GBP/NZD REVIEW: created by import-candles on 2026-10-23 from Monorex history (digits 5 map); check digits/point_size/pip_size, then activate. Great Britain Pound vs New Zealand Dollar

The Bank of England raised Bank Rate by 0.25 percentage points to 4%, with eight members backing that move and Catherine Mann preferring 4.25%. It expects inflation to reach around 5% by mid-2027. Stronger activity and prolonged energy costs prompted the increase, but further decisions depend on how those costs spread into wages and other prices.

Thesis: The Bank judges prolonged energy inflation and stronger activity sufficient to warrant tighter policy.

Counter view: Limitation: Evidence of spillovers into other prices and wages remains limited, and weaker demand could restrain pricing power.

New Zealand’s unemployment rate rose to 5.7% in the September quarter, the highest since 2015, InvestingLive reports. Employment fell 0.1%, against forecasts for a 0.4% rise. Private-sector labour costs excluding overtime grew 0.4% over the quarter and 2.0% over the year. The report says the weaker labour market reduced pressure for another RBNZ rate increase, while Saturday’s election adds uncertainty over the bank’s mandate.

Thesis: InvestingLive argues that a weaker labour market reduces pressure for the RBNZ to resume rate increases.

Counter view: Limitation: the report says the RBNZ still signalled that further increases were likely; the labour data do not constitute a policy decision.

Britain’s manufacturing PMI rose to 52.8 in October from 51.9, Reuters reports, confirming the flash estimate. The output index reached 53.6, its highest since September 2024, as domestic and overseas demand improved. The recovery has a cost: input prices rose at their fastest pace since June, and employment growth stopped. The survey predates the budget, so it does not measure businesses’ response to the new fiscal measures.

Counter view: Limitation: the survey predates the budget and does not measure its effects.