A hawkish US Federal Reserve has bumped interest rates by 25 basis points and hinted at two more rises by the end of the year, but industry figures believe over-aggressive tightening risks derailing the Trump trade.
Bank of England governor Mark Carney has re-earned his moniker as an ‘unreliable boyfriend’ as the monetary policy committee votes 7-2 to hold rates at 0.5%.
Weak Q1 GDP data and comments from Mark Carney have seemingly put the kibosh on a May rate hike, but the Bank of England’s trajectory is far from certain. Portfolio Adviser asked fixed income analysts and managers whether they think the BoE will begin tightening or hold off.
UK consumer price inflation fell sharply to the lowest rate in a year last month, raising questions over the Bank of England’s (BoE) direction on interest rates.
Global markets recently faced a correction, inflation remains above the 2% target and interest rates are likely to rise, but how can investors prepare?
Having hit 3.1% in November, the Consumer Prices Index (CPI) 12-month rate fell to 3% in December, prompting suggestions UK inflation may have peaked.
After a decade of uber-low interest rates and loose monetary policy, consensus is that central banks around the world will continue to tighten their belts in 2018, so how best to tackle the shift?
It could be said that 2017 marked the beginning of the end of easy money as central banks started to move towards a tighter policy towards quantitative easing and interest rates. So, what is to come next?
The US Federal Reserve has raised interest rates by 0.25% in its third hike of 2017, while the Bank of England has stood firm and held UK rates at 0.5%.
Tilney’s Jason Hollands has argued that the UK’s struggling economy is likely to be a short-lived beast.
An upward trend in interest rates does not automatically equate to negative bond returns, despite the commonly-held market belief that it does, Blackrock has argued.
Sales of gold to first-time buyers soared 64% last week after the Bank of England’s base rate hike, The Pure Gold Company said.
