Brexit, global slowdown to weigh on Bank of England

The Bank of England seems set to reduce its forecasts acknowledge Britain’s already sluggish growth, the uncertainty surrounding Brexit, to which there are only 50 days and the slowdown in many of the major world economies.

But that will not prevent the bank from reminding investors that they still want to raise interest rates if Britain can avoid the shock of a possible “no deal Brexit”. The bank is expected to vote unanimously to keep interest rates at current levels of 0.75% as there is still no consensus on the exit from the European Union.

At the same time, British Prime Minister Theresa May returns to Brussels to try to get support for the Irish border issue. She is expected to meet with the committee chairman at 12:00 (GMT +2).

What do investors expect?

Investors are not convinced that circumstances will allow the BoE to raise interest rates, with currently only 50-50 expect to raise interest rates this year.

They will look for signals about the Bank’s future views on their monetary policy.

Bank meeting is scheduled for 14:00 (GMT +2).

 Trader Milko Zashev

Read more:
If you think, we can improve that section,
please comment. Your oppinion is imortant for us.
WARNING: Any news, opinions, research, data or other information contained within this website is provided as general market commentary and does not constitute investment or trading advice. Varchev Finance Ltd. expressly disclaims any liability for any lost principal or profits which may arise directly or indirectly from the use of or reliance on such information. Varchev Finance Ltd. may provide information, quotes, references and links to or from other sites and blogs and other sources of economic and market information as an educational service to its clients and prospects and does not endorse the opinions or recommendations of the sites, blogs or other sources of information.
Varchev Finance