The Bank of England’s MPC voted 7–2 to hold rates at 3.75% on 18 June, with two dissenters backing an immediate hike to 4% as UK inflation stays at 2.8%, nearly a full point above target.
Category: Economy
Posted inEconomy
A second US court kills Trump’s 10% tariff, leaving trade policy in legal limbo
A US trade court ruled Trump’s 10% global import surcharge unlawful in May, the second major judicial blow to the administration’s tariff strategy in 2026, with the levy now set to expire in July.
Posted inEconomy
UK unemployment climbs to 4.9% as payrolled jobs fall by 138,000
ONS data from June 18 shows UK unemployment at 4.9% for the latest quarter, with payrolled employment down 138,000 and real wages barely growing.
Posted inEconomy
Warsh holds rates but nine officials signal a 2026 hike, sending stocks lower
The Fed kept the funds rate at 3.50–3.75% on June 17 in Warsh’s first FOMC meeting as chair, but a hawkish dot plot rattled markets and pushed the S&P 500 down 1.2%.
Posted inEconomy
UK economy slips 0.1% in April as Iran war hits services and energy output
UK monthly GDP fell 0.1% in April, the first contraction since August 2025, as energy output dropped and businesses cited the Middle East conflict as a drag on turnover.
Posted inEconomy
Bank of Japan lifts rates to 1%, highest since the mid-1990s
The Bank of Japan raised its benchmark rate to 1% in a 7-1 vote on Monday, the highest since September 1995, as Iran war energy costs push Japan’s inflation above target.
Posted inEconomy
The Iran deal’s oil shock reversal tests central banks on both sides of the Pacific
With the US-Iran ceasefire removing the energy shock that has driven global inflation since February, the Bank of Japan and the US Federal Reserve face their pivotal June decisions in a changed landscape.
Posted inEconomy
UK May retail sales post sharpest annual rise in 13 months despite travel slump
UK retail sales grew 3.7% year-on-year in May 2026, the fastest rate since April 2025, as heatwave spending on outdoor goods masked a 12.9% drop in airline bookings.
Posted inEconomy
Markets price a Fed hike for the first time as Warsh chairs his June 17 FOMC debut
For the first time in two years markets are pricing a Fed rate hike as Kevin Warsh chairs his first FOMC meeting on June 16–17, with US inflation at 4.2% and no cut bets remaining for all of 2026.
Posted inEconomy
ECB raises rates to 2.25% in first hike since 2023 as Iran war drives inflation
The European Central Bank raised its deposit facility rate by 25 basis points to 2.25% on June 11, citing persistent energy-driven inflation from the Middle East conflict, with headline eurozone inflation forecast to average 3% in 2026.