BoE: Risks to economy seen in either direction

Eren Sengezer FXStreet

Key highlights from BoE's monetary policy summary (via LiveSquawk)

Statement sticks close to February QI report assumptions
Monetary policy can respond in either direction
Risks to economy seen in either direction
Still appropriate to look through likely near-term overshoot in prices
MPC notes subdued pace of wage growth compared to inflation expectations
Policy path will depend on outcome of supply, demand and exchange rate
Measures of overall activity remain resilient
Likely inflation overshoot almost entirely down to sterling depreciation
There are limits to tolerance of above-target inflation
MPC points to weak economic data as reason for short/long-term sterling interest rates

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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