13 June 2023 - Will inflation data support a Fed pause?
Jonathan Haskel, an independent member of The Bank of England’s Monetary Policy Committee spoke yesterday of his view that interest rates will have to rise from their current level of 4.5% if inflation is to be brought under control. Haskel went on to say that his personal view is that the risks to the economy are skewed towards inflation. It is likely that he was influenced by recent predictions that the country will just about avoid a recession this year, while the prices have failed to stabilize completely. “Although our present circumstances are far from ideal, embedded inflation would be far worse”, Haskel went on to say. His MPC colleagues Swati Dhingra and the Bank’s Governor, Andrew Bailey will speak later. Bailey will appear before the Parliamentary Economic Affairs Committee, while Dhingra will be speaking to students at the Manchester Metropolitan University. Beyond Currency Market Commentary: Aims to provide deep insights into the political and economic events worldwide that can cause currencies to change and how this can affect your FX Exposure.