Free Trial

VIEW CHANGE: Deutsche Bank looks for 50bp August hike


"Evidence of still more persistent wage pressures will keep the MPC's foot on the accelerator. A second consecutive 50bps hike now looks more likely than not. Accordingly, we change our call for August, and now expect a 50bps hike at the next BoE meeting, taking Bank Rate to 5.5%. We keep our terminal rate projection fixed at 5.75%, however, and see the MPC delivering at least one further quarter point hike in September. Risks to our terminal rate projection are tilted firmly to the upside. We will reassess our view following the release of both the Financial Stability Report and the June CPI print."

To read the full story



MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.