Bank of England Poised to Cut Rates Amid Slowing UK Economy

The Bank of England is expected to cut its benchmark interest rate by 25 basis points to 4% on Thursday (August 7), as the UK grapples with a cooling economy triggered by tax hikes and weakening household consumption. Unlike the U.S. Federal Reserve’s cautious approach to holding rates steady this week, the BoE appears more growth-focused following two consecutive quarters of GDP contraction and rising layoffs in the spring. Many British companies have slowed hiring in response to the Labour government’s fiscal measures, which include a £26 billion payroll tax hike and a substantial increase in the minimum wage. “We expect the central bank to remain cautious in signaling further rate cuts, given inflation remains elevated,” said Dan Hanson, Chief UK Economist at Bloomberg Economics.

https://internasional.kontan.co.id/news/boe-diproyeksi-pangkas-bunga-di-pekan-ini

OPEC+ Set to Fully End Output Cuts with September Oil Production Hike

OPEC+ has agreed in principle to boost oil production by 548,000 barrels per day starting in September, according to two Reuters sources. The move, expected to be formalized during a meeting at 11:00 GMT, marks the final phase of unwinding the group’s prior output cuts, amid concerns about potential supply disruptions from Russia and mounting geopolitical pressure. This increase would conclude the rollback of the 2.2 million bpd cut, with the UAE also allowed to raise its output by 300,000 bpd. While the group still maintains voluntary cuts totaling 3.65 million bpd through 2026, no further reductions are expected to be discussed at the upcoming meeting. The announcement comes as the U.S. urges India to halt Russian oil imports and as the EU tightens sanctions, signaling a continued blend of market dynamics and geopolitical maneuvering.

https://internasional.kontan.co.id/news/opec-akan-menambah-produksi-minyak-mulai-september-2025