"Bank of England Signals Rate Cut Amid Policy Split"

Bank of England Governor Andrew Bailey hinted that the market's expectations for future rate cuts may be correct, as the central bank voted to hold interest rates steady at 5.25% while investors anticipate four rate cuts by year-end. The Monetary Policy Committee's 6-3 split vote reflects differing opinions on inflation, which unexpectedly rose to 4% in December. Bailey did not commit to a specific timeline for rate cuts but indicated that the bank is "on a path" toward lowering rates, aligning with the market's sentiment.