Goldman Sachs: Bank of England expected to keep the Interest Rate unchanged with a vote of 8 to 1

Jinshi data, December 19th, Goldman Sachs stated that since the Monetary Policy Committee (MPC) meeting of the UK Central Bank in November last year, the service industry inflation data has been slightly stronger than the MPC’s forecast, while the latest wage rise data is significantly stronger than expected. However, the economic rise is lower than the MPC’s expectations, and survey data shows a significant deterioration in recruitment willingness. Given the mixed performance of the data, we continue to expect the MPC of the UK Central Bank to maintain the interest rate at 4.75% with a vote of 8 to 1 at Thursday’s meeting, and reiterate the bank’s view that it is appropriate to take gradual policy easing measures based on evolving evidence.