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FTSE 100 closes lower and US rebounds following Fed rate cut scare and BoE hold

^{Published on 2024-12-19 11:41:16 - Yahoo Finance}
 

• Overnight, ten Federal Reserve officials estimated two interest rate cuts next year, fewer than four seen in September

The article from Yahoo Finance UK discusses the anticipation surrounding the Bank of England's interest rate decision, expected to be announced later in the day. The FTSE 100 index has shown a slight increase, reflecting cautious optimism among investors. Key points include the potential for the Bank to raise rates to combat persistent inflation, which remains above the target despite recent declines. Analysts are divided, with some expecting a 25 basis points hike to 5.5%, while others speculate a pause to assess the economic impact of previous rate increases. The article also touches on the broader economic context, mentioning the UK's economic growth, the impact of higher borrowing costs on consumers and businesses, and the ongoing debate about the timing and extent of monetary tightening. Additionally, there are mentions of other financial news, including corporate earnings, stock movements, and global market trends influencing the UK market.

Read the Full Yahoo Finance Article at:
[ https://uk.finance.yahoo.com/news/ftse-100-live-bank-of-england-interest-rates-084133476.html ]

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