The Guardian15 Jun 2026Macro
Automatically composed with AI from the cited sources
The US Federal Reserve is expected to hold its benchmark rate at 3.5%–3.75% on Thursday, in the first decision under new chair Kevin Warsh, while the Bank of England is forecast to keep its rate at 3.75% despite UK inflation of 2.8%. US inflation reached a three-year high of 4.2% in May, but the Iran peace deal and Strait of Hormuz reopening are seen easing price pressures, prompting a wait-and-see stance at both central banks. Last week the ECB raised rates to 2.25% after eurozone inflation rose to 3.2% in May.