The surprisingly-dovish reaction of sterling to the Bank of England’s August Inflation Report has led some commentators to conclude that the prospect of an interest rate hike this year is now dead and buried. However, while our central forecast assumes that interest rates do not rise until Q2 2018, there is still a decent chance of an earlier rate hike.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services