• Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
Stock

Lloyds share price forecast ahead of BoE interest rate decision

by September 16, 2025
by September 16, 2025

The Lloyds share price has rebounded in the past few days, moving from a low of 77.40p earlier this month to 84.22p today. LLOY has jumped by over 68% from its lowest level this year, bringing its market cap to over £50 billion. 

Bank of England interest rate decision

The main catalyst for the Lloyds share price is the upcoming Bank of England (BoE) interest rate decision. Economists expect the bank to leave rates unchanged at 4.0% after it slashed them by 0.25% in the previous meeting. 

Traders and economists will be watching at the composition of the votes. The consensus is that 2 of the nine officials will vote for a cut, while seven will vote to leave them unchanged. 

The BoE is concerned that the country’s inflation is still stubbornly high and that a rate cut will worsen the situation. 

A report by the Office of National Statistics (ONS) that will come out on Wednesday is expected to show that the headline consumer price index (CPI) remained unchanged at 3.8% in August, while the core figure slipped slightly to 3.6%. 

These numbers, if accurate, will remain stubbornly above the BoE’s target of 2.0%. They will also confirm the view that the UK is now in a stagflation, a period characterized by high inflation and slow economic growth. 

Bank of England’s interest rates have an impact on Lloyd share price because it is the biggest mortgage lender in the country. In theory, its profits normally rise when interest rates are high as doing that boosts its net interest income (NII).

The most recent numbers showed that its underlying net interest income rose from £6.33 billion in the first half of 2024 to £6.65 billion this year. Higher rates will ensure that the company continues making these huge profits. 

The other income also continued rising, reaching £2.96 billion, up from £2.73 billion in the same period last year. This growth brought its total net income to almost £9 billion.

Lloyds share price has also rebounded as the government has ruled out a windfall tax for banks to fund its deficit. The tax would have affected its profitability over time. 

Additionally, the company is planning to lay off thousands of workers. According to the FT, the company plans to lay off about 3,000 of its 63,000 workers who are deemed to be underperforming. The company said:

“In line with wider industry practice, we continuously look for ways to help our colleagues perform at their best. We know change can be uncomfortable, but we are excited about the opportunities ahead as we propel forward to achieve our growth ambitions and deliver exceptional customer experiences.”

Lloyds share price technical analysis

LLOY stock chart | Source: TradingView

The daily timeframe chart shows that the LLOY stock price pulled back and hit a low of 77.40p in August as fears of a windfall tax rose. 

It has now rebounded to 84.35p, a notable level that coincides with the lower side of the rising wedge pattern, one of the most bearish signs. As such, there is a risk that the stock has formed a break-and-retest pattern, which often leads to a breakdown. 

Therefore, while the bullish outlook may continue rising, there is a risk that it may resume the downtrend now that it has formed a break-retest pattern.

The post Lloyds share price forecast ahead of BoE interest rate decision appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
GOP senator predicts ‘tremendous pressure’ to change law as Trump bill’s Medicaid cuts loom
next post
From pitch to pod: how olive oil is revolutionising athletic performance

Related Posts

Analysis: Crude prices under pressure as 2026 outlook...

October 6, 2025

Tata Capital eyes $15.7 billion valuation in India’s...

October 6, 2025

India may settle $22.5bn Vodafone dispute to cement...

October 6, 2025

Here’s why the Rolls-Royce share price is up...

October 6, 2025

Ardian buys Ireland’s Energia Group in €2.5bn deal...

October 6, 2025

Europe markets open: Stoxx 600 slips 0.1% as...

October 6, 2025

China Financial Leasing’s $11M plan signals Hong Kong’s...

October 6, 2025

Japanese stocks may extend record run as Takaichi...

October 5, 2025

Former Tesla exec sees continued growth for EVs;...

October 5, 2025

Weekly wrap: A US shutdown; a UK terror...

October 5, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.

By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • CommsCloud’s new SIMs make borderless African IoT logistics a reality

    October 6, 2025
  • Housing’s Deep Freeze: Existing Home Sales at 25-Year Lows

    October 6, 2025
  • Nigeria’s Shea Ban Backfires, Crushing Millions of Women Workers

    October 6, 2025
  • Analysis: Crude prices under pressure as 2026 outlook signals surplus

    October 6, 2025
  • Tata Capital eyes $15.7 billion valuation in India’s biggest IPO of 2025

    October 6, 2025
  • India may settle $22.5bn Vodafone dispute to cement UK ties

    October 6, 2025

Editors’ Picks

  • 1

    Meta executives eligible for 200% salary bonus under new pay structure

    February 21, 2025
  • 2

    Walmart earnings preview: What to expect before Thursday’s opening bell

    February 20, 2025
  • 3

    New FBI leader Kash Patel tapped to run ATF as acting director

    February 23, 2025
  • 4

    Cramer reveals a sub-sector of technology that can withstand Trump tariffs

    March 1, 2025
  • 5

    Anthropic’s newly released Claude 3.7 Sonnet can ‘think’ as long as the user wants before giving an answer

    February 25, 2025
  • 6

    Nvidia’s investment in SoundHound wasn’t all that significant after all

    March 1, 2025
  • 7

    Pop Mart reports 188% profit surge, plans aggressive global expansion

    March 26, 2025

Categories

  • Economy (2,791)
  • Editor's Pick (280)
  • Investing (185)
  • Stock (1,904)
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Read alsox

EVgo stock price is soaring: Can it...

May 26, 2025

Here’s why Zara’s Inditex share price is...

June 11, 2025

PepeX ICO raises $1.35M as Trump’s crypto...

April 14, 2025