If UK growth surprises to the upside, rate rises on the cards - BOE's Saunders
Bank of England's Saunders in an interview with the Evening Standard.
Keep in mind Saunders is one of the MPC members already voting for a hike.
The entire interview can be accessed here.
- If growth surprises on upside, BOE might need to be a bit more activist.
- Brexit probably means UK economy will grow several percentage points less than it otherwise would do.
- His hunch is that UK growth will be ok, jobless rate will continue to fall.
- Risk that uk consumers cut back spending really sharply has not materialised.
There's nothing game-changing in this interview. Cable is relatively unmoved on its publication. We kissed the 1.2950 level for the third time now.