◆ Daily Global-Macro Brief LIVE
TODAY IN 30 SECONDS
  1. Bank of England holds rate at 3.75% as Middle East energy shock raises inflation risks
  2. Bank of England governor writes to UK chancellor on CPI deviation in April 2026

Central Banks 2

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  • Bank Rate maintained at 3.75% with 8-1 MPC vote; one member favored 4% hike
  • UK CPI inflation rose to 3.3% in March, projected to peak higher in Q3 2026 due to energy shock
  • MPC warns of second-round inflation risks from wage/price spirals but sees labor market slack as mitigating factor
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  • UK CPI deviated from 2% target by more than 1 percentage point in April 2026, triggering mandatory letter from BoE governor to chancellor
  • Governor must explain inflation deviation and outline measures to restore price stability
  • BoE’s remit requires open communication on inflation deviations to maintain transparency