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UK Rates May Rise in Feb
Standard Chartered expects the Bank of England to raise interest rates by 25 basis points in February, following a similar increase that lifted the rate to 4% from 3.75% in an 8–1 vote. The bank believes that an escalation of the conflict in the Middle East and higher energy prices could prompt an earlier increase in December. It expects rate cuts to resume in the fourth quarter of next year, followed by three 25-basis-point cuts over the first three quarters of 2028.
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