Bank of England hikes rates by 50 basis points, now sees 'much shallower' recession than feared
Publishing timestamp: 2023-02-02 11:04:57
Summary
The Bank of England raised interest rates by 50 basis points and revised its economic outlook to forecast a shorter and shallower recession than previously set out in November projections. The Bank also dropped the word "forcefully" from its rhetoric around continuing to raise rates as necessary to rein in inflation. The U.K. inflation rate came in at 10.5% in December, down slightly from 10.7% of November. HSBC Global Asset Management and S&P Global Ratings suggest that the Bank will now pause to monitor the knock-on effects that its tightening to date has had on inflation and on the wider economy.
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Keywords: politics, gbp/usd, central banking, investment strategy, economy, currency markets, british 10 year gilt, breaking news: markets, business news, markets, breaking news: europe,