- Don’t expect interest rates to go back to very low levels unless there is some completely unknown shock
- We will see where market interest rates are at the December meeting and judge policy accordingly
- We do have to watch very carefully the fragmentation of the world economy
- There are a lot of risks related to that but we will have to wait and see what happens, it is too early to judge
There’s nothing notably hawkish from Bailey as he is just touching on more technical topics here. But he’s not really pushing to suggest another rate cut in December, so I guess that reaffirms the current market pricing and sentiment. That is arguably the takeaway that I can gather from his press conference today.
This article was written by Justin Low at www.forexlive.com. Source