BOE preview: Bank rate set to stay at 3.75% as vote split takes centre stage
GBP/USD — All Desk Targets
| Firm | Stance | YE 2026 |
|---|---|---|
Rabobank | Bearish | 1.3300 |
ING | Neutral | 1.3500 |
MUFG | Bullish | 1.4000 |
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Barring a major surprise, there should not be too much suspense over the headline decision from the BOE later today. The central bank is widely expected to keep the bank rate at 3.75%, as markets are also pricing in nearly 80% odds of that outcome. The more interesting question i
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4 itemsBoE leaves bank rate unchanged at 3.75% in June meeting, as expected
BoE preview: will the central bank make another step towards a rate hike?
The desk anticipates that the Bank of England (BoE) will maintain the Bank Rate at 3.75% during today's meeting, with a possibility of one or two hawkish dissenters. Per the full note [source], while recent economic data has not urgently called for rate hikes, the persistent inflationary pressures, particularly in services, suggest that the BoE may signal a future rate increase, potentially as early as June. The market currently prices in a 63% probability of a June hike, indicating room for GBP appreciation should the BoE adopt a hawkish tone. This outlook contrasts with the FTSE 100, which may face downward pressure in such a scenario.
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