UK rate rise unlikely but anticipation is priced in

Consensus suggests the UK will not see an interest rate rise before the end of the year, but the mar...

Consensus suggests the UK will not see an interest rate rise before the end of the year, but the market is already pricing in a tightening of monetary policy for the first quarter 2004. Confidence in the emergent trend of strengthening growth is expected to underpin the Monetary Policy Committee's (MPC) decision to begin lifting rates after more than two years of following a stimulative trimming agenda. Steven Andrew, chief economist at Isis Asset Management, says Bank of England governor Mervyn King, recently emphasised his comfort with the current economic picture. King particularly p...