BoE: Further hikes in bank rates not ruled out – Jonathan Haskel

The Bank of England’s rate-setter, Jonathan Haskelhas once again made some statements today stating that “if we see signs of further inflation persistence, we will tighten policy“.

Featured Statements

I refuse to comment on the appreciation in the market, but I can’t rule out further rate hikes.

We closely monitor the persistence of inflation.

Earlier, Haskel, a member of the Monetary Policy Committee, had said that the Bank of England needs to lean against the risk of a persistent boost to inflation, and may have to raise interest rates further.

“I prefer to lean against inflation-boost risks. As difficult as our current circumstances are, entrenched inflation would be worse,” Haskel said in a speech at the Peterson Institute for International Economics in Washington.

“Further increases in bank rates cannot be ruled out,” he added.

GBP/USD Update

GBP/USD is in a key support zone and this could lead to a move back towards trend line resistance or if the bears do commit then we could see a sell off towards 1.2270.