Money Minute Friday 24 January: the key to UK interest-rate cuts

Today's Money Minute looks ahead to the release of data that could hold the key to UK interest rates cuts. 

Economic data from the UK this morning could hold the key as to whether the Bank of England decides to cut interest rates next week or not. This morning we get snapshot surveys of sentiment across the manufacturing and services sectors in January.  

Clearly, that should take account of any post-election bounce in confidence or activity. If no bounce is in evidence, researchers at Capital Economics reckon that the UK’s central bank is likely to cut rates when it next meets. 

That said, December’s survey figures did show some evidence that activity was already picking up. So it could be a close-run thing. 

We’ll get similar snapshots over in the US. Those may be pored over for any impact that the recent ‘phase one’ trade deal with China has had on sentiment.

In the eurozone, it’s a similar story. Investors will be watching to see if signs of sentiment perking up in December have followed through into this month.

Recommended

Money Minute Thursday 9 January: EU withdrawal, plus eurozone and US jobs figures
Economy

Money Minute Thursday 9 January: EU withdrawal, plus eurozone and US jobs figures

Today's Money Minute looks ahead to the vote on the government's EU withdrawal bill and the latest employment figures for the eurozone and the US.
9 Jan 2020
Money Minute Wednesday 8 January: UK house prices and Chinese inflation
Economy

Money Minute Wednesday 8 January: UK house prices and Chinese inflation

In today's Money Minute we look ahead to the latest report on house prices from Halifax; plus inflation in China and European business confidence.
8 Jan 2020
Money Minute Tuesday 7 January: will US services fare better than manufacturing?
Economy

Money Minute Tuesday 7 January: will US services fare better than manufacturing?

Today's Money Minute looks ahead to the latest figures from America's services sector, plus the health of the eurozone's retail sector.
7 Jan 2020
Money Minute Monday 6 January: the week ahead
Economy

Money Minute Monday 6 January: the week ahead

In today's Money Minute, we take a look ahead to this week’s biggest financial stories, including UK house prices and American wages.
6 Jan 2020

Most Popular

How will we repay our vast debt pile? Do we even need to?
Sponsored

How will we repay our vast debt pile? Do we even need to?

In his recent articles looking at different aspects of the fixed-income investing world, David Stevenson looked at inflation. Today he looks at a clos…
19 Oct 2020
Buying bitcoin could be the best way to play the remote working boom
Bitcoin

Buying bitcoin could be the best way to play the remote working boom

The coronavirus pandemic has accelerated the move to home working, flexible employment practices and the rise of the “digital nomad”. One of the best …
21 Oct 2020
Negative interest rates and the end of free bank accounts
Bank accounts

Negative interest rates and the end of free bank accounts

Negative interest rates are likely to mean the introduction of fees for current accounts and other banking products. But that might make the UK bankin…
19 Oct 2020