share prices

Lezanne26

Does the BoE rate affect share prices?
I am looking to sell a small amount of shares this week and wonder whether I should hang on until Friday in the hope that the price rises. Any advice on the best time to sell would be most welcome.

savedup

Hi

The stock market doesn't like surprises, so if the bank of England don't make the decision that the city expects, then the stock market will react.

Higher rates are generally unwelcome as it becomes more expensive for investors and businesses to borrow money to invest in the future etc.

The best time to sell any share is very difficult for anyone else to say. It has to be your decision alone really - sorry can't be more helpful on this.

Sibacky_2

As savedup says, the market has already priced in a rise/cut/stay same so there isnt usually a short term reaction unless the BoE throw a curve ball as they did the other month by raising when all expected them to stay the same. Market dropped but soon came back up.
My share dealing is pretty poor so not keeping abreast at the moment but think the consensus is to stay the same with a slight edge to another rise?
Even if there is a reaction, it usually corrects itself within a day or two.
The best time to sell is when they are at the highest they are going to go. That might sound flippant but what I mean is, no-one knows when that will be so sell when you have a profit you are happy with (or when you dont want to lose any more in my case).

ManAtHome

For the time between now and Friday, you should just toss a coin... For a small amount of shares, would guess that only direct news about the company or companies would make a substantial difference.

Don't think there will be much of a reaction to the BoE, much more likely to move with either the US or China market (dunno why China - it's a relatively small market, but there you go...). We've had a couple of panic drops when the Chinese have announced anti-speculation controls, and 90% of the time if DOW goes up, FTSE goes up (and vice versa).