Where will base rate go in May?

Hoenir

poolboy said:

My investment trust shares are a fair reflection of what the market thinks will happen to interest rates.  Cty yield 4.5% at current prices, if the yield falls that's the market pricing in future interest rate cut.  

For the yield to fall investors either need to buy the shares or the underlying investments cut their own dividends on the back of lower profitability. 

LHW99

Bostonerimus1 said:

mebu60 said:

Bostonerimus1 said:

Who can know that stuff?! Just concentrate on what you can control...me I'm decluttering to make a move from the US to the UK easier and looking at houses on rightmove.co.uk.

Any particular area of the UK? I would not recommend Boston! (other parts of Lincolnshire are available and some are quite lovely). 

Ha! yes I've visited Boston, great church and a nice looking town, but it's not on my list. I have family in Lancashire and the West Highlands so I'm looking at Scottish Borders.

Edinburgh is expensive these days, I think Dalkeith used to be nice. Watch out for the Border Reivers though

UncleK

meggiemike said:

DRS1 said:

What was that song?  Down Down Deeper and Down

Yes, by the Status Quo ! 😀

To be pedantic, "Down Down" hit the charts in 1975, when they were Status Quo, having shrugged off the definite article in 1969.
I'll get my coat.

MK62

allegro120 said:

With Inflation looking almost certain to reach 4% in the coming months, there is a worry that the 2% target is looking less likely to transpire anytime soon. There's a good chance that they will hold the rate on 8th May.

Agreed......especially since CPI is the BoE's mandate......economic growth is the government's bag.......if higher than target inflation starts to look sticky, I don't think a rate rise can be ruled out either......

aroominyork

Bostonerimus1 said:

Who can know that stuff?! Just concentrate on what you can control...me I'm decluttering to make a move from the US to the UK easier and looking at houses on rightmove.co.uk.

Will it affect the geography of your equity and fixed interest investments, or business as usual ? 

SnowMan

https://www.morningstar.co.uk/uk/news/262353/bank-of-england-holds-interest-rates-againndash;at-45.aspx

Interest rate swaps data shows a 77.0% chance of another rate cut at the Bank’s May meeting, and a further 55.6% chance of a further cut in August.

Bostonerimus1

aroominyork said:

Bostonerimus1 said:

Who can know that stuff?! Just concentrate on what you can control...me I'm decluttering to make a move from the US to the UK easier and looking at houses on rightmove.co.uk.

Will it affect the geography of your equity and fixed interest investments, or business as usual ? 

I will go with more cash that I will hold in the UK. I will annuitize a small account and take US Social Security before I leave. My equity allocation will continue to reflect world wide capitalization.