Britain's central bank cut its main interest rate in response to a troubling mix of stuttering growth, stubborn inflation and President Trump’s tariff threats. Sterling lost about 0.5% against the dollar,

The Bank of England cut rates to 4.5% amid easing inflation but flagged lingering risks. GDP growth remains weak, and potential US tariffs add uncertainty. The pound fell, while the FTSE 100 hit record highs.

The Bank of England cut its key rate by 25 basis points to 4.5%, which was in line with analysts' expectations. However, the central bank demonstrated a softer stance than the market had forecast, which put pressure on the British Pound.