On November 5, local time, the Bank of England concluded the Monetary Policy Committee meeting and announced that it would raise the benchmark interest rate by 25 basis points from 3.75% to 4.00%, in line with general market expectations. The year-on-year increase in the UK consumer price index in September rose to 3.5% from 3.1% in August, and service sector inflation and core inflation are still high. Analysts pointed out that the interest rate hike is mainly due to the continued accumulation of inflationary pressure. At the same time, they believe that the interest rate hike is more “preventive”. Bank of England Governor Bailey confessed before the meeting that it is “extremely disheartening” that the inflation rate continues to be above the target level, but it is still too early to assess the intensity of the effects of the second round of inflation. Currently, there are still major differences in the market regarding the next monetary policy path. Some institutions expect the Bank of England to raise interest rates several times next year, and the benchmark interest rate may rise further to 4.50%, but most economists expect that the Bank of England will raise interest rates again next year, then enter an observation period. (CCTV Finance)

On November 5, local time, the Bank of England concluded the Monetary Policy Committee meeting and announced that it would raise the benchmark interest rate by 25 basis points from 3.75% to 4.00%, in line with general market expectations. The year-on-year increase in the UK consumer price index in September rose to 3.5% from 3.1% in August, and service sector inflation and core inflation are still high. Analysts pointed out that the interest rate hike is mainly due to the continued accumulation of inflationary pressure. At the same time, they believe that the interest rate hike is more “preventive”. Bank of England Governor Bailey confessed before the meeting that it is “extremely disheartening” that the inflation rate continues to be above the target level, but it is still too early to assess the intensity of the effects of the second round of inflation. Currently, there are still major differences in the market regarding the next monetary policy path. Some institutions expect the Bank of England to raise interest rates several times next year, and the benchmark interest rate may rise further to 4.50%, but most economists expect that the Bank of England will raise interest rates again next year, then enter an observation period. (CCTV Finance)