Sterling Could Show Muted Reaction if BOE Cuts Rates as Expected -- Market Talk

Dow Jones

Aug 04

0719 GMT - The Bank of England is likely to cut interest rates on Thursday but sterling's reaction to that should be muted, Danske Bank analysts say in a note. A rate cut is widely expected and the BOE will likely maintain guidance for a gradual pace of policy easing, they say. Beyond Thursday's decision, Danske Bank expects sterling to weaken as it expects the BOE to lower rates more than markets expect in 2026. Elevated uncertainties, signs of weaker U.K. growth and a positive correlation to negative dollar environment could also weigh on the U.K. currency. Danske Bank expects the euro to rise to 0.89 pounds in six to 12 months. The euro is last 0.2% lower at 0.8710 pounds. Against the dollar, sterling trades flat at $1.3281. (renae.dyer@wsj.com)

(END) Dow Jones Newswires

August 04, 2025 03:19 ET (07:19 GMT)

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A rate cut is widely expected and the <a href=\"https://laohu8.com/S/00710\">BOE</a> will likely maintain guidance for a gradual pace of policy easing, they say. Beyond Thursday's decision, Danske Bank expects sterling to weaken as it expects the BOE to lower rates more than markets expect in 2026. Elevated uncertainties, signs of weaker U.<a href=\"https://laohu8.com/S/TKKD.SI\">K</a>. growth and a positive correlation to negative dollar environment could also weigh on the U.K. currency. Danske Bank expects the euro to rise to 0.89 pounds in six to 12 months. The euro is last 0.2% lower at 0.8710 pounds. Against the dollar, sterling trades flat at $1.3281. (renae.dyer@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  August 04, 2025 03:19 ET (07:19 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Sterling Could Show Muted Reaction if BOE Cuts Rates as Expected -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSterling Could Show Muted Reaction if BOE Cuts Rates as Expected -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2025-08-04 15:19</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     0719 GMT - The Bank of England is likely to cut interest rates on Thursday but sterling's reaction to that should be muted, Danske Bank analysts say in a note. A rate cut is widely expected and the <a href=\"https://laohu8.com/S/00710\">BOE</a> will likely maintain guidance for a gradual pace of policy easing, they say. Beyond Thursday's decision, Danske Bank expects sterling to weaken as it expects the BOE to lower rates more than markets expect in 2026. Elevated uncertainties, signs of weaker U.<a href=\"https://laohu8.com/S/TKKD.SI\">K</a>. growth and a positive correlation to negative dollar environment could also weigh on the U.K. currency. Danske Bank expects the euro to rise to 0.89 pounds in six to 12 months. The euro is last 0.2% lower at 0.8710 pounds. Against the dollar, sterling trades flat at $1.3281. (renae.dyer@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  August 04, 2025 03:19 ET (07:19 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BOE","symbol_name":"黑岩全球成长基金","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2556806624","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2556806624","pubTimestamp":1754291940,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"0719 GMT - The Bank of England is likely to cut interest rates on Thursday but sterling's reaction to that should be muted, Danske Bank analysts say in a note. A rate cut is widely expected and the BOE will likely maintain guidance for a gradual pace of policy easing, they say. Beyond Thursday's decision, Danske Bank expects sterling to weaken as it expects the BOE to lower rates more than markets expect in 2026. Elevated uncertainties, signs of weaker U.K. growth and a positive correlation to negative dollar environment could also weigh on the U.K. currency. Danske Bank expects the euro to rise to 0.89 pounds in six to 12 months. The euro is last 0.2% lower at 0.8710 pounds. Against the dollar, sterling trades flat at $1.3281. ","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"BOE":"黑岩全球成长基金"},"translate_title":"市场传言，如果英国央行如预期降息，英镑可能会表现出温和的反应","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BOE":1},"content_text":"0719 GMT - The Bank of England is likely to cut interest rates on Thursday but sterling's reaction to that should be muted, Danske Bank analysts say in a note. A rate cut is widely expected and the BOE will likely maintain guidance for a gradual pace of policy easing, they say. Beyond Thursday's decision, Danske Bank expects sterling to weaken as it expects the BOE to lower rates more than markets expect in 2026. Elevated uncertainties, signs of weaker U.K. growth and a positive correlation to negative dollar environment could also weigh on the U.K. currency. Danske Bank expects the euro to rise to 0.89 pounds in six to 12 months. The euro is last 0.2% lower at 0.8710 pounds. Against the dollar, sterling trades flat at $1.3281. (renae.dyer@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  August 04, 2025 03:19 ET (07:19 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}