UK Central Bank May Cut Interest Rates Due To Slowing Inflation And Labor Market Data

According to Odaily, economist Gabriella Dickens from AXA Investment Management has suggested in a report that the Bank of England might cut interest rates in August and November due to the continued slowdown in UK inflation and labor market data. AXA Investment Management predicts that the overall inflation rate in the UK may remain around 2% in June, due to the expected decrease in the UK's energy price cap being less than the decrease a year ago. The inflation rate may then slightly increase in July.

In the second half of this year, the overall inflation rate may not exceed around 2.5% due to the continued negative inflation rate of the core commodity consumer price index and a further decrease in the food consumer price index inflation rate.