UK data boost could spell early end to BoE forward guidance
A conspicuous drop in inflation, coupled with a labour market recovering faster than was expected, could mean the Bank of England (BoE) keeps rates at their current ultra-low levels for some time after its forward guidance 'threshold' is reached.
The BoE's latest inflation report, out today, shows weak domestic price pressures as well as lower energy prices and a stronger currency putting the UK economy on track to meet its 2% inflation target a year earlier than previously expected.
Annualised
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