BoE likely to cut its inflation projections
The Bank of England will leave the Bank Rate unchanged at 5.25% at its monetary policy meeting on May 9. The voting split is likely to stay at 8 to 1 in favor of keeping interest rates unchanged and we expect Swati Dhingra to be the single member voting in favor of reducing the Bank Rate by 25bp. The recent comments by BoE Chef Economist Huw Pill suggest that the BoE will keep rates higher for longer rather than cut ting them too soon. Meanwhile, BoE Deputy Governor Dave Ramsden sounded less worried about inflation and more confident about domestic pressures “receding” (more than as...