Bank of England expected to cut rates again as UK economy stagnates

Quarter-point reduction forecast even as short-term inflation pressures are set to increase

Read more at Financial Times

Save story

Topics

Related

England’s councils expected to cut contributions to staff pensions

Local government scheme is in surplus by £85bn, according to consultant Isio
Financial Times - 8h
Australia news live: Antoinette Lattouf gives evidence in case against ABC; NAB becomes first of big four banks to cut fixed-interest mortgage rates

Follow today’s news live. Get our breaking news email , free app or daily news podcast Labor names sites of more study hubs for regional uni students . The federal government has announced ...
The Guardian - 8h
Top Fed officials comments highlight split on central bank about next interest-rate cuts

Bowman, Goolsbee differ on outlook for inflation
MarketWatch - 2d
Happy holidays: Consumer spending surges again and keeps U.S. economy in overdrive

The year-end splurge drove a 4.2% advance in consumer spending in the fourth quarter — the biggest gain in almost two years.
MarketWatch - 2d
European Central Bank Cuts Interest Rates as Economic Growth Stagnates

The European Central Bank’s reduction, the fifth consecutive cut since last summer, came a day after the U.S. Federal Reserve held interest rates.
The New York Times - 3d
ECB warns of ‘headwinds’ to Eurozone economy as it cuts rate to 2.75%

Move comes after Fed keeps borrowing costs on hold
Financial Times - 3d
European Central Bank cuts interest rates to support growth as eurozone economy stagnates - as it happened

Live coverage of business, economics and financial news as ECB cuts main interest rate by 0.25 percentage points in effort to support European economies. It was a flash reading on the Eurozone ...
The Guardian - 3d
US economy grew at 2.3% rate in fourth quarter

Figure comes after Fed chair Jay Powell said there was no hurry to cut interest rates
Financial Times - 3d
European Central bank cuts benchmark rate by a quarter percentage point to boost stagnant economy

The European Central Bank is cutting its key interest rate, a step to boost an economy that’s struggling to grow as consumers burned by inflation warily eye price tags and businesses try to chart a ...
ABC News - 3d
Euro zone economy flatlines in fourth quarter, missing expectations for slight expansion

Economists polled by Reuters had expected growth of 0.1% over the period, following a larger-than-expected 0.4% expansion in the third quarter.
CNBC - 4d
Central bank decisions — as they happened: Powell says no rush to adjust Fed policy stance; Canada cuts rates for sixth consecutive meeting

US central bank holds rates steady as it resists Donald Trump’s calls to cut borrowing costs
Financial Times - 4d
Trump bashes Fed after bank doesn't cut rates

President Trump ripped the Federal Reserve and the man he appointed to lead it Wednesday after the central bank kept interest rates steady. In a post on Truth Social, the president accused the Fed ...
The Hill - 4d
Fed holds rates steady as Trump tariffs loom, economy hums

The Federal Reserve held interest rates steady Wednesday after price increases ticked up over the past three months, suggesting inflation may still have some life in it. Central bankers held rates ...
The Hill - 4d
Bank of England warns of risks in relaxing mortgage limits

Andrew Bailey welcomes ‘open public debate’, but cautions that easing rules could lead to more repossessions
Financial Times - 4d
The Fed is expected to hold rates steady. That will help banks, Moody’s says.

An expected decision this week by the Federal Reserve to keep interest rates steady will help bottom lines in the banking sector, at least in the short term, Moody’s Ratings analysts said.
MarketWatch - 4d
European Central Bank to cut rates again with Trump threat and U.S. divergence in focus

"The Fed will likely be on a more hawkish path, so significant divergence from the ECB could risk flight of capital towards the Dollar."
CNBC - 5d
Here's the financial impact of the Fed's expected pause on rate cuts

The Fed is expected to hold off on another rate cut at its Jan. 29 meeting. Here's what it means for your finances.
CBS News - 5d
How low will UK interest rates go?

There is more room for the Bank of England to loosen monetary policy than the market expects
Financial Times - Jan. 27
UK Budget fallout adds to Bank of England dilemma on interest rates

Employers are cutting jobs and raising prices to offset tax increases, with wages still growing too fast for policymakers’ comfort
Financial Times - Jan. 27
Bank of Japan is expected to hike rates this week, CNBC survey shows

Out of 19 economists, 18 agreed on prospects of a rate hike, with most pointing to a recent change in tone of the BOJ leadership as driving their expectations.
CNBC - Jan. 21
Your cash emergency fund probably isn’t going to cut it in this economy

The amount of time people spend looking for a new job in the U.S. has grown lengthier — yet most people have not adjusted their savings to account for that.
MarketWatch - Jan. 18
Starbucks Expecting Job Cuts by March

Starbucks said it expects to eliminate jobs, without affecting in-store teams, as part of its broader effort to operate more efficiently.
The Wall Street Journal - Jan. 17
When will HELOC interest rates drop again?

HELOC interest rates recently fell to an 18-month low. Here's when they could decline again.
CBS News - Jan. 17
Bank CEOs Jamie Dimon, David Solomon are cautious on the economy. Here’s why.

