Inflation fears turn up heat ahead of Bank rate decision
September 4, 2021
Wednesday 9 February 2011 7:38 pm whatsapp Share Show Comments ▼ by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesZen HeraldNASA’s Voyager 2 Has Entered Deep Space – And It Brought Scientists To Their KneesZen HeraldBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBeAlphaCute30 Rules That All “Hells Angels” Have To FollowAlphaCuteDefinitionDesi Arnaz Kept This Hidden Throughout The Filming of ‘I Love Lucy’DefinitionTaonga: The Island FarmThe Most Relaxing Farm Game of 2021. No InstallTaonga: The Island Farm Inflation fears turn up heat ahead of Bank rate decision whatsapp KCS-content Tags: NULL More From Our Partners Brave 7-Year-old Boy Swims an Hour to Rescue His Dad and Little Sistergoodnewsnetwork.orgUK teen died on school trip after teachers allegedly refused her pleasnypost.comPolice Capture Elusive Tiger Poacher After 20 Years of Pursuing the Huntergoodnewsnetwork.orgA ProPublica investigation has caused outrage in the U.S. this weekvaluewalk.comAstounding Fossil Discovery in California After Man Looks Closelygoodnewsnetwork.orgRussell Wilson, AOC among many voicing support for Naomi Osakacbsnews.comNative American Tribe Gets Back Sacred Island Taken 160 Years Agogoodnewsnetwork.org980-foot skyscraper sways in China, prompting panic and evacuationsnypost.comMark Eaton, former NBA All-Star, dead at 64nypost.com RISING inflation expectations are adding pressure on the Bank of England to lift interest rates, ahead of today’s latest decision by the monetary policy committee (MPC).“Inflation expectations have soared since the last quarter,” said researcher Monica Insoll yesterday, referring to a survey of investors conducted for the ratings agency Fitch.Over half the respondents – 55 per cent – now believe that there is a high risk of inflation over the next 12 months, she said — up from 22 per cent in the final months of 2010.“Investors are increasingly sceptical that higher inflation simply reflects the one-off effects of higher food and fuel prices,” said David Riley of Fitch, which polled the views of managers of an estimated $3.7 trillion (£2.3 trillion) of assets.“Central banks may come under increasing market pressure to ‘normalise’ monetary policy sooner rather than later,” Riley added. Interest rates will slowly rise starting from the second quarter of this year, the Confederation of British Industry (CBI) predicted yesterday.The CBI expect rates to average 0.88 per cent this year, before reaching 2.06 per cent in 2012.Meanwhile, two former Bank of England rate setters — Deanne Julius and Tim Besley — said the MPC should send a message through their voting balance that they are willing and ready to tackle inflation.February’s inflation rate “could be the shocker” that convinces the Bank to move rates, Julius told the Fathom monetary policy forum yesterday.