The Bank of England(BoE) may lower interest rate expectations, causing the pound to plummet – Commerbzank

Is there any possibility that the Bank of England (BoE) could speed up things and increase the key rate to 50 basis points (bps)? Commerzbank economists predict that the old lady will embrace a cautious approach while focusing on the pound.

May 05, 2022 - 01:28 PM 229 views

The Bank of England(BoE) may lower interest rate expectations, causing the pound to plummet – Commerbzank

Market News

© The Bank of England(BoE) may lower interest rate expectations, causing the pound to plummet – Commerbzank

Free Enquiry Now

Is there any possibility that the Bank of England (BoE) could speed up things and increase the key rate to 50 basis points (bps)? Commerzbank economists predict that the old lady will embrace a cautious approach while focusing on the pound.

      The Bank of England may temper expectations for rate hikes in its upcoming sessions

       The Bank of England (BoE) is highly concerned about the various effects of the high inflation prices on consumer behavior. At the last meeting, it was not unanimous and everyone did not agree with the point of increasing the interest rates, whereas one member was in favour of keeping the interest rates steady. Based on the voting system, it seems that the 50 basis points (bps) rate hike is not liked by everyone.

          According to the market, each of the rate meetings this year is expected to add 25 basis points. As well, our economists believe that the Bank of England (BoE) should take a short break often. If this trend continues following today's rate hike expectations meeting, markets may slow slightly and settle at negative levels, putting pressure on the pound.

Share With -

 

No comments yet for this post

Please Login to comment this article.

If not a registered user yet, Please signup here