BOE’s Pill: My baseline is that the time for cutting rates is some ways off

  • I need to see more compelling evidence that the underlying persistent component of UK CPI inflation is being squeezed down
  • Maintaining restrictiveness does not necessarily mean leaving bank rate unchanged
  • Real interest rates will rise as inflation and short-term inflation expectations ease
  • Monetary policy stance remains restrictive even after a cut

I read these comments as slightly dovish.

This article was written by Adam Button at www.forexlive.com. Source