Thursday, May 03, 2007
Markets pricing in rates at 5.75% by summer - cml
Firstrung: Interest rates rising to 5.75% in summer cannot be ruled out - CML market commentary
The jump in inflation to 3.1% in March caught the markets by surprise and led them to reappraise the outlook for interest rates. A 0.25% rise in official Bank rate to 5.5% at next week's MPC meeting is considered a virtual certainty. And the markets are pricing in a further rise to 5.75% during the summer. A number of lower-priced fixed rate mortgage deals have been withdrawn as market rates along the yield curve have risen.
Posted by converted lurker @ 12:09 PM (152 views) Add Comment
1 Comment
- If you do not have an admin password leave the password field blank.
- If you would like to request a password allowing you to add comments and blog news articles without needing each one approved manually, send an e-mail to the webmaster.
- Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
- Please note that any viewpoints published here as comments are user's views and not the views of HousePriceCrash.co.uk.
- Please adhere to the Guidelines
1. lvmreader said...
CML: In other news, the Sun rose in the East and set in the West.
Huh? Ya think? We need to cut though the bovine scatology and face the reality of 8% base rates, which mean 9.5%+ mortgage rates.