1037 GMT - Strong inflation and wage growth data this week suggests the Bank of England will cut interest rates more steadily than previously expected this year, UBS economists Anna Titareva and Reinhard Cluse say in a note. Inflation picked up to 3.0% in January, from 2.5% in December, while weekly earnings growth climbed to 5.9% in the three months to December. "We think that the bank will maintain its gradual approach to easing," the economists say. Despite signs of improvement in underlying services inflation, given that energy costs will prop up inflation, the rate won't approach the 2% target until 2026, they say. The economists expect three quarter-point rate cuts this year, bringing the key rate to 3.75 by the end of 2025. (edward.frankl@wsj.com)
(END) Dow Jones Newswires
February 20, 2025 05:37 ET (10:37 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
免责声明:投资有风险,本文并非投资建议,以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请,作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考,不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证,投资者应自行研究并在投资前寻求专业建议。