The Bank of England raises the rate in March amid rising inflation

The results of an economic review conducted by the Reuters agency indicate that the respondents’ majority predict another increase in the rate of the Bank of England in March. The regulator will be forced to make such a decree to try to stop the inflation growth. For a rate hike of 25 bp. 25 out of 40 survey participants spoke. If the projection is true, the Bank of England will raise the rate following the results of three meetings in a row. A comparable situation was observed in the UK 25 years ago. Half of the respondents believe that in Q2 the Central Bank will continue to raise the rate. Bank of England policy plans are changing rapidly. In January, survey participants expected only one decision to raise the rate, which, in their opinion, the bank should have taken in the 3rd quarter of this year. The vast respondents’ majority believe that the number of rate hikes may exceed the forecast, but can no longer be less than expected. The next meeting of the Bank of England is scheduled for March 17.

author

About author

Arseny Kudrin

Publicist, trader

Read previous post
← Fitch downgrades Turkey's long-term ratings to 'B+' from 'BB-'
Read next post
Goldman Sachs downgrades S&P 500 outlook for 2022 →
Get the best solution for your forex company. Please, submit the form below and we will get back to you within 24 – 48 hours.