- Says BOE should look through inflation
- Falling oil prices and strong pound have led to recent decline in prices and are beyond the banks control
No shock to hear one of the major BOE hawks talking his vote. He also comments that he doesn’t believe that productivity (one of the main components the bank is watching carefully) is going to return to pre crisis levels.
“I started off thinking we will start to make up that lost ground, that had been the previous experience. I now think that, over the timescale that’s material to our decision making, we won’t. That does mean that, in the long run, living standards aren’t going to grow as much as perhaps people have become used to.”
This is probably a story that will hit the hard print tomorrow.
That’s me done for the week so I hope you all have a great weekend and thank you for coming to ForexLive
