That's kinda like saying that it's only an option, not the base case. Sounds dovish but cable is, instead, taking it as reminder that a rate hike is on the table and it's up a handful of pips. I think that reaction is the wrong one.
- Markets had previously misread BOE as having its hands tied until Britain left the EU
- Monetary policy can do little to offset likely weaker real income growth
- No need to consider starting to reverse QE until after "several" rate hikes
- Economic slack likely to disappear quiet quickly
- Some signs that global economy is beginning to normalize