BoE's Ramsden: CPI inflation has begun to fall significantly but remains much too high
|Bank of England (BoE) Deputy Governor Dave Ramsden acknowledged that the Consumer Price Index (CPI) inflation has begun to fall significantly in the UK but noted that it was still "much too high," per Reuters.
Key takeaways
"If there is evidence of more persistent pressures, then further tightening in monetary policy would be required."
"Monetary policy decisions will address the risk of more persistent strength in domestic wage and price setting."
"I support a carefully considered increase in the pace of reduction in the stock of gilts in the twelve months ahead."
"I want QT to set a gradual and predictable pace for unwind and to let it operate in the background."
"QT is having only a limited impact on gilt yields."
Market reaction
These comments failed to help Pound Sterling find demand. As of writing, GBP/USD was down more than 1% on the day at 1.2895.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.