BoE raises rates to 4% and leaves further hikes open
🏦 On November 5, the BoE raised rates by 25 basis points to 4%, its first increase since August 2023, as energy costs fuel UK inflation.
🗳️ The 8–1 vote showed all nine members favoured tightening. Catherine Mann preferred a larger, 50-basis-point increase.
🔥 September CPI reached 3.5% and is projected to approach 5% by mid-2027. The BoE aims to limit the spread of energy pressures into wages and other prices.
🔎 Bailey left further hikes open if inflation pressures persist. Policy remains data-dependent, with no commitment to a prolonged hiking cycle.
💷 For GBP, expectations of further tightening matter, as the move to 4% was widely anticipated. Energy prices and domestic inflation will shape how much support interest-rate differentials provide.
#BankOfEngland $SOL
🏦 On November 5, the BoE raised rates by 25 basis points to 4%, its first increase since August 2023, as energy costs fuel UK inflation.
🗳️ The 8–1 vote showed all nine members favoured tightening. Catherine Mann preferred a larger, 50-basis-point increase.
🔥 September CPI reached 3.5% and is projected to approach 5% by mid-2027. The BoE aims to limit the spread of energy pressures into wages and other prices.
🔎 Bailey left further hikes open if inflation pressures persist. Policy remains data-dependent, with no commitment to a prolonged hiking cycle.
💷 For GBP, expectations of further tightening matter, as the move to 4% was widely anticipated. Energy prices and domestic inflation will shape how much support interest-rate differentials provide.
#BankOfEngland $SOL
