The Fed and the BoE

Central Banks

Everyone (well, someone) keeps asking me “Why is the Bank of England raising rates so much when everyone is forecasting that we’re about to go into a recession?” To be honest

170 years of Bank of England policy rates:

<blockquote class="twitter-tweet"><p lang="en" dir="ltr">.<a href="https://twitter.com/bankofengland?ref_src=twsrc%5Etfw">@bankofengland</a>’s Monetary Policy Committee raises rates for a sixth successive meeting to 1.75% today - the biggest rate rise since 1995. All eyes on changes to the inflation outlook as the cost of living crunch is really starting to take hold. A short thread to follow… <a href="https://t.co/gw9ejpQMHD">pic.twitter.com/gw9ejpQMHD</a></p>&mdash; JamesSmithRF (@JamesSmithRF) <a href="https://twitter.com/JamesSmithRF/status/1555147821686349825?ref_src=twsrc%5Etfw">August 4, 2022</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>