Fed and Bank of England Face Rate Decisions as Inflation Pressures Build

The US Federal Reserve and the Bank of England are due to make interest-rate decisions next week as oil prices, Middle East tensions and inflation concerns keep pressure on central banks, according to BBC. The Fed has held rates at 3.5% to 3.75% for five meetings, while economists at Deutsche Bank say a hike is the most likely outcome; the Bank of England is widely expected to leave rates at 3.75%. BBC reported that Brent crude is around $105 a barrel, UK gas prices have risen above 200p per therm for the first time since the end of 2022, and UK inflation stands at 2.9%. The European Central Bank recently raised rates to 2.5% after warning inflation was set to remain well above its 2% target for some time.