Nomura: Continued decline in UK inflation may mean that the Bank of England will accelerate rate cuts.

Nomura analysts stated in a report that if UK inflation continues to decelerate, the Bank of England may cut interest rates at a faster pace than expected. UK inflation data for November was weaker than expected, increasing the likelihood of a rate cut at the Bank of England's decision on Thursday. These analysts said that the inflation data "not only increases market confidence in a rate cut by the Bank of England tomorrow, but also raises the possibility of a unanimous vote." Data from the London Stock Exchange Group shows that market prices reflect a 94% probability of the Bank of England lowering interest rates to 3.75% this week.