FLGB - Bank Of England Hints That The First Rate Cut Is Drawing Nearer
2024-06-20 15:45:00 ET
Summary
- The Bank of England kept rates on hold this month.
- Comments in the statement and minutes suggest officials are getting closer to cutting interest rates despite some recent unwelcome services inflation figures.
- The risks of sterling weakness emerging over coming months should largely be witnessed in GBP/USD, which we expect to trade back under 1.25.
The latest post-meeting statement is slightly dovish
The Bank of England has voted 7-2 in favour of keeping rates at 5.25% for another month. No surprises there, but in the limited comments we got from the Bank today, this is a statement that reads more dovish than we suspect many investors might have expected....
Bank Of England Hints That The First Rate Cut Is Drawing Nearer