Bank of England preview – headline inflation lowest in 18 months makes rate hike 50/50

I posted earlier on the Bank of England Monetary Policy Committee decision coming up today, with JP Morgan saying a rate hike is a coin toss:

• Lower than expected UK CPI data, Bank of England policy decision today now close to 50/50

Bank of Montreal with a similar take:

• UK CPI caught our attention as it shored an unexpected deceleration in headline inflation to the lowest level in 18 months at 6.7% on a yearly basis.
• While this remains far above the pre-pandemic pace, the release was followed by a rethink of the odds the BoE hikes +25 bp.
• The probability of a move is now closer to 50% as investors consider the prudence of a pause.

Bank of England Governor Bailey

This article was written by Eamonn Sheridan at www.forexlive.com. Source