- Market expectations on rates are pricing in cuts for UK but I would need to see more signs that persistence of inflation is not embedded
- Have not seen signs of inflation expectations becoming de-anchored in UK
- Productivity gains from innovations such as AI could come through with a lag
This is par for the course from global central bankers. GBP is lagging today on soft GDP data.
This article was written by Adam Button at www.forexlive.com. Source