UK lifts rate cut hopes in 2024 on softer March inflation, US steps behind after Powell signals delay

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Key Points

United Kingdom (UK) has paved way for the Bank of England (BoE) to start interest rate cuts in 2024 after inflation dropped to its lowest level in two and a half years in March amid further easing in food prices..

UK's March inflation print underscored market uncertainty about when BoE policymakers led by Governor Andrew Bailey will be able to ease off on the highest interest rates in 16 years..

While UK has lifted rate cut hopes. a surprise jump in price pressures in the US last week has prompted Federal Reserve Chair Jerome Powell to warn that interest rates in the world's largest economy may stay higher for some time...

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