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James Smith, industry influencer, reports that the Bank of England has decided to keep its policy rate at 3.75 percent. The move comes as uncertainty from the conflict in the Middle East weighs on economic prospects.
Smith highlights that the central bank is signaling patience on any future rate increases but suggests the larger concern is the ongoing assessment of the war's impact.
Smith previously reported that March inflation rose to 3.3 percent, up from 3.0 percent the prior month, following the effect of the Middle East war. He cited petrol prices as a major contributor in his analysis of the CPI data. The inflation uptick added to concerns over the bank’s current policy stance.