BOE Could Raise Interest Rates 50 Basis Points in September

The Bank of England could raise the bank rate by 50 basis points at its September meeting, depending on U.K. inflation and jobs reports due to be released next month, the strategy team at Saxo writes in a note. Strong U.K. wage growth and inflation data released on Tuesday and Wednesday “showed more tightening is needed from the BOE,” the note says. “The data cement a rate hike for September with the only question being if it will be 25bps or 50bps,” the note adds. Markets currently place a 91% chance of a 25 basis point rate increase by the Bank of England and a 9% chance of a 50 basis point increase, Refinitiv data…