Bank of England Unexpectedly Raise Interest Rates for First Time in Three Years

The Bank of England MPC at its December meeting voted 8-1 (Silvana Tenreyro dissented) to raise the Bank Rate from the historic low of 0.1% to 0.25%. The decision was a surprise amid a severe deterioration in the economic outlook with Omicron triggering a collapse in consumer confidence.  Inflation is at the highest rate for a decade, 5.1% in the 12 months to November, the sharpest annual incline for 10 years and well above the Bank’s 2% target.  Thw BoE … Continue reading “Bank of England Unexpectedly Raise Interest Rates for First Time in Three Years”

Bank of England Holds Base Rate at 0.10%, Upward Pressure on Inflation Expected To Dissipate

The Bank of England MPC at it’s November meeting voted 7-2 (Ramsden and Saunders dissented)to maintain Bank Rate at 0.1%. The Committee voted 6-3 (Ramsden, Saunders, Mann dissented) to maintain corporate bond purchases at £20 billion and government bond purchases at £875.   Highlights: Bank of England announced  September 23 2021 monetary policy decision Unchanged at prior 0.10% Official bank rate votes 0-0-9 vs 0-0-9 expected Bank rate vote 7-2 (Ramsden and Saunders dissented) Gilts Asset purchase target £875 bn … Continue reading “Bank of England Holds Base Rate at 0.10%, Upward Pressure on Inflation Expected To Dissipate”

Bank of England Holds Base Rate at 0.10%, UK Q3 GDP Expectations Revised Down

The Bank of England MPC at it’s September meeting voted unanimously to maintain Bank Rate at 0.1%. The Committee voted unanimously to maintain corporate bond purchases at £20 billion and government bond purchases at £875. Uncertainty around labour market outlook has increased

Bank of England Holds Base Rate at 0.15%, Target Asset Purchases at £895 billion

The Bank of England MPC at it’s March meeting voted unanimously to maintain Bank Rate at 0.1%. The Committee voted unanimously to maintain corporate bond purchases at £20 billion and government bond purchases at £875.

Bank of England Tenreyro Sees Rate Cuts and Stimulus On The Table

Bank of England’s Silvana Tenreyro said today her inclination is towards a rate cut if downside risks emerge, currently the BoE base rate is 0.75%. She added discussing the possibility of stimulus, current asset purchase target is £435 billion with a corporate bonds  £10 billion.

Bank of England Holds Base Rate at 0.75% But Saunders and Haskell Voted for Cut

The Bank of England voted 7 to 2 to maintain Base Rate at 0.75%. The asset purchase target of £435 billion with a corporate bond target £10 billion for bond purchases was voted unaminous. Brexit uncertainty overhangs forecasts.

Bank of England Holds Base Rate at 0.75%, Cuts UK Growth Rate Again

The Bank of England voted 9 to 0 to maintain Base Rate at 0.75%. The asset purchase target of £435 billion with a corporate bond target £10 billion for bond purchases was voted unaminous. Brexit uncertainty overhangs forecasts.