Pegasus Capital

£ LIBOR spreads to implied BOE rate close in on 2016 high

The £ 3mth LIBOR fix has been moving higher without any notion of change to BOE rate. As rates have been moving up generally, and there is always additional premium across the year-end turn, it is easy to overlook that higher credit risk is now appearing in the £ LIBOR fix

PegasusCapital - 06/12/2018

UK petrol prices look set to fall, with not immaterial effect on RPI

Petrol & Oil currently make up 35 parts per 1000 within the RPI according to the ONS, or 3.5% of the Index. The weighting within the CPI index is lower, nearer 22 parts per 1000 or 2.2% of the index

PegasusCapital - 21/11/2018

A View from the Bridge - Aug 2018

The Bank of England has raised interest rates above 0.5% for the first time since March 2009, although this is still the first-time rates have been set at 0.75%, base rates were cut from 1% to 0.5% as part of the ongoing emergency response to the financial crisis

PegasusCapital - 06/08/2018

A View from the Bridge - May 2018

The Bank of England left interest rates unchanged at its May meeting. Markets had largely written off any probability of an increase following the BOE Governor’s BBC interview in late April where he alluded to weaker Q1 growth and Brexit uncertainty delaying the prospect of higher interest rates

PegasusCapital - 18/06/2018

A View from the Bridge - Aug 2017

Yesterday’s FT article, which appeared on page 2 of the printed edition, highlighted the Bank of England’s concerns over interest rate complacency

PegasusCapital - 10/09/2017

A view from the Bridge - August 2023

The Bank of England raised base rates by 25bp to 5.25% at yesterdays meeting, in line with a recently revised consensus which had been broadly split between 25bp or 50bp prior to the softer inflation and growth data over the past couple of weeks.

PegasusCapital - 04/08/2023