The Bank of England today hiked interest rates to 4.25% as it continues efforts to bring inflation back under control.
The expected quarter point increase matches last night’s move by the Federal Reserve after it lifted US rates to 4.75%-5%.
Investec economist Elllie Henderson noted that the rate hikes may not be finished.
“The door was also left firmly open to further hikes, with the guidance in the minutes remaining the same as that in February,” she said.
Alongside the rise, the Bank also said it not longer expects a recession this year.
European markets are under pressure after the central bank dashed Wall Street hopes for a rates cut later this year and Treasury Secretary Janet Yellen warned there was no blanket insurance for US deposits.
