BOE Says Investors Underestimating Chance of Rate Rise

Bank of England policy makers said an interest-rate increase this year may be more likely than investors anticipate as the debate on the timing of the first policy tightening in seven years heats up.

With the economy strengthening, the nine-member Monetary Policy Committee said in the minutes of its June 4-5 meeting that the “relatively low probability attached to a bank rate increase this year implied by some financial market prices was somewhat surprising.”