Stubbornly high UK inflation has responded less to economic slack in the economy than our models would have predicted, BOE MPC member Dale says, via Reuters.
If anything, one could take the comment as hawkish, suggesting slack is not constraining inflation so tighter monetary policy may be needed to constrain it.
Cable is little moved o the comments, consolidating earlier gains at 1.4973. Offers reside at 1.5020, we’re told.
