Important for policy to stand firm against risk of persistent inflation

  • November 11, 2022

Bank of England (BOE) policymaker Jonathan Haskel said on Friday that it’s important for the monetary policy to stand firm against the risk of persistent inflationary pressure, as reported by Reuters.

Additional takeaways

“Concern for me is the risk that if price rises become embedded, monetary policy would have to be tighter for longer.”

“Latest signs of activity suggest the UK is already slowing down.”

“Signs of slowdown do not imply less tightening given strength of labour market, rise in inactivity.”

“Supply-side stresses risk persistent inflationary pressure.”

Market reaction

GBPUSD showed no immediate reaction to these comments and was last seen rising 0.6% on the day at 1.1780.