Still up before the TSC

  • 2% bank rate is target over a period of time
  • that level will provide room for easing in the event of economic downturn
  • rate cuts preferable to QE

Gertjan Vlieghe also supporting that view

  • BOE intends to hold "considerably less" than £375 bln in gilts permanently

That figure of course is the current extent of QE which is recycled each month

These comments and those previously this morning confirm my long-held view that, yes, rate hikes will happen but not any time soon and only then reluctantly and with limited topside

Carney's comment about levels of household debt being significant also worthy of note as I have long highlighted

GBPUSD still flirting with 1.5100 with large bids ahead of key 1.5090-95 support. I expect stop losses to kick in if that lower level breaks. Rallies currently very limited