investors are betting the bank of england can take its foot off the gas after inflation data for june came in weakerthanexpected investors now see the bank of england key interest rate peaking next year at around 585 according to interestrate swap markets just two weeks ago investors had seen rates rising to nearly 65 by february according to tradeweb data investors still think the bank is far from the end of its tightening cycle as inflation remains more stubborn than in the us and other developed countries core uk price growth remained at around 7 in june and data earlier this month showed recordhigh pay growth swaps pricing implies the central bank will lift rates at least three more times by a quarter percentagepoint from the current rate of 5 the central bank will release its next policy decision on aug 3 analysts had expected the bank to raise rates again by a halfpercentage point at that meeting but wednesdays data strengthens the case to downshift to a smaller increase analysts at ing said after wednesdays inflation data was out the pound slid 07 back below 130 while the yield on the benchmark 10year uk government bond fell by 016 percentage point to 4174 the ftse 100 rallied 13