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12 Feb 2014
Flash: BoE’s Inflation Report; what’s in store? - Rabobank
FXStreet (Guatemala) - Strategists at Rabobank noted that up ahead we have the BoE’s Quarterly Inflation Report.
Key Quotes:
“Mr Carney will have to try to explain why the UK recovery is so much stronger than he had projected (especially around London and its very frothy housing market) at a time when CPI is at its 2.0% target (having been above that level for several years) – and yet the Bank is still unwilling to signal any imminent increase in interest rates. He’s sure to face questions over how strong the recovery can really be if it relies on such extraordinary monetary policy, and whether he is comfortable with yet another housing boom”.
Key Quotes:
“Mr Carney will have to try to explain why the UK recovery is so much stronger than he had projected (especially around London and its very frothy housing market) at a time when CPI is at its 2.0% target (having been above that level for several years) – and yet the Bank is still unwilling to signal any imminent increase in interest rates. He’s sure to face questions over how strong the recovery can really be if it relies on such extraordinary monetary policy, and whether he is comfortable with yet another housing boom”.