BOE Sees Case for Another Rate Hike If Iran War Doesn't End

AI Summary

Bank of England Governor Andrew Bailey said the central bank could raise interest rates by another 25 basis points if the Iran conflict remains unresolved. His comments follow a rate increase and push back against the expectation that policy tightening will stop after two moves.

"I'm not going to sign up to the two-and-done point," Bank of England Governor Andrew Bailey says when asked if a second interest-rate increase is on the cards following Thursday's decision to hike. "Absent a resolution of the conflict in the Middle East, and I think I put this in my commentary in the minutes, I could see the case for a further 25 [basis points]," Bailey says at a news conference in London. (Source: Bloomberg)