Two Bank of England rate-setters urge caution on inflation outlook

Two Bank of England rate-setters urge caution on inflation outlook

Clare Lombardelli and Megan Greene warn against rushing to cut interest rates without more evidence that price pressures are easing

BOE’s Lombardelli Voted to Cut Rates as ‘Insurance’ Against Trade Wars

Bank of England Deputy Governor Clare Lombardelli said growth in UK wages and services prices is still too high to be consistent with bringing inflation back to the 2% target but she voted to cut interest rates last week to provide “insurance” against the risk of an economic slowdown caused by global trade wars.

Interest rate cuts could be paused due to ‘caution’

Several members on the Bank of England’s Monetary Policy Committee have warned that sticky inflation could stall further interest rate cuts this year in marked contrast to current analyst expectations.  Bank policymakers voted to lower interest rates to 4.25 per cent last week. Two MPC members voted for a 50 basis point cut, and another couple voted for rates to be held.  In further signs that the Bank is taking a hawkish view on interest rate c…

What if things are different? - speech by Clare Lombardelli

Knight Frank lifts house price forecast as base rate cuts ‘underpin’ demand   – Mortgage Strategy

Markets pricing in further base rate cuts this year will “underpin demand in the UK housing market this spring irrespective of whether the cuts happen,” says Knight Frank.   This expected fall in the cost of money has led the property agent to push up its house price forecast by 1%.  Knight Frank head of UK

BoE’s Greene says trade risks justify rate cut - Action Forex

BoE MPC member Megan Greene said during a panel discussion today that while wages and inflation are moving in the right direction, they remain uncomfortably high. and more concerningly, “medium-term inflation expectations have also started picking up.” Greene, who voted with the majority last week in favor of a 25bps rate cut, the fourth since […] The post BoE’s Greene says trade risks justify rate cut appeared first on Action Forex.