LONDON (Reuters) -Investor expectations for Bank of England quantitative tightening in the 12 months from October edged lower to a median 72 billion pounds ($97 billion), down from 75 billion pounds in a survey conducted by the central bank in May.
The BoE’s quarterly Market Participants Survey also showed that a much smaller minority of investors expected the BoE to keep up the current 100 billion pounds annual pace of QT into the next year.
The top quarter of expectations for QT in August had fallen to 75 billion pounds from 100 billion pounds in May.
Median expectations for rate cuts were little changed from three months ago. Investors still see the Bank of England steadily cutting Bank Rate to a low of 3.25% by the time of its April 30 meeting next year, down from 4% after Thursday’s rate cut.
($1 = 0.7440 pounds)
(Reporting by David Milliken; editing by William James)
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