DAVY VIEW

A host of global central bank meetings this week take place against the backdrop of huge geoeconomic uncertainty owing to the ongoing US-Israel war with Iran. With broad conflict spillover across the Middle East, the focus will be on how much weight the various rate-setting committees place on war relative to underlying economic conditions, which in many cases appeared dovish up to February. We predict that the Bank of England and Federal Reserve will ease rates this year unlike market expectations.