Created
: 2024.11.07
2024.11.07 23:10
The Bank of England cut Bank Rate today by 25bps, as universally expected. The vote was 8-1 in favour, with one dissent to hold from Mann. Guidance was left broadly unchanged, with the MPC noting that 'a gradual approach to removing policy restraint remains appropriate', TDS' macro analysts note.
"As nearly universally expected, the Bank of England cut Bank Rate today by 25bps to 4.75%. The vote to cut was decisive, at 8-1. The MPC's analysis of the recent budget yielded a substantial boost to growth and inflation, reinforcing its guidance of gradual cuts."
"The upgrades to inflation and growth were met with unchanged guidance. This left rates markets with a rather blurry picture. We still think that the BoE decision should help somewhat to calm the rates space after last week's budget. Trading wise we favour steeper 2s10s curves."
"The GBP strength from the BoE decision can be short-lived with the risk of hawkish FOMC and the looming risk of US election implications. GBP positioning is still more optimistic than non-USD peers making it vulnerable to a correction. We like GBP lower vs USD and JPY."
Created
: 2024.11.07
Last updated
: 2024.11.07
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy