BoE: Next rate hike will occur in May 2018 - TDS

Analysts at TDS believe that the next rate hike from the BoE will occur in May 2018, after the UK and the EU27 have struck a transitional agreement.

Key Quotes

“Beyond that, the MPC is likely to continue on a very slow hike path, pausing for one year as Brexit negotiations hit the home stretch. We expect two hikes in 2019. Our forecast is conditioned on continued slow pass-through from the weaker currency to inflation, lower trend supply growth amid decent demand growth, a labor market operating near capacity  resulting in wage gains, and a transitional Brexit deal agreed in Q1 that helps lift some uncertainty on households and firms.”

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.