The economy is stagnating and the Nmk has yet to act…that’s the cry heard in the Telegraph and undoutedly elsewhere this weekend. Why? Because like the ECB, they have a numerical inflation target. They are not taked with supporting the economy like the Fed, they are merely meant to contain inflation. It would be malpractice for the BOE to cut rates before inflation even begins to turn lower. Same for the ECB. They won’t wait for inflation to fall back toward target but they will wait for a trend (or the hint of a trend) to the downside to develop.