BOE Holds Rate on First Super Thursday

UK interest rates have been held at 0.5% again by the Bank of England’s Monetary Policy Committee.

MPC members voted 8-1 to keep rates on hold, with only Ian McCafferty voting to raise rates.
The decision marks the 78th consecutive month of record-low interest rates. In its report, the Bank said the outlook for inflation was “muted”.

Some economists say a rate rise could now be put off, although governor Mark Carney said it was “drawing closer”.

“Those analysts who predicted a rate rise this year may be on brink of having to rip up their predictions,” said Aberdeen Asset Management chief economist Lucy O’Carroll.

Many analysts had anticipated that two or three policymakers would vote for a rate increase.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza