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MNI BRIEF: BOE Greene - Case For Cautious Rate Cut Approach

BOE MPC Greene speaks on rate policy.

MNI (LONDON) - Independent Bank of England Monetary Policy Committee member Megan Greene said that the neutral interest rate, 'r-star', has probably risen and that policy rates were unlikely to return to pre-pandemic levels,as she advocated a cautious approach to rate cuttting.

In a 'Fireside Chat' at the Atlantic Council Greene said that the MPC was looking closely at disinflation stemming from Chinese exports and the possibility that as a result of goods deflation, services inflation could run stronger and overall inflation could remain at target but overall she was wary of an aggressive rate cutting strategy. 

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MNI (LONDON) - Independent Bank of England Monetary Policy Committee member Megan Greene said that the neutral interest rate, 'r-star', has probably risen and that policy rates were unlikely to return to pre-pandemic levels,as she advocated a cautious approach to rate cuttting.

In a 'Fireside Chat' at the Atlantic Council Greene said that the MPC was looking closely at disinflation stemming from Chinese exports and the possibility that as a result of goods deflation, services inflation could run stronger and overall inflation could remain at target but overall she was wary of an aggressive rate cutting strategy. 

Keep reading...Show less