1318 GMT - Expectations for Bank of England interest rate rises look overly aggressive, Ebury strategist Matthew Ryan says in a note after the BOE held rates at 3.75% Thursday. "Unlike the 2022 inflationary episode, the current oil supply shock is set to prove temporary, and slack in the labor market should act to contain any second-order effects." The BOE is keeping its options open but this isn't a commitment to raise rates, he says. There could be some modest tightening if data warrant it but rates should remain unchanged for now given the fragility of the economy and jobs markets, he says. The market prices 62 basis points of rate rises by year-end compared to 78bps before the BOE's decision, LSEG data show.(renae.dyer@wsj.com)
(END) Dow Jones Newswires
April 30, 2026 09:18 ET (13:18 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments