Governor Andrew Bailey said on 16 October that evidence of second-round inflation effects is ‘quite subdued’, but 54 of 63 economists now forecast a 25bp Bank of England rate hike in November.
Tag: monetary policy
Posted inEconomy
Norges Bank Raises Rate to 4.50% and Warns It May Hike Again
Norges Bank raised its benchmark rate 25 basis points to 4.50% on Thursday, its second hike of 2026, with Governor Bache warning rates must stay elevated until inflation returns to target.
Posted inEconomy
Bank of Japan Raises Rates to 1.25%, Highest Since 1995, as Inflation Meets Target
The Bank of Japan raised its benchmark interest rate to 1.25% on September 18, the highest level in 31 years, in a 7-2 vote as inflation hit its 2% target amid elevated global energy costs.
Posted inEconomy
US July PCE Inflation Holds at 3.7% as Consumer Spending Stalls
July PCE inflation hit 3.7% year-on-year, beating forecasts, as consumer spending stalled and the probability of a September rate hold rose to 62%.
Posted inEconomy
Brazil Cuts Selic to 14% for Fourth Consecutive Meeting
Brazil’s Copom cut the Selic to 14% on 5 August, a fourth straight quarter-point reduction completing 100 basis points of easing since March 2026.
Posted inEconomy
Bank of Japan Holds at 1% and Upgrades Growth Forecast as Yen Slides to 40-Year Low
Japan’s central bank held its policy rate at 1% on July 27, upgraded its GDP forecast to 0.8% for fiscal 2026, and signalled further tightening ahead as the yen neared a 40-year low.
Posted inEconomy
UK Inflation Falls to 2.6% in June as Diesel and Food Prices Cool
UK consumer price inflation eased to 2.6% in June 2026, its lowest reading since March 2025, driven by falling diesel pump prices and the softest food inflation since August 2024, though services costs held firm at 3.6%.
Posted inEconomy
PBOC Holds Rates for 14th Straight Month as China’s Economy Misses Its Growth Target
China’s central bank held lending rates at record lows on July 20 for the 14th straight month after Q2 GDP came in at 4.3%, the weakest reading since late 2022.
Posted inEconomy
India’s Inflation Breaches the RBI’s 4% Target for the First Time in 17 Months
India’s consumer price index rose to 4.38% in June 2026, driven by food and transport costs, reigniting debate over whether the Reserve Bank of India should resume rate hikes as early as August.
Posted inEconomy
Bank of Japan set to raise rates to 1% on June 16, highest since 1995
Governor Ueda has all but confirmed a June 16 rate rise to 1.00%, citing persistent inflation and yen-driven energy shocks, as market pricing reaches 80% odds for the hike.