Central Banks

Whipsawed UK Traders Get No Rest With BOE Rates Anyone’s Guess

  • UK rates volatility on the rise while easing in US and Europe
  • BOE Governor Bailey has delivered market surprises in the past

A construction worker near the Bank of England in the City of London.

Photographer: Hollie Adams/Bloomberg
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Volatility is rising in UK bond markets ahead of a knife-edge interest-rate decision from the Bank of England.

While money market pricing and economist surveys tilt toward a quarter-point hike on Thursday, investors are bracing for a surprise, with Goldman Sachs Group Inc, HSBC Holdings Plc, Barclays Plc and UBS Group AG envisaging 50 basis points of tightening.