Bank of England to raise interest rates twice

In the Asian session on Thursday (May 25), GBP/USD rose to 1.2359, a drop of 0.03%. Institutional analysts said on Wednesday that the Bank of England is now expected to raise interest rates two times, rather than once previously forecast, and will not cut interest rates in November due to higher-than-expected inflation data.

Bank of England dynamics

Institutional analysis shows that although the hawkish risk brought by inflation data is relatively large, the details of the data hide some dovish signals, such as the growth rate of inflation in the service industry is not as fast as previously feared; as cost pressures show signs of easing, Citigroup The Bank of England is still expected to cut rates sharply in 2024.