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Is a UK interest rate rise certain? Good question
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It is a sign of the confusion surrounding the Bank of England’s interest rate decision on Thursday that investors are unusually divided over which direction the central bank will go.
Financial markets show that more than six in 10 investors are anticipating a hike in the cost of borrowing while a majority of City economists take the opposite view, telling a Reuters survey they expect rates will remain at historic lows, at least for the time being.
In a big week for central banks, America’s Federal Reserve will today make its much more clearly signposted announcement on tapering the scale of its monthly stimulus package, though interest rates are expected to remain unchanged.
Which way the BoE will swing, even at the 11th hour, is anyone’s
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