Analysis: First time without dissenting votes in four and a half years, the Bank of England opens the "possible rate hike" channel

Deep Tide TechFlow News, March 19 — According to Jin10 Data, the Bank of England unanimously decided to keep interest rates unchanged on Thursday, marking the first time in four and a half years that the bank has made a decision without any dissenting votes. The atmosphere at the meeting has shifted significantly. The Middle East conflict has disrupted production in the world’s most important oil-producing region and hindered tanker shipments through the crucial Strait of Hormuz. Rate setters have opened the door to possible rate hikes. Governor Bailey warned that policies must “address the risks that could have a more lasting impact on UK CPI.” In another statement, he added, “Regardless of the outcome, it is our duty to ensure inflation returns to the 2% target.” The Bank of England removed the phrase “the benchmark rate may be further lowered” from its February statement. Dhingra, the most dovish member of the Monetary Policy Committee, said that if a long-term energy supply crisis occurs, interest rates may need to be raised. Several rate setters indicated that if the conflict had not erupted, they would have supported measures to lower borrowing costs.