Inflation worries remain despite strong earnings as JPMorgan Chase’s Jamie Dimon and David Solomon of Goldman Sachs weigh risks.
MarketWatch - Jan. 17
China’s economy hits 5% growth target but rate among slowest in decades

Latter part of 2024 ‘recovered remarkably’ after stimulus measures, says National Bureau of Statistics. Business live – latest updates China’s economy grew by 5% in 2024, in line with ...
The Guardian - Jan. 17
Bank of England delays new capital rules ahead of Trump presidency

Officials push back implementation of new Basel regime until 2027 as they await clarity on US approach
Financial Times - Jan. 17
UK economy’s 0.1% growth fails to hit forecasts

November expansion is first since August as pressure on chancellor Rachel Reeves to rebuild confidence grows
Financial Times - Jan. 16
UK economy disappoints despite return to growth

Official figures show the economy grew by 0.1% in November, although that was lower than had been expected.
BBC News - Jan. 16
UK economy's disappointing November growth fuels the case for Bank of England rate cut

The U.K. economy grew at a lackluster pace of 0.1% in November, data from the Office of National Statistics showed Thursday.
CNBC - Jan. 16
Inflation Rose in December, Putting Rate Cuts Into Question

The consumer price index rose 2.9 percent in the last month of the year, the Labor Department reports.
Inc. - Jan. 15
A global bond sell-off is deepening as investors pare Fed rate-cut expectations

A sell-off in global bond markets is accelerating, fueling concerns over government finances and raising the specter of higher borrowing costs.
CNBC - Jan. 14
India's inflation slows to lower-than-expected 5.22% in December, boosting case for rate cuts

The full year inflation forecast for the RBI's 2024 fiscal year ending June 2025 is projected at 4.8%.
CNBC - Jan. 13
Malaysia expects surge of Chinese investment, economy minister says

Rafizi Ramli suggests semiconductor and tech sectors are seeking to avoid exposure to possible Trump tariffs
Financial Times - Jan. 12
Jolted Australia are on the tear again – England have their work cut out

Healy’s side have reacted strongly again to World Cup pain and the tourists need to keep the series live until the Test. If you’re playing against the Australian women’s cricket team, there are ...
The Guardian - Jan. 10
U.S. economy adds 256,000 jobs in December, unemployment rate at 4.1%

The final jobs report of the Biden administration has been released. It shows that the U.S. economy added 256,000 jobs in December and that the unemployment rate came in at 4.1%. NBC News’ ...
NBC News - Jan. 10
The Fed Is in No Rush to Cut Rates

Fed officials have signaled that it will take more than one weak report to convince them that the labor market is deteriorating.
The New York Times - Jan. 10
China’s Central Bank Stops Buying Bonds as Deflation Fears Grip Economy

The unexpected action is intended to tamp down a potential bubble in the bond market fueled by investors shunning riskier assets like stocks and real estate.
The New York Times - Jan. 10
Rate-Cut Decision Was Narrow, Fed Minutes Show

Stubborn inflation, and potential tariffs, make future rate cuts uncertain.
The New York Times - Jan. 8
Bank of England to relax rules for banks and insurers

PRA’s Sam Woods says burden can be eased without ‘race to the bottom’ on financial regulation
Financial Times - Jan. 8

More from Financial Times

Korean women are fighting back against deepfakes

Artificial intelligence is fuelling a crisis that reveals the country’s ongoing lack of gender equality
Financial Times - 39m
‘People had nowhere to go’: the innovators rebuilding Ukraine’s 2mn war-damaged homes

Three years since the war began, residents in front-line communities are living in shells. Several independent groups have stepped up
Financial Times - 1h
Investors risk overlooking Japan’s green investment opportunities

Plus, the argument for a bet on mental health start-ups
Financial Times - 1h
FirstFT: Trump’s trade war rocks global markets

Also in today’s newsletter, America’s corporate bosses cosy up to Musk, and Latam Airlines’ ambitious growth plan
Financial Times - 2h
Eurozone inflation rises to 2.5% in January

Price increases stay above ECB’s 2% target but policymakers are confident they will reach that threshold this year
Financial Times - 2h

More in World

3 Mexican Sectors Most Affected by U.S. Tariffs, and How the Country Could Respond

President Trump’s tariffs will have major effects on Mexico’s auto industry, agriculture and energy, but the country has some means for responding.
The New York Times - 11m
Netanyahu in Washington for ceasefire talks; Iran condemns Trump plan to relocate Palestinians – Middle East crisis live

Israeli PM expected to begin discussions on second phase of ceasefire; Iran warns against ‘ethnic cleansing’ of Palestinian people. The Palestinian ministry of health says the Israeli military have ...
The Guardian - 25m
EU and UK stock markets hit by global trade war fears as JPMorgan says Trump administration may be ‘business unfriendly’ – business live

European markets fall as Trump says EU tariffs will ‘definitely happen’; stocks and cryptocurrencies tumble in Asian trading hours. Trump says EU tariffs will ‘definitely happen’ as Mexico, ...
The Guardian - 25m
French film director found guilty of sexual assault but spared jail in landmark #MeToo trial

Christophe Ruggia given two years’ house arrest over incidents involving actor Adele Haenel in early 2000s when she was 12 to 15 years old. A Paris court has found the filmmaker Christophe Ruggia ...
The Guardian - 26m
OpenAI launches ‘deep research’ tool that it says can match research analyst

ChatGPT developer announces AI agent amid growing challenge from rivals such as China’s DeepSeek. OpenAI has stepped up its development of artificial intelligence agents by announcing a new tool ...
The Guardian - 30m