BOE seen hiking rates just once in 2018 – Bloomberg survey

According to the results of the latest Bloomberg survey, a majority of the economists surveyed believe that the Bank of England (BOE) is expected to stand pat until 2019 after hiking the interest rates in May this year.

Key Findings:

“About three-quarters of analysts in the latest Bloomberg survey now see a rate increase in May -- up from 54 percent last month -- although the long-term view is less certain. While a significant minority see more action this year, the median forecast for a subsequent hike is not until February 2019.

That outlook is also reflected in markets, where a hike on May 10 is seen as all but a sure thing, and a follow-up in November merely a toss-up.

Some economists are concerned that, with Brexit continuing to cloud the horizon and growth and inflation at risk of slowing faster than policymakers expect, the case for further action after May could be derailed.“