Majority of investors predict UK rate rise despite falling confidence in economy

HL investor confidence indexes

The Hargreaves Lansdown Investor Confidence index fell 10 points from 78 to 68 between June and July continuing its downward slide from a six-month peak of 80 in May.

The average reading of the index, which measures the confidence of retail investors in the UK market over six-month, one-year and three-year periods, was 74 over the last 12 months while the long-term average is 101. Confidence in the UK economy lags even further behind confidence in the stock market, with the HL UK economic confidence index (a newer measure) falling from 61 to 52 in July. The majority of investors now believe a UK rate rise will be seen in the next six months, up to 57% from 34% last month. Investor sentiment towards UK remains subdued Sentiment towards all geo...