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Goldman Sachs yesterday said that "absent...>

UK VIEW
UK VIEW: Goldman Sachs yesterday said that "absent the effect of snow in
February and March" they do not see enough "genuine weakness in the underlying
data to shift" their baseline forecasts on the UK economy.
- Goldman see the UK economy continue to "rotate" away from domestic consumption
towards external demand and the "ongoing tightening" of the labour market to
"push wage growth higher". They also expect domestic prise pressure to "replace
waning impulse from imported inflation".
- Goldman add that following Carney's comments last week, risk is now skewed
"towards a later move" in rates, but leave there base case for a 25bp rate hike
in May.

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