I posted up a preview of the Bank of England here, with a helpful note that Super Thursday is coming up on Thursday…. ;-)
Also, this:
This, in brief, from Nomura now:
- we do not expect any changes to monetary policy
- risks to its economic growth forecasts look to be to the downside
Near-term inflation is set to be revised down on account of lower energy prices, but what's more important from a policy perspective is where the MPC sees inflation at the two- and three-year horizons.
- In November 2018 it expected inflation to settle around 2.35-2.40% based on no change in monetary policy, which we judged would be consistent with around two 25bp rate rises per year. Much will, of course, depend on Brexit.
- The Bank can realistically continue to base its forecasts on a "smooth adjustment to the average of a range of possible outcomes for the UK's eventual trading relationship with the European Union", though this may be the last time it can do this - depending on how the negotiations (with both the EU and the House of Commons) proceed in the coming weeks.
