Focus shifts to BoE following Fed rate rise
20 December

Focus shifts to BoE following Fed rate rise

The Bank of England will conclude upon their monetary policy, with the base interest rate set to remain unchanged at 0.75% at a vote of 9-0.

This follows the Fed’s decision last night to raise rates a quarter point to 2.25% -2.50%, a move which rattled stocks with the biggest drop recorded following a Federal Reserve increase since 1994. The BoE has raised interest rates twice since November 2017 to the highest levels they have been since the financial crisis, and the gradual rate of tightening is still largely expected from policy makers all be it data dependent, Brexit however has the ability to put a ‘spanner in the works’, especially considering the current uncertainty in negotiations -time is now of the essence with the UK set to leave the bloc in three and a half months’ time. We also receive retail sales and inflation data out the UK prior to the interest rate decision at 12.00 GMT, retail sales are due to edge lower year-on-year for the month of November to 1.9% from 2.2%.


Blog Section


, ,

Last Updated

Share This Post

Why is PhillipCapital UK the right choice for you?

Request More Information