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Investment Event

BoE reverts to 25bp rate hike
04 August 2023
    Download the full reportPDF, 636.23KB

    Key takeaways

    • The BoE hiked interest rates by 25bp to 5.25 per cent
    • Ongoing concerns about persistent inflation pressures prompted the BoE’s latest move
    • We continue to advocate a cautious asset allocation, which includes an underweight view on UK equities
    • Sterling is likely to trend higher as the dollar rally unwinds, but could face some resistance from risk-off sentiment
    • We are neutral on short-dated gilts but see value in the 10yr sector