Image result for bank of england

Analysts at Nomura offer a brief preview on BOE’s â€˜Super Thursday’, with no changes expected to the BOE’s monetary policy program. However, at some point in the near future, we expect to see a language-change that will ultimately signal a policy move at the May meeting.

A significant shift in signaling - like we saw in September last year - seems unlikely at this week's meeting, but the Governor may leave all options on the table, so as not to rule out a move as soon as May.

It will be interesting to see how the combination of rising oilprices and sterling's rally affects the BoE's end horizon forecasts for inflation (which currently stand at 2.39% and 2.15% based on constant and market interest rates).”

Key Quotes:

“With only three months having passed since the BoE's decision to raise rates for the first time since the financial crisis, we do not expect any changes in policy from the MPC at this month's meeting.

Source: fxstreet