Inflation Report
Forex Trading News: Sterling Takes A Drop on the BOE Inflation Report
Posted by Mr. Danish FX on Wed, 05/14/2008 - 5:38am in
Highlights from the Bank of England Inflation Report:
- Sees CPI overshoot if rate reaches 4.5%
- Energy and import prices will push CPI up sharply
- Economic uncertainty may lead banks to curb lending
- Growth risks on the downside, CPI upside
- CPI may peak at 3.8%
- CPI will overshoot 2% target in 2 years
BOE Governor King follows:
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Rebalancing UK economy will be supported by fall in FX rates and cutting CPI to quickly can hurt the economy
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Economy is on bumpy road
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Inflation will return to target and growth will recover but needs to be patient
Economic Calendar
