U.S. Federal Reserve and European Central Bank expectations have meanwhile risen only marginally. For investors, clear communication from central bankers is crucial as they transmit their policy to borrowing costs through markets. The BoE was the first major central bank to start hiking rates. In contrast, they have long bet on more hikes than the BoE's main forecasts have implied are needed to tame inflation, rates futures show. BoE messaging, suggesting a reluctance to hike, has made it "very difficult" to own gilts recently, he said.

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Persons: BoE, Toby Melville, Shamik Dhar, Andrew Bailey, Bailey, Schroders, Azad Zangana, Zangana, Liz Truss, Myles Bradshaw, Chris Jeffery, Jerome, Powell, Christine, Lagarde, it's, Craig, Yoruk, Dhara Ranasinghe, William Schomberg, John Stonestreet Organizations: Bank of England, REUTERS, Fed, ECB, of England, Traders, . Federal Reserve, European Central Bank, BNY Mellon Investment Management, Bank of England's, Investors, Graphics, of England's, Reuters, Asset Management, Thomson Locations: London, Britain, U.S, Dhar