PIMCO trying to calm down the BoE - risk is skewed to a less severe recession

The Bank of England went full headless chook* on Thursday,

• ForexLive European FX news wrap: Pound slides as BOE hikes but warns of long recession

PIMCO says Nah:

• Near-term uncertainty is high, but we think risks are skewed to a more shallow recession than what the BoE is forecasting.
• Falling energy and commodity prices, as the market is discounting for next year, should eventually moderate the real income squeeze.
• And the BoE does not incorporate any new fiscal stimulus, which we believe remains a possibility for next year.

* This is an Australian expression, in a nutshell, to panic.