BOE’s Pill: It is a finely balanced issue if we still have to do more on rates

  • UK inflation remains too high
  • A lot of policy tightening has yet to come through

Earlier in the day, BOE policymaker Dhingra said that roughly only 20% or 25% of the impact of rate hikes have been absorbed by the economy. In other words, they’re trying to buy time for inflation to come down considering that they have to pause as the economy is taking a turn for the worse. But don’t let them tell you otherwise.

This article was written by Justin Low at www.forexlive.com. Source