FXStreet (Guatemala) – Analysts at Rabobank explained some conditions required for the BoE to raise rates.
Key Quotes:
“Although this week’s German economic data have been encouraging, broadly speaking the external factors which could delay a rate hike from the BoE have also be weighing on expectations regarding Fed and ECB policy.”
“Just as there is increased risk of low for longer rates from the BoE, expectations that the Fed could hike rates as soon as next week have been pared while the market is weighing up the prospects of a bigger asset purchasing package from the ECB next year.”
“Consequently it remains the case that when the BoE do eventually hike rates, it is likely to coincide with very accommodative monetary policy settings from the ECB.”
(Market News Provided by FXstreet)