- Looser stance can be achieved through lower bank rate today or in the future
- Expects that with current high level of bank rate, it would require an earlier and faster reversal
- That is to avoid a significant inflation undershoot
- In the absence of further shocks, sees inflation likely falling well below target
The message is definitely a bizarre one when you take into context double-digit inflation in the UK upon the latest reading here. But she has been adamant that rate hikes have gone too far for a while now. I think it is really quite something to see such diverging views within the central bank - even at this stage of the tightening cycle.