Bank of England Vote Shows Stronger Support for Rate Hike Than Expected; Gold Falls as Global Tightening Cycle Continues

According to Kitco News, the Bank of England left its key rate unchanged at 3.75% on Thursday, but two committee members voted in favor of a 25 basis point increase, exceeding consensus expectations of only one vote for a hike. The BoE's decision reflects a broader global shift toward monetary tightening, with the European Central Bank having raised rates by 25 basis points last week and the Federal Reserve signaling support for at least one rate hike before year-end.

Gold prices declined in response to the tightening pressure. Spot gold fell to $4,247.60 per ounce, down 0.20% on the day, while gold priced in British pounds dropped to £3,211.84 per ounce, down 0.37%.