Under half of analysts expect a BoE rate cut in June

Reuters poll on Bank of England expectations. 63 economists surveyed:

  • 31 see June cut
  • 30 see Q3
  • 2 say November

The report from adds a summary of where we are at:

  • Governor Andrew Bailey and Deputy
    Governor Dave Ramsden have recently said UK inflation was
    falling in line with the central bank’s predictions and the risk
    of it getting stuck too high had receded.
  • “It is between June and August, we are leaning slightly
    towards August on the basis that one of the key things the Bank
    is looking at is services inflation,” said James Smith,
    economist at ING Financial Markets. “If services inflation is a little bit stickier, I think
    that tilts the balance a little bit further towards August over
    June, but it’s a pretty close call to be honest.”

On Wednesday a couple of BoE officials seems to pour cold water on the June cut idea, sending GBP higher:

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