Further Interest Rate Rises - Wait for better fixed rate offer?

Johnjdc

I think "SONIA swaps plus a little bit" are probably the best guide at any given time to where the highest fixed rates will be in the coming days.

SJMALBA

Swipe said:

SPWaller said:

It's been predicted in some places in the next BoE interest rate announcement on Dec 15th the rate could go up to 4%.

A 1% rise in December? That's not happening. My money is on a 0.5% rise at most.

TBH, I wouldn't be surprised if there was no increase in December...

phillw

SJMALBA said:
I wouldn't be surprised if there was no increase in December...

0% or 0.25% would not surprise me. Anything higher or a drop would be a surprise.

cricidmuslibale

phillw said:

SJMALBA said:
I wouldn't be surprised if there was no increase in December...

0% or 0.25% would not surprise me. Anything higher or a drop would be a surprise.

I think there will be a small increase just to reinforce the impact of the very large (in historical terms) increase of 0.75% last week. Depending on the data the MPC sees between now and December 15, the majority vote will be for either a 0.25% increase or a 0.5% increase, I suspect. It is highly unlikely that all nine members of the B of E MPC will vote for the same percentage increase though, and one member in particular is unlikely to vote for any increase at all next time!

isasmurf

For tackling inflation the BoE Chief Economist has been quoted as saying today
“I think there is more to do. We’ve done some, that’s what we did last week. And there’s still more to do.”

happybagger

There was a LOT more to do when they were asleep at the wheel keeping rates at 0.1% when the inflationary pressures were there for all to see

biscan25

isasmurf said:

For tackling inflation the BoE Chief Economist has been quoted as saying today
“I think there is more to do. We’ve done some, that’s what we did last week. And there’s still more to do.”

What they did last week is completely ineffective in controlling cost push inflation though. It will only reduce demand inflation, which is obviously already deeply negative. I just can't see another substantial rise.