Four factors dictating the paths of US and UK interest rates

clock

Rathbones' Julian Chillingworth analyses the key considerations for central bankers as they decide on the trajectory of future monetary policy.

Interest rates on both sides of the Atlantic have been at record lows for six and a half years, but after a great deal of speculation and opaque pronouncements from central bankers, a hike now feels very close indeed. Many investors expect the US Federal Reserve to raise its Fed Funds Rate band by 25 basis points at its September meeting, or failing that, in December. How are bond managers preparing for an interest rate rise? The Bank of England is likely to follow up that decision with an identical increase of its own soon after. After that, however, we believe the monetary ...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Economics

Trustpilot