This follows from the earlier calls by Goldman Sachs and Citi. BofA had before this pencil in three more rate cuts by the BOE for August, September, and November. So now, they are the next one to pull their September call and see just two more rate cuts by the central bank.
But as opposed to Goldman and Citi, BofA expects the BOE to then only cut next in February next year i.e. no sequential rate cuts. Their forecast sees the terminal rate at 3.50% instead.
This article was written by Justin Low at www.forexlive.com.
