OctaFX | OctaFX Forex Broker
Open trading account

Bank of England to cut rates in January irrespective of what comes out of January's PMI report - TD Securities

Bank of England will cut rates by 25 basis points this month no matter what comes out of January's PMI report, scheduled for release on Friday, according to TD Securities analysts. 

Key quote

While some analysts are looking at today's PMIs as the make-or-break factor for the Bank of England decision next week, we believe instead that the hard data has been disappointing enough to justify a rate cut. 

At the end of the day, we look for more analysts to shift their stance to calling for a rate cut next week.

Markets began pricing a rate cut following the dismal UK retail sales data for December released earlier this month. 

The Markit Manufacturing PMI for January is seen rising to 48.9 from the prior month's 47.5. Meanwhile, Services PMI is forecasted to tick higher to 51.00 from 50.00. Both data are scheduled for release on Friday at 09:30 GMT. 


GBP/JPY Price Analysis: Clings to 50% Fibonacci above 21-day SMA

GBP/JPY registers few moves while trading around 143.65 during Friday’s Asian session. On Thursday, the pair registered another pullback from 38.2% Fi
Read more Previous

AUD/USD Price Analysis: Bullish channel in tact, (RBA on hold sentiment)

Following yesterday's jobs data and another improvement in the unemployment rate, the bulls are back in the picture, thrown a lifeline and some more t
Read more Next
Start livechat