18 Jul 2014
Next week's UK data could bring forward BoE rate hike - ING
FXStreet (Łódź) - The ING team of analysts suggest that next week's UK economic data flow could increase the chances of an interest rate rise this year.
Key quotes
"2Q GDP will be the main focus and given the strength in business surveys we favour a slight acceleration in growth to 0.9% QoQ from the 0.8% rate recorded in 1Q14."
"Retail sales may be a little softer, led by weakness in food sales, but in general the underlying story remains good."
"Meanwhile, the minutes to the June Bank of England MPC meeting will indicate whether there is growing dissent regarding the need for policy tightening."
"We suspect there will be, which would offer support to our November rate hike call."
Key quotes
"2Q GDP will be the main focus and given the strength in business surveys we favour a slight acceleration in growth to 0.9% QoQ from the 0.8% rate recorded in 1Q14."
"Retail sales may be a little softer, led by weakness in food sales, but in general the underlying story remains good."
"Meanwhile, the minutes to the June Bank of England MPC meeting will indicate whether there is growing dissent regarding the need for policy tightening."
"We suspect there will be, which would offer support to our November rate hike call."