Bank of England raises Bank Rate to 4 percent. The Monetary Policy Committee voted 8 to 1 to raise Bank Rate by a quarter point to 4.0 percent, its first increase since August 2023, with Catherine L Mann preferring a half point rise to 4.25 percent; economists polled by Reuters had expected a 7 to 2 vote for the quarter point move. The Bank said UK inflation, 3.5 percent in September, is now expected to rise to around 5 percent by the middle of next year. See the separate story on this page for the full decision.
Banxico decides later today. Mexico’s central bank is expected to hold its overnight rate at 6.50 percent, the median forecast in Bloomberg’s analyst survey, though the September minutes showed three board members open to a cut. The announcement is due later today Mexico City time and had not been published at write time.
Treasury buyback runs this afternoon. A liquidity support buyback in the 1 month to 2 year bucket, maximum $4 billion, runs at 1:40 PM Eastern today, settling November 6, with 65 issues eligible. Yesterday’s 10 to 20 year operation took the full $6 billion maximum against $39.636 billion offered.
Japan 10 year auction clears at 2.80 percent. The Ministry of Finance sold 10 year JGBs (issue 384, coupon 3.1 percent) today at a lowest accepted yield of 2.800 percent and an average yield of 2.768 percent, with 6,335.5 billion yen of competitive bids for 1,971.9 billion yen accepted, a cover of about 3.2 times.
Netherlands services exports support 2.6 million jobs. Statistics Netherlands reports that services exports are more profitable than goods exports and support 2.6 million full time equivalent jobs, underlining how far the Dutch external surplus now rests on services rather than merchandise trade.
Australia household spending was covered on November 3. The Australian Bureau of Statistics figure flagged in this run’s gap check, household spending up 0.6 percent in September, is the same release published here on November 3 and is not repeated.