Sneaky2021
Member
LONDON, United Kingdom — The Bank of England on Thursday cut its main interest rate for the first time since the Covid pandemic broke out in 2020, as British inflation has retreated in recent months. In a tight 5-4 vote, BoE policymakers agreed to reduce borrowing costs by a quarter-point to 5.0 percent, the central bank announced following a regular meeting. Governor Andrew Bailey joined four other policymakers in bringing the rate down from a 16-year high, which will ease pressure on borrowers while denting interest earned by savers. Retail banks tend to mirror the direction of BoE policy when setting their own interest rates. "Inflationary pressures have eased enough that we've been able to cut interest rates," Bailey said in a short statement. "But we need to make sure inflation stays low, and be careful not to cut interest rates too quickly or by too much." Britain's annual inflation rate has returned to the BoE target of two percent. The US Federal Reserve on Wednesday left its key lending rate unchanged, but noted "some further progress" had been made in bringing inflation down Other major central banks, including the European Central Bank, have started to trim rates as gains to prices of global goods and services have largely slowed in recent months.
It’ll be interesting to see how this move impacts the economy and our wallets. Anyone else keeping an eye on this? 
