Published by Global Banking & Finance Review®
Posted on December 19, 2024
1 min readLast updated: January 27, 2026
Add as preferred source on Google
The Bank of England held rates steady, causing the pound to dip and bond yields to adjust. This follows the U.S. Fed's rate cut announcement.
LONDON (Reuters) - The pound slipped on Thursday after the Bank of England held interest rates but three policymakers voted to lower borrowing costs, denting a rebound against the dollar as markets swung in the wake of the Federal Reserve's decision on Wednesday.
Britain's 10-year government bond yield fell and was last up 1 basis point at 4.569%, from 4.598% before the decision. The BOE-e27aa96a-1849-4bf0-93aa-486e3a9568bc>BoE held rates at 4.75%.
The U.S. Fed cut interest rates on Wednesday but policymakers said they now envisage fewer rate cuts next year, sending the dollar surging and the pound down more than 1%.
British bond yields rose on Thursday before the BOE-e27aa96a-1849-4bf0-93aa-486e3a9568bc>BoE decision, reflecting a jump in U.S. government yields overnight. Yields move inversely to prices.
The UK's FTSE 100 was last down 1.1%, having traded around 1.4% lower before the BOE-e27aa96a-1849-4bf0-93aa-486e3a9568bc>BoE's announcement, after a sharp sell-off in U.S. stocks on Wednesday.
(Reporting by Harry Robertson)
The article discusses the Bank of England's decision to hold interest rates and its impact on the pound and bond yields.
The pound slipped against the dollar following the BoE's decision to hold interest rates.
UK 10-year government bond yields fell slightly after the BoE's decision.
Explore more articles in the Finance category
