US rate hike concerns grow; UK central bank signals possible December increase

A Federal Reserve governor hinted at a potential 50-basis-point hike in December, while the Bank of England signaled that rate increases remain an option.

The global economy is bracing for upcoming central bank decisions in the West. Christopher Waller, a governor at the Federal Reserve (Fed), warned that if economic data requires it, the central bank may implement a 50-basis-point interest rate hike as early as December to protect its credibility, according to reports by CNBC and Portfolio. Investors in the US and Hungary are closely monitoring the developments and upcoming inflation data.

Simultaneously, similar signals are emerging from the UK. Lombardelli, a senior official at the Bank of England (BOE), stated in an interview with the Guardian that a December rate hike cannot be ruled out. Further details have not yet been released.