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Bank Of England Governor Bailey: There Is Disagreement On Whether To Act Quickly Or Continue To Wait And See
The U.S. Core PCE Price Index Rose 0.1% Month-on-month In June, The Smallest Increase Since March 2025
The Number Of Continuing Claims For Unemployment Benefits In The U.S. For The Week Ended July 18 Stood At 1.782 Million, Compared With An Expectation Of 1.798 Million And A Previously Reported Figure Of 1.796 Million Revised Upward To 1.789 Million
The Four-week Moving Average Of Initial Jobless Claims In The U.S. For The Week Ended July 25 Stood At 202,750, Revised From The Previous Figure Of 207,500 To 207,750
U.S. Real Personal Consumption Expenditures Rose By 0.4% Month-over-month In June, With The Prior Reading Revised Upward From 0.30% To 0.4%
The Core PCE Price Index For June In The United States Rose By 0.1% Month-over-month, Below The Expected 0.2% And The Previous Reading Of 0.30%
U.S. Personal Spending Rose By 0.3% Month-over-month In June, Matching Expectations Of 0.3%, While The Prior Month's Figure Was Revised Upward From 0.70% To 0.9%
The U.S. June PCE Price Index Posted A Monthly Change Of -0.1%, Matching The Forecast Of -0.10%, While The Prior Reading Was Revised Upward From 0.40% To 0.5%
The Preliminary Annualized Quarterly Rate Of The U.S. PCE Price Index For Q2 Was 5.1%, Compared To 4.6% In The Previous Quarter
The Preliminary Estimate For U.S. Real Personal Consumption Expenditures (PCE) In The Second Quarter Rose At An Annualized Rate Of 3.2%, Compared With An Expectation Of 2.3% And A Previous Reading Of 0.50%
The U.S. Core PCE Price Index Year-over-year Rate For June Was 3.3%, In Line With The Expected 3.30% And Down From The Previous Reading Of 3.40%
The Preliminary Annualized Quarterly Rate Of The U.S. Core PCE Price Index For The Second Quarter Came In At 3.4%, Versus An Expectation Of 3.5% And A Previous Reading Of 4.40%
The Preliminary Annualized Quarter-over-quarter Rate Of Final Sales In The U.S. For Q2 Was 2.2%, Versus An Expectation Of 2% And A Previous Reading Of 1.9%
The Number Of Americans Filing For Unemployment Benefits For The Week Ending July 25 Was 197,000, The Lowest Since The Week Ending April 25, 2026
Bank Of England Deputy Governor Lombardelli: Economic Activity Is Slightly Stronger Than We Expected, But Still Weak
Market Pricing Has Lowered Its Bets On A Bank Of England Rate Hike; The Probability Of A September Rate Hike Is Now Less Than 40%
Bank Of England Deputy Governor Lombardelli: We Are Aware Of The Strong Performance Of The UK Inflation Decline

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MPC Rate Statement
Bank of England Governor Bailey held a press conference on monetary policy.
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US-brokered Ukraine-Russia talks yield a prisoner swap, but deep divides on territory and security obstruct peace.

Russian and Ukrainian officials are engaged in a second day of U.S.-brokered negotiations aimed at ending the war, but major disagreements over Ukrainian territory and future security guarantees remain significant obstacles.
The talks, held in Abu Dhabi, have produced one small sign of progress: an agreement for another prisoner-of-war exchange. Steve Witkoff, the White House envoy leading the U.S. mediation effort, announced on February 5 that a total of 314 prisoners would be released. This move offers a rare moment of consensus in a conflict that has reportedly killed or wounded nearly 2 million people since Russia’s invasion on February 24, 2022.
Ahead of the meetings, both sides hinted at the possibility of a breakthrough. Kirill Dmitriev, the Kremlin's lead negotiator, mentioned "progress" and positive movement on February 5. His Ukrainian counterpart, Rustem Umerov, described the first day of discussions as "meaningful and productive, focusing on concrete steps and practical solutions."
Despite these optimistic statements, Russia’s military actions continue unabated. On the eve of the talks, Russia launched one of its largest aerial assaults of the war, targeting Ukraine's energy infrastructure and compounding the suffering of civilians in the middle of a harsh winter.
Kremlin spokesman Dmitry Peskov reinforced Moscow's firm stance, telling reporters that Russia's position remains unchanged and is "absolutely clear and well understood by both Kyiv and the American negotiators."
The gap between Moscow and Kyiv has narrowed slightly, but fundamental disagreements persist. The negotiations are centered on two critical issues that have stalled previous efforts.
The Status of Donbas
The primary point of contention is the territory in Ukraine's Donbas region that Kyiv currently controls but Moscow claims as its own. Ukrainian President Volodymyr Zelenskyy has proposed creating a demilitarized zone, potentially monitored by European peacekeepers, but Russia has unequivocally rejected this proposal.
Future Security Guarantees
Kyiv is also demanding binding security guarantees from the United States and other Western allies. These guarantees would legally obligate other nations to intervene if Russia were to launch another attack in the future.
Ukrainian political analyst Ihor Reiterovych has urged the West to provide strong assurances and avoid repeating the mistakes of the 1994 Budapest Memorandum. That agreement, signed by the U.S., Russia, and Britain, was supposed to guarantee Ukraine's territorial integrity in exchange for the country giving up its nuclear arsenal.
Analysts remain skeptical about the prospects for a comprehensive settlement. Markus Ziener, a fellow with the German Marshall Fund and former Moscow correspondent, acknowledged the prisoner swap as a positive step but expressed doubts about a broader resolution.
"I'm rather skeptical if we get to the nitty-gritty," he told RFE/RL, adding, "So far, there is not really much that gives us hope that a settlement of the war is within reach."
Ziener questioned Russia's sincerity, noting the incongruity of negotiating for peace while simultaneously launching massive aerial attacks. "If I want to negotiate a peace settlement, I would not hammer Ukraine and pound them the way they do," he observed.
For Ukraine, the immense sacrifices made during the war make concessions difficult. "Given all the sacrifices Ukraine has made so far... it's very difficult for Ukraine to say, OK, well, we'll cede to the Russian demands," Ziener explained.
The talks, which include current and former intelligence officials, mark a continuation of direct negotiations that resumed last May after a long pause. President Donald Trump has expressed frustration that the war continues, having made its resolution a top foreign policy priority. The U.S. delegation includes not only Witkoff, who has met with Russian President Vladimir Putin seven times in the past year, but also Trump's son-in-law, Jared Kushner.
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