Traders See One-in-Two Chance of BOE Raising Rates to 6%

Traders see a one-in-two chance that the Bank of England will raise interest rates to 6%, after strong jobs data earlier Tuesday implied further tightening will be needed to cool inflation.

(Bloomberg) — Traders see a one-in-two chance that the Bank of England will raise interest rates to 6%, after strong jobs data earlier Tuesday implied further tightening will be needed to cool inflation.

Swaps tied to central bank dates point to another 138 basis points of tightening by February. The base rate is currently 4.50%.

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