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Barclays: UK inflation data has increased the possibility of further interest rate cuts by the Central Bank of England this year

On August 14th, the latest UK inflation data shows that UK core inflation and service sector inflation are gradually slowing, increasing the possibility of the UK Central Bank cutting interest rates twice in 2024. Nevertheless, Barclays stated that these data are unlikely to lead to an interest rate cut by the UK Central Bank in September. The analysts said, “We still believe that the threshold for a rate cut in September is high, and do not think that Wednesday’s weak inflation is enough to prompt a rate cut.”

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