By Paul Hannon
LONDON--The Bank of England left its key interest rate unchanged but signaled it is likely to lower borrowing costs this year for the first time since 2020, though perhaps not as soon as investors expect.
The U.K. central bank's move followed a similar pivot by the Federal Reserve, which Wednesday signaled it was thinking about when to lower interest rates but hinted a cut wasn't imminent when it held rates steady. Last week, the European Central Bank left its key rate at a record high but kept open the door to cuts as soon as the spring.
On Thursday, the BOE left its key interest rate at 5.25% and removed a warning that it might have to raise its key rate again, the clearest signal yet that it is preparing for cuts. Instead, it said it would keep the period over which the key rate stays at 5.25% "under review."
Write to Paul Hannon at paul.hannon@wsj.com
(END) Dow Jones Newswires
02-01-24 0717ET
