UK Gilt Yields Fall as BOE Raises Rates -3-

1311 GMT - The outlook for U.K. inflation and interest rates remains uncertain and it's too early to conclude that the Bank of England will soon stop raising rates, Marcus Brookes, chief investment officer at Quilter Investors says in a note. "Calling this the beginning of the end of rate hikes still feels a little premature," he says after the BOE raised interest rates by 50 basis points to 4.0%. Inflation is "stubbornly high" and the BOE is "keen to reinforce that the job is far from done," he says. "It may be the Bank of England is happy to allow a shallow, but prolonged, recession take place in order to tame inflation." Investors should stay "patient and diversified," he says. ([e-mail])

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02-02-23 0857ET