Barclays expects the Bank of England (BoE, the U.K. central bank) to raise interest rates by 25 basis points in November after holding them at 3.75% on Thursday. The bank cited a dramatically changed medium-term energy outlook and said a prolonged Middle East conflict could justify further tightening. Barclays strategists led by Jack Meaning also see scope for another quarter-point increase in February 2027 if the conflict continues. J.P. Morgan likewise expects BoE hikes in November 2026 and February 2027, reversing its earlier view that rates would rise only once in November 2026 before falling twice in 2027. BoE minutes adopted a more hawkish tone and indicated the bank could follow European and U.S. central banks in raising borrowing costs, while officials forecast inflation could exceed 4% early next year. Markets price a 63% chance of a November hike and expect another increase in December, according to LSEG data. Goldman Sachs also sees a November increase but said weaker economic data or lower energy prices could keep rates unchanged. Morgan Stanley expects an extended hold, although persistent commodity-price pressure could trigger hikes in November and February. The Bank of Japan raised rates to a 31-year high on Friday and signaled it was prepared to continue increasing borrowing costs as the widening Middle East conflict adds to global inflation pressures.