Deutsche Bank: UK Growth Resilient, Inflation Softening
Deutsche Bank's Sanjay Raja notes the UK economy is tracking close to the Bank of England's Scenario A, with stronger-than-expected early-2026 GDP but cooling labour market and easing price pressures.
In a note on the UK outlook, Deutsche Bank economist Sanjay Raja says the economy is following a path similar to the Bank of England's Scenario A. Early-2026 GDP appears stronger than previously forecast, yet the labour market is cooling and inflation is softening.
This mix of resilient growth and disinflation may influence Bank of England policy expectations. Raja's assessment points to a cautiously optimistic view on the UK's near-term economic trajectory without triggering immediate tightening concerns.
Source: FXStreet Forex News