Bond Capital’s Post

The Federal Reserve held interest rates steady, keeping the federal funds rate in a range between 5.25% - 5.5%. The US Prime Rate remains at 8.5%. The latest US CPI showed annual inflation increasing to 3.4% in December, from 3.1% the month before. The Prime Rate in Canada currently sits at 7.2%, with Canada’s latest CPI showing annual inflation increasing to 3.4% in December, from 3.1% the month before. #interestrate #interestrates #privatecredit #privatedebt #privatecrediter #directlending #directlender #businessloans #assetallocation #growthcapital #privateequity https://lnkd.in/gps43K2T

The Federal Reserve held interest rates steady, keeping the federal funds rate in a range between 5.25% - 5.5%. The US Prime Rate remains at 8.5%. The latest US CPI showed annual inflation decreasing to 3.0% in July, from 3.3% the month before. The Prime Rate in Canada currently sits at 6.7%, with Canada’s latest CPI showing annual inflation decreasing to 2.7% in July, from 2.9% the month before. #interestrate #interestrates #privatecredit #privatedebt #privatecrediter #directlending #directlender #businessloans #assetallocation #growthcapital #privateequity https://lnkd.in/dHNqkBvC

The Federal Reserve held interest rates steady, keeping the federal funds rate in a range between 5.25% - 5.5%. The US Prime Rate remains at 8.5%. The latest US CPI showed annual inflation increasing to 3.2% in February, from 3.1% the month before. The Prime Rate in Canada currently sits at 7.2%, with Canada’s latest CPI showing annual inflation decreasing to 2.8% in February, from 2.9% the month before. #interestrate #interestrates #privatecredit #privatedebt #privatecrediter #directlending #directlender #businessloans #assetallocation #growthcapital #privateequity https://lnkd.in/eBAZJJpW

The Federal Reserve held interest rates steady, keeping the federal funds rate in a range between 5.25% - 5.5%. The US Prime Rate remains at 8.5%. The latest US CPI showed annual inflation decreasing to 3.3% in May, from 3.4% the month before. The Prime Rate in Canada currently sits at 6.95%, with Canada’s latest CPI showing annual inflation decreasing to 2.7% in April, from 2.9% the month before. #interestrate #interestrates #privatecredit #privatedebt #privatecrediter #directlending #directlender #businessloans #assetallocation #growthcapital #privateequity https://lnkd.in/e9BKUEqK

The Federal Reserve held interest rates steady, keeping the federal funds rate in a range between 5.25% - 5.5%. They projected 3 possible rate cuts next year. The US Prime Rate remains at 8.5%. The latest US CPI showed annual inflation decreasing to 3.1% in November, from 3.2% the month before. The Prime Rate in Canada currently sits at 7.2%, with Canada’s latest CPI showing annual inflation decreasing to 3.1% in October, from 3.8% the month before. #interestrate #interestrates #privatecredit #privatedebt #privatecrediter #directlending #directlender #businessloans #assetallocation #growthcapital #privateequity https://lnkd.in/eH8uXHpj

BOE HOLD RATES AT 5.25% AS EXPECTED Andrew Bailey, Governor of the Bank of England said: "It's good news that inflation has returned to our 2% target. We need to be sure that inflation will stay low and that’s why we’ve decided to hold rates at 5.25% for now." The Bank of England's Monetary Policy Committee (MPC) sets monetary policy to meet the 2% inflation target, and in a way that helps to sustain growth and employment. At its meeting ending on 19 June 2024, the MPC voted by a majority of 7–2 to maintain Bank Rate at 5.25%. Twelve-month CPI inflation fell to 2.0% in May from 3.2% in March, close to the May Monetary Policy Report projection. Indicators of short-term inflation expectations have also continued to moderate, particularly for households. CPI inflation is expected to rise slightly in the second half of this year, as declines in energy prices last year fall out of the annual comparison. UK GDP appears to have grown more strongly than expected during the first half of this year. Business surveys, however, remain consistent with a slower pace of underlying growth, of around ¼% per quarter.

With the March inflation rate being reported higher than expected at 3.2%, our Managing Director Jon Scammell comments: "Inflation still remains fairly stubborn, with the markets now only pricing in two potential quarter-point rate cuts for the rest of 2024. This, in-turn, is feeding into swap rates, with several lenders continuing to increase their fixed rates." The hope that the base rate will start to fall at the start of summer has wavered slightly, but the Investors Chronicle optimistically reports that a chance still remains. https://lnkd.in/ejHQifWN.

𝗚𝗕𝗣/𝗨𝗦𝗗 𝗥𝗲𝗰𝗼𝘃𝗲𝗿𝘀 𝗔𝗳𝘁𝗲𝗿 𝗨𝗞 𝗜𝗻𝗳𝗹𝗮𝘁𝗶𝗼𝗻 𝗥𝗲𝗽𝗼𝗿𝘁 The GBP/USD saw a brief dip following today’s UK inflation data but quickly regained its footing. Although inflation rose slightly from 2% to 2.2% in July, it still came in below the expected 2.4%. The Bank of England’s key measure of domestic price pressures also eased, with services inflation dropping to 5.2%, the lowest since June 2022. Core inflation also fell to 3.3%, its lowest since September 2021. With this cooling trend, the chances of further rate cuts by the BoE before the year’s end have increased. Technically, the short-term uptrend in GBP/USD remains intact as long as the price stays above the August low of 1.2662, with the next key resistance at the July high of 1.3044. Subscribe now and stay informed with tradevance.net for more insights like this!

Fingers crossed for further interest rate cuts Traders are betting the Bank of England (BoE) will cut interest rates in September, despite a rise in UK inflation. The consumer prices index (CPI) edged up to 2.2% in July from 2% in June, though below the 2.3% analysts expected. Meanwhile, services CPI inflation pleasingly dropped for the sixth consecutive month to 5.2%, giving the BoE room to consider rate cuts. Money markets suggest a 45% chance of a rate cut to 4.75% next month. On a sunnier note, the UK economy grew by 0.6% in Q2, bolstered by Euro 2024 festivities (imagine if they won it!). This growth gives BoE further assurance to consider additional cuts, though some, like MPC's Catherine Mann, caution against premature celebrations - remember the Euros? Analysts are eagerly awaiting the next CPI and labour market data, which could sway the BoE’s September decision. For now, UK inflation rivals that of France and Germany, staying slightly below the Eurozone’s 2.6%. Taken from The Teapot Sign up for free below: https://lnkd.in/egY3-bf7

The GBP/USD briefly dipped following today’s UK inflation report but quickly recouped its losses. UK inflation ticked up from 2% to 2.2% in July but came in below economists' expectations of 2.4%. Services inflation, the Bank of England’s (BoE) key gauge of domestic price pressures, also decreased more than anticipated, from 5.7% in June to 5.2% in July, the lowest since June 2022. Additionally, annual core inflation fell to 3.3% in July, its lowest since September 2021, down from 3.5% in June. The BoE, which cut rates just 14 days ago, had previously signalled through comments and voting patterns that further cuts would depend on more evidence of cooling inflation. Given today’s data, the likelihood of two more rate cuts before the year’s end has increased. From a technical perspective, the short-term uptrend in GBP/USD remains intact as long as the price stays above the August low of 1.2662. The next major resistance level to watch is the July high of 1.3044.