a result of the recent increase in workforce pay and the rebound…

23 June 2023 Inflation Difficulty at BoE a Possible Sign of the Risks in Europe and Elsewhere

The inflation situation faced by the Bank of England (BoE) is in one way potentially a sign of things to come for the European Central Bank (BoJ) and any other central banks presiding over monetary…

22 June 2023 Bank of England To Hit 6.0% Says NatWest

The Bank of England has had a "crossing the rubicon" moment and will hike interest rates by a further 100 basis points before the year is done says NatWest Markets.

22 June 2023 Pound Sterling Backed by Decisive 50bp Bank of England Hike

The Bank of England grasped the seriousness of the UK's inflationary pressures by opting to raise interest rates by 50 basis points, a move that Pound Sterling Live reported was a bare minimum if t…

22 June 2023 Resilient Canadian Dollar and Softening Sterling Weigh on GBP/CAD

The Canadian Dollar was mostly stronger in a resilient showing from the Loonie heading into the latter half of the week while Sterling was weaker in many parts ahead of a widely anticipated Bank of…