Market News
Pound, UK stocks get a lift from BoE 'sugar rush' - REUTERS
By Yoruk Bahceli and Amanda Cooper
- BoE's second rate cut since 2020
- Sterling rallies sharply; 2024's best major currency performer
- BoE's Bailey now sees inflation returning to target mid-2027
- Sterling may lose sheen if markets start to expect faster rate fall
LONDON, Nov 7 (Reuters) - Sterling rallied sharply on Thursday, solidifying its position as the best performing major currency of 2024, while UK-focussed stocks rose after the Bank of England cut rates but indicated future cuts may be more gradual than many had thought.
The BoE, which delivered its second rate cut since 2020, said that after Labour Party finance minister Rachel Reeves' high-tax, high-spend budget last week, it expected higher inflation and growth.
