BoE Saunders: Quicker tightening early on could help limit the overall tightening cycle
01.03.2022, 18:34

BoE Saunders: Quicker tightening early on could help limit the overall tightening cycle

The Bank of England's Michael Saunders says vote for a 50bp hike in February ''does not necessarily imply that I believe that the level of rates one or two years ahead will be higher than the yield curve used for the February MPR.''

He says important to distinguish between the pace of tightening and the level of rates at the end of a tightening cycle.

More key comments

Says quicker tightening early on could help limit the overall tightening cycle

Says vote for a 50bp hike in February does not necessarily imply that I would vote for a 50bp hike in the event that further tightening is required.

Says case for policy to move in a larger step probably is greater when bank rate is clearly further away from the approximate level that, if maintained, would return inflation to target.

Says not in favour of aiming to restore the lost potential output by “running the economy hot".

Saunders says running the economy hot” would simply produce an even more persistent inflation overshoot.

Says maintaining a relatively loose policy stance under current conditions would be likely to produce a further undesirable rise in inflation expectations.

Says such an outcome would be costly to reverse and could limit the scope for prompt monetary easing the next time the economy needs support.

GBP/USD update

Cable is offered on the back of a risk-off theme in markets on Tuesday. The comments from Saunders, however, is serving to stall the slide with the price a touch higher as it starts to correct from the session lows of 1.3298.  The price is now near 1.3310. 

© 2000-2025. Sva prava zaštićena.

Sajt je vlasništvo kompanije Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).

Svi podaci koji se nalaze na sajtu ne predstavljaju osnovu za donošenje investicionih odluka, već su informativnog karaktera.

The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.

Politika sprečavanja pranja novca

Upozorenje o rizicima

Izvršenje trgovinskih operacija sa finansijskim instrumentima upotrebom marginalne trgovine pruža velike mogućnosti i omogućava investitorima ostvarivanje visokih prihoda. Međutim, takav vid trgovine povezan je sa potencijalno visokim nivoom rizika od gubitka sredstava. Проведение торговых операций на финанcовых рынках c маржинальными финанcовыми инcтрументами открывает широкие возможноcти, и позволяет инвеcторам, готовым пойти на риcк, получать выcокую прибыль, но при этом неcет в cебе потенциально выcокий уровень риcка получения убытков. Iz tog razloga je pre započinjanja trgovine potrebno odlučiti o izboru odgovarajuće investicione strategije, uzimajući u obzir raspoložive resurse.

Politika poverenja

Upotreba informacija: U slučaju potpunog ili delimičnog preuzimanja i daljeg korišćenja materijala koji se nalazi na sajtu, potrebno je navesti link odgovarajuće stranice na sajtu kompanije TeleTrade-a kao izvora informacija. Upotreba materijala na internetu mora biti praćena hiper linkom do web stranice teletrade.org. Automatski uvoz materijala i informacija sa stranice je zabranjen.

Ako imate bilo kakvih pitanja, obratite nam se pr@teletrade.global.

Банковни
транcфери
Feedback
Lajv čet E-mail
Povratak na vrh
Izaberi lokaciju / jezik