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The waiting game: Rate cuts in sight as budget pressure builds
Season 1, Ep. 205
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The Bank of England’s (“BoE”) Monetary Policy Committee delivered a narrow 5–4 vote to keep interest rates unchanged at 4%, marking one of the most finely balanced decisions in recent years. The split highlights the delicate equilibrium policymakers face amid uneven data. The BoE signalled that inflation, last recorded at 3.8% in September, has likely peaked and is now easing, keeping a December rate cut firmly on the table with markets pricing a 60–70% probability of a 0.25% reduction. Governor Andrew Bailey’s decisive vote, coupled with dovish comments acknowledging that a 3.5% terminal rate “fairly describes” his outlook, reinforced market conviction that the easing cycle could begin soon. Economic indicators were mixed with the UK Composite Purchasing Managers' Index (“PMI”) rising to 52.2, driven by services strength (52.3), while manufacturing stabilised (49.7) and construction contracted sharply (44.1)...
Stocks featured:
Airtel Africa, InterContinental Hotels Group and Rightmove
To find out more about the investment management services offered by Walker Crips, please visit our website:
https://www.walkercrips.co.uk/
This podcast is intended to be Walker Crips Investment Management’s own commentary on markets. It is not investment research and should not be construed as an offer or solicitation to buy, sell or trade in any of the investments, sectors or asset classes mentioned. The value of any investment and the income arising from it is not guaranteed and can fall as well as rise, so that you may not get back the amount you originally invested. Past performance is not a reliable indicator of future results. Movements in exchange rates can have an adverse effect on the value, price or income of any non-sterling denominated investment. Nothing in this podcast constitutes advice to undertake a transaction, and if you require professional advice you should contact your financial adviser or your usual contact at Walker Crips. Walker Crips Investment Management Limited is authorised and regulated by the Financial Conduct Authority (FRN: 226344) and is a member of the London Stock Exchange.
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