1221 GMT - A faster deceleration in the U.K. wage growth should support more interest-rate cuts from the Bank of England, Bank of America economists say in a note. U.K. average wage growth, excluding bonuses, slowed to 5.6% in the three months to March from 5.9% in the three months to February. U.K. wage growth is likely to continue declining, allowing for more rate cuts, the economists say. Markets fully price in one more BOE interest rate cut, and a high possibility of a second rate reduction by the end of 2025. BofA expect three BOE rate cuts: in August, September and November, taking the policy rate to a low of 3.5%. (miriam.mukuru@wsj.com)
(END) Dow Jones Newswires
May 13, 2025 08:21 ET (12:21 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.