A reduction in our policy rate could be on the table as soon as our next meetingIf we were to see inflation moving down quickly or more-or-less in-line with expectations then I would think a rate cut could be on the table in SeptIf inflation were to prove stickier, then we would weigh that along with other thingsIt won’t just be one thing, it’s going to be the balance of risksIt’s just a question of seeing more good dataI can imagine everything from zero to ‘several’ rate cuts this yearPath ahead is going to depend on the economy
“The broad sense of the committee is the economy is moving closer to the point at which it will be appropriate to reduce our policy rate. In that we will be data dependent, but not data point dependent,” he said.
This article was written by Adam Button at www.forexlive.com.
