BoE's Taylor: Tariff shock was bigger than anyone expected
|Bank of England's external Monetary Policy Committee member Alan Taylor noted a prevailing sense of precaution and concern among firms, adding that the tariff shock had been larger than anticipated.
Key Quotes
- Erosion of business confidence in UK has continued in REC and PMI surveys.
- There is a sense of precaution and concern.
- Tariff shock was bigger than anyone expected.
- Although there are signs of a pause, we don't know where it will go.
- Wage settlements data is coming in in line with expectations for slower wage growth.
- If you wait for every piece of data to confirm a fall in inflation, you will be behind the curve.
- International dimension is quite perilous.
- We are a long way from neutral level of interest rates.
- Neutral rate for me is 2.75–3% in the UK.
- Central forecast of BoE had 'quite mild' treatment of global trade situation.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.