Their previous forecast was for the BOE to settle on a bank rate of 3.75% this year i.e. 75 bps more of rate cuts. Meanwhile, Morgan Stanley has also come out to say that they are expecting the BOE to cut rates at each meeting all through the year now – taking the bank rate to 3.25% by year-end, as compared to their previous forecast of 3.50%.
This article was written by Justin Low at www.forexlive.com.
