It is just a question of how far and how fastRate cut last week does not mean that the job is doneLabour market data today show pay growth still at high levelsThere is still some work to be done on underlying domestic inflation pressures
All that being said, Pill argues that there has been “substantial” disinflation in the UK already. To summarise, it just means that they are not necessarily going to cut rates at every coming meeting. However, they are making it clear that they do have the option to do so if need be.
This article was written by Justin Low at www.forexlive.com.
