- Policy will become more data dependent after rate hikes in June and July
- Should not hesitate to keep raising rates if inflation stays high
- Upward risks to inflation are expected to dominate policy in years to come
- Peak interest rates will have to be maintained for a long time to keep inflation in check
Knot is one of the more hawkish members but if there are signs that tighter financial conditions are impacting the economy (credit crunch, anyone?), surely they will relent on being too aggressive.