United Kingdom GBP

United Kingdom BoE Monetary Policy Report Hearings

Impact:
High
Source: Bank of England

Latest Release:

Date:
Actual:
 
Forecast:
Previous/Revision:  
Period:
What Does It Measure?
The Bank of England (BoE) Monetary Policy Report Hearings measure the central bank's assessment and outlook regarding the UK economy, focusing on key areas such as inflation, economic growth, and employment trends. This indicator assesses the bank's policy stance based on various economic data points and projections, making it crucial for understanding future monetary policy direction.
Frequency
These hearings are typically held quarterly, coinciding with the release of the Monetary Policy Report, and generally occur in the second week after the report's publication.
Why Do Traders Care?
Traders pay close attention to the BoE Monetary Policy Report Hearings as they provide insights into the central bank's view of economic conditions and future policy actions, impacting the British pound (GBP) and UK equities. A more hawkish stance could lead to a stronger GBP and boost stock prices, while a dovish outlook may weaken the currency and exert downward pressure on equity markets.
What Is It Derived From?
The hearings are derived from the BoE's comprehensive economic analysis, including national economic indicators, business surveys, and forecasts prepared by economists within the bank. This process involves various stakeholders, including policymakers, economists, and market practitioners to ensure a balanced perspective on the economic outlook.
Description
The BoE Monetary Policy Report Hearings involve discussions led by the Governor and other Monetary Policy Committee members, focusing on recent economic developments, inflation targets, and overall economic strategy. While these hearings provide valuable insights into the bank's future policy intentions, they precede the final report and may be subject to revisions.
Additional Notes
The hearings serve as a leading economic measure, indicating the monetary policy direction in relation to inflation and growth trends within the UK economy. Analysts often compare the insights gained from the hearings to other economic indicators, such as GDP growth and employment statistics, to gauge the overall health of the economy and anticipate the bank’s future policy maneuvers.
Bullish or Bearish for Currency and Stocks
The outcomes of the hearings can create a bullish sentiment for the GBP and UK stocks if the central bank expresses confidence in economic growth and inflation control. Conversely, indications of economic concerns or potential easing policies can lead to a bearish outlook for both the currency and stock markets.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
Nov 21, 2023
 
  
Feb 09, 2023
 
  
Nov 16, 2022
 
  
May 16, 2022
 
  
Feb 24, 2021