# BOE Initiates Tightening Cycle with Quarter-Point Hike | Investing.com

> The Bank of England raised its policy rate by a quarter point to 4%, its first hike in the cycle, as widely expected, while the Norges Bank held its deposit rate at 4.5%. Following the US midterm results, December WTI fell 8.3% in a single session, the largest one-day drop since the Iran war began, and this pulled yields lower.

- Date: 2026-11-05 · published 2026-11-05T15:08:11.304Z
- Category: macro · region UK · magnitude low
- Page: https://feedsoft.ai/events/81919-boe-initiates-tightening-cycle-with-quarter-point-hike-investing-com
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A higher UK rate supports sterling against the dollar, which lowers the cost of UK-sourced feed ingredients priced in dollars and can reduce demand for dollar-linked commodity imports. The sharp oil drop eases energy and freight cost pressure on feed supply chains.

## Read by commodity

- DXY: bearish ▼
- WTI: bearish ▼
- GBPUSD: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| WTI | 2022-10-26 | [Bank of Canada increases policy interest rate by 50 basis points, continues quantitative tightening - Bank of Canada](https://feedsoft.ai/events/39349-bank-of-canada-increases-policy-interest-rate-by-50-basis-points-continues.md) | +2.6% | -6.1% |
| WTI | 2021-04-22 | [ECB In Focus, While Australia Pokes The Panda \| Investing.com](https://feedsoft.ai/events/47829-ecb-in-focus-while-australia-pokes-the-panda-investing-com.md) | +4.0% | +3.2% |
| WTI | 2020-01-27 | [Asia Wrap:"Risk-Off" Dash And Brexit Ahead \| Investing.com](https://feedsoft.ai/events/55362-asia-wrap-risk-off-dash-and-brexit-ahead-investing-com.md) | -4.7% | -5.1% |
| WTI | 2025-10-01 | [Oil settles lower as investors brace for possible OPEC+ output hike](https://feedsoft.ai/events/23036-oil-settles-lower-as-investors-brace-for-possible-opec-output-hike.md) | -1.0% | -3.5% |
| WTI | 2020-03-31 | [Oil ends March with biggest monthly and quarterly losses ever](https://feedsoft.ai/events/5320-oil-ends-march-with-biggest-monthly-and-quarterly-losses-ever.md) | +64.9% | -5.2% |
| DXY | 2026-09-30 | [Canadian dollar firms as softer U.S. inflation weighs on rate-hike bets By Investing.com](https://feedsoft.ai/events/17701-canadian-dollar-firms-as-softer-u-s-inflation-weighs-on-rate-hike-bets-by.md) | -0.1% | +0.7% |
| DXY | 2025-08-25 | [The Commodities Feed: Jerome Powell Provides a Boost to Most Markets \| Investing.com](https://feedsoft.ai/events/23251-the-commodities-feed-jerome-powell-provides-a-boost-to-most-markets-investing.md) | -0.1% | -0.4% |
| DXY | 2026-07-31 | [US Dollar Hits Post-FOMC Perfect Storm \| Investing.com AU](https://feedsoft.ai/events/8422-us-dollar-hits-post-fomc-perfect-storm-investing-com-au.md) | -0.1% | -1.1% |

## Sources

- talkmarkets.com: https://talkmarkets.com/article/boe-initiates-tightening-cycle-with-quarter-point-hike
- investing.com: https://www.investing.com/analysis/boe-initiates-tightening-cycle-with-quarterpoint-hike-200690930

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.