BOE governor, Mark Carney, begins his inflation report press conference
- Says that BOE sees modest pickup in global growth this year
- UK domestic tensions still remain, in contrast with the global situation
- Businesses are focused on short-term Brexit plans
- Says housing market is only area where UK consumer demand has been subdued
- Current margin of economic slack is expected to widen a little in coming quarters
- Fall in UK BOE rate expectations is driven by global factors
There hasn't been anything too notable from Carney above as he now touches on the market interest rate curve used in their forecasts being unequal to the task of the BOE reaching its inflation target i.e. forecasts is one thing, monetary policy adjustments is another.
He also says that the right path for monetary policy will depend on how tensions between businesses, households and markets are resolved. Goes without saying that the key source of those tensions is Brexit.
