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Deutsche Bank: We expect the Bank of England to cut interest rates only once this year
3hours ago

Odaily Planet Daily News: Sanjay Raja, an analyst at Deutsche Bank, said in a report that the latest policy decision of the Bank of England may trigger a rethinking of the future policy path. He said that the trade-off between rising inflation and a weak labor market has increased the uncertainty of the policy path. Due to the 4-4-1 vote, the divisions within the Monetary Policy Committee have intensified, giving the impression that the bank rate is less restrictive than before. Deutsche Bank currently expects that the Bank of England will only cut interest rates once in November this year, compared with the previous expectation of two rate cuts, but it may be postponed to December. It is expected that interest rates will be cut quarterly thereafter, with the final interest rate at 3.25% in the second quarter of 2026. (Jinshi)