Likelihood of BOE Rate Cut in June Fades -- Market Talk

Dow Jones
May 08, 2025

1416 GMT - The chances of a follow-up Bank of England interest-rate cut in June are fading after Thursday's decision, says Aviva Investors' Steve Ryder in a note. The BOE reduced rates but reiterated that further cuts would be gradual. Aviva Investors expects quarterly interest-rate cuts into the summer before more evidence of slowing inflation and activity opens the potential for sequential cuts, the senior portfolio manager says. "Today's statement has reduced the chance of a consecutive cut in June," he says. Aviva continues to see risks of weaker U.K. activity data which would mean U.K. interest rates eventually end up lower than markets currently price, Ryder says. (emese.bartha@wsj.com)

 

(END) Dow Jones Newswires

May 08, 2025 10:16 ET (14:16 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